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    Smart City Concepts and Renewable Energy Projects to Fuel Switchgear Sales in APAC: A Technavio Report

    By apacciooutlook | Thursday, June 02, 2016

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    KUALA LUMPUR, MALAYSIA: Frost and Sullivan, a provider of managing consulting services and solutions, in a recent report states switchgear market in the APAC to witness high demand due to increase in urban planning and development in the region.

    The latest analysis states switchgear market yielded revenue of US$5.93 billion in 2014 and outlines revenue trajectory to touch US$6.81 billion by 2019. Energy companies including switchgear original equipment manufacturers (OEMs) are expecting a surge in renewable integration and transmission and distribution (T&D) development projects across Southeast Asia and are moving their operations into the region through acquisitions and joint ventures. Plans to increase renewable installations in Asia-Pacific region are set to have a positive impact on medium- and high-voltage switch gear markets.

    Increasing demands of peak power has resulted in announcement of significant electrification projects in Asia-Pacific. Frost & Sullivan foresees enhanced demand and greater sales for switchgears in the region.

    Check Out: Top Renewable Energy Technology Companies 

    However, with the stringent technical specifications decided by major industries and sectors in Asia-Pacific, it is crucial that switchgear OEMs conforms to the latest IEC 61439standard. China holds the highest amount of the share of the APAC region’s Switchgear market

    Most of the global players are adopting a mix of market strategies to stay ahead in the highly fragmented and cost-competitive market by acquiring or signing joint ventures with local players while others have expanded their sales distribution channels.

    “Countries such as Singapore and Japan have been especially active in implementing smart city concepts,” says Frost & Sullivan Energy & Environment Research Analyst Adwaith Visveswaran. “This has prompted OEMs to produce switchgear products with intelligent communication, remote operation and feedback systems.”

    Check out: Energy Tech Review

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