The value of the global smart grid data analytics market is forecast to reach US$4.6bn by 2022, boosted by increased smart grid investment in Australasia. This is according to a new report discussing the global smart grid data analytics landscape released by global market research company Transparency Market Research (TMR) this week.
The report discusses the smart grid data analytics market trends beginning 2015 to 2022.
Global smart grid investments
According to TMR, global utilities will increasingly adopt smart grid systems in a bid to optimize their grid efficiency to meet the increasing demand of electricity.
“…smart grid analytics market growth largely depends upon the penetration of smart grid systems.” wrote TMR.
As smart grid data analytics solutions are significant applications applications of big data analytics and IoT, increasing advancements in big data and IoT will positively impact on the smart grid data analytics market.
Lastly, the report predicts the rising penetration of smart meters worldwide will also drive the increase in the smart grid data analytics market.
Smart grid revenue
However, the report states the market revenue will be contributed by few countries which managed to deploy AMI including Australia, the US, China, Japan, and the UK.
The high costs of smart grid systems, lack of awareness, interoperability, and reluctance of utility providers to change the existing infrastructure is expected will hinder the market growth.
The report breaks the smart grid data analytics market into segments AMI analytics solutions, demand response analytics, grid optimization, asset management, energy forecasting and data visualization tools.
In 2014 alone, asset management solutions accounted for the largest share, in terms of revenue, in the global market but with the expected rising penetration of smart meters globally, the AMI analytics solutions segment is predicted to witness the highest growth by 2022.
Whilst North America accounted for the largest share of over 33% in terms of revenue, due to the country’s strong penetration of smart grid systems and increased investments, the Asia Pacific is expected will register the highest growth in the smart grid data analytics by 2022.
The report says the shift will be a result of increasing investment on smart grid systems from countries such as Australia, China, South Korea, and Japan.