Demand for power transmission and distribution equipment to grow at 8.2%
According to a prediction by Freedonia Group, a division of MarketResearch.com, demand for electric power transmission and distribution equipment in India is forecast to rise by 8.2% per year to $15.8 billion in 2023.
Upgrades and expansion of the nation's underdeveloped electricity sector – both to reduce the large amount of power currently lost during transmission and to improve access to electricity in rural areas will provide strong opportunities for growth in the country, as consumers switch away from alternative sources of power such as generators.
"India has set goals toward diversifying its energy sources to include renewable options – including solar, wind, and hydropower – which will necessitate the installation of additional transmission capacity," the report mentioned. In contrast, the overall global demand for electric power transmission and distribution equipment totalled $141 billion in 2018 and is projected to climb 4.0% annually to $172 billion in 2023.
Factors supporting increases include strong growth in China - by far the largest national market - which will account for 33% of new demand rapid industrialization in India, the third-largest market for these products in the world growing populations, particularly in developing countries where electrical infrastructure is still being established continued integration of electricity generated by renewable energy sources into existing power grids.
The Freedonia Group, a division of MarketResearch.com is a leading international industrial research company operating since 1985.