BOULDER, Colo.--(BUSINESS WIRE)--A recent report from Navigant Research analyzes the global market opportunity for utility distribution microgrids (UDMs), including global market forecasts for capacity and implementation revenue through 2023.
Rather than viewing microgrids as a threat to public safety or a drag on long-term revenue projections, a small but growing number of utilities have begun to see UDMs as the next logical extension of their efforts to deploy smart grid technology. As such, today’s UDM market shows potential for significant investment opportunities for both the regulated and unregulated business units of utilities. Click to tweet: According to a recent report from Navigant Research, implementation revenue associated with UDMs is expected to total $46.1 billion from 2014 to 2023.
“UDMs are a networking platform that utilities can both aggregate and optimize,” says Peter Asmus, principal research analyst with Navigant Research. “For example, similar to advanced metering infrastructure, key microgrid components can be easily integrated into existing smart grid deployments and help send the right price signals so that customers become part of the solution with proactive responses, rather than remaining passive reactive components with little awareness of their impact on the power grid.”
Though UDMs are still a relatively small segment of the overall microgrid market, according to the report, utility deployments and considerations of the emerging space are gaining traction in North America, Europe, and Asia Pacific. Particularly in the United States, government programs that have arisen due to major power outages caused by extreme weather have set the stage for regulatory reforms that may enable both customer-owned microgrids and UDMs to move forward in the next decade.
The report, “Utility Distribution Microgrids,” analyzes the global market opportunity for UDMs in three key segments: investor-owned utility (IOU) grid-tied, public power grid-tied, and public power remote. The report provides an analysis of the significant market issues, including policy and technology drivers and implementation challenges, associated with UDMs. Global market forecasts for capacity and implementation revenue, broken out by segment, region, and scenario, extend through 2023. The report also examines the current composition of and key technologies related to UDMs, as well as the competitive landscape. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant is a specialized, global professional services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals deliver expert and advisory work through implementation and business process management services. The firm combines deep technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism to address clients’ needs in highly regulated industries, including Construction, Energy, Financial Services and Healthcare. More information about Navigant can be found at navigant.com.
* The information contained in this press release concerning the report, “Utility Distribution Microgrids,” is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.