For now, Asia Pacific has displaced North America as the largest microgrid market
A new report from Navigant Research aggregates data for seven primary microgrid segments across five regions, providing forecasts for annual and cumulative capacity, through 2024.
A microgrid is not a single technology, but rather a system of systems that can be applied by multiple stakeholders in diverse regions of the world. Across global markets, significant barriers remain for microgrids to be considered a standard option for adding new capacity and other energy-related services, yet the number of microgrids that are being deployed without the help of government grants and incentives continues to grow. Click to tweet: According to a new report from @NavigantRSRCH, global microgrid capacity is expected to grow from 1.4 GW in 2015 to 7.6 GW in 2024.
“Today’s microgrid market as a whole lacks consistent and accepted business practices for investment into microgrid systems, which creates barriers,” says Peter Asmus, principal research analyst with Navigant Research. “One possible solution is utility leadership in financing projects with utilities’ low cost of capital. In the near-term, this is one of the biggest influences that utilities can have on the microgrid market as a whole.”
Regionally, the largest microgrid market today is Asia Pacific, which displaces North America for the first time, according to the report. However, by the end of the 10-year forecast, these two regions are expected to switch places, with North America in the lead once again.
The report, Market Data: Microgrids, aggregates data on seven primary microgrid segments (including two subsegments) across five regions. The study analyzes the entire microgrid market in terms of total annual and cumulative capacity and implementation revenue attached to the underlying assets. Different scenarios for cumulative implementation revenue based on assumptions of percentages of legacy versus new assets are provided, as well. The report also presents three different forecast scenarios (conservative, base, and aggressive) for the entire microgrid market. An Executive Summary of the report is available for free download on the Navigant Research website.
Contact: Lindsay Funicello-Paul
* The information contained in this press release concerning the report, Market Data: 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.