The Rising Demand for Power Optimization Techniques in Various End-Use Industries will Garner US$ 2.1 billion in 2033
The global power system simulators market is anticipated at US$1.1 billion in 2022. Demand is likely to remain high for power system simulators during the assessment period. This is due to the rising demand for power optimization techniques in various end-use industries and garnering US$ 2.1 billion in 2033, recording a CAGR of 6.0% from 2023 to 2033. The market is likely to secure US$ 1.2 billion in 2023.
Key Factors Shaping the Demand Outlook of the Power System Simulators Industry:
- Rising application in the industrial sectors to augment the growth of the power system simulators market
- Increasing awareness about the advantages of the power system simulators technique elevates the demand
- Widening application of power system simulators in the power electronic sector is expected to spur the growth
- Growing advances in technology and increased use of Big data and cloud technology are expected to create new growth prospects for power system simulators manufacturers
Power System Simulator Market Revenue Analysis from 2018 to 2022 Vs Market Outlook for 2023 to 2033
The power system simulator market is expected to witness high growth during the forecast period due to the increasing demand from the power sector and growing technological advances in IoT-based based cloud. Extensive development in the energy sector has heightened the demand for power system simulators globally.
The increasing complexity of power systems, driven by the integration of renewable energy sources, distributed generation, and smart grid technologies, has created a need for advanced simulation tools.
Power simulation tools help in addressing the challenges associated with maintaining stability, reliability, and resilience in modern power grids. The power system simulators market is projected to show a noteworthy growth of US$ 2.1 billion by the end of the forecast period of 2033.
Which Drivers Underpin Power System Simulator Industry Expansion?
Increasing Demand for Renewable Energy Sources Propel the Demand for Power System Simulator
The increasing penetration of renewable energy sources, such as solar and wind, poses challenges to the stability and reliability of power systems. Power system simulators enable the modeling and simulation of renewable energy integration, helping utilities and system operators analyze the impact of intermittent generation, grid constraints, and control strategies for optimal integration.
With increasing emphasis on energy efficiency and sustainability in the power sector the demand for power system simulators is high as it enables the evaluation of energy management and optimization techniques, demand response strategies, and energy storage systems. These simulators help utilities and researchers identify opportunities for energy savings, reduce carbon emissions, and achieve sustainability goals.
Expansion of Power Generation Capacity Drives the Demand for Power System Simulator
The increasing expansion of power generation capacity and the rapidly increasing power sector globally is the main factor driving the growth of the power system simulator market.
Power system simulators have significant applications in the power generation industry. Power system simulators are used to evaluate the performance of power plants. They help in analyzing the steady-state and dynamic behavior of power generation units, such as thermal power plants, combined cycle plants, and renewable energy systems.
Thus, the rapid growth of the power sector due to increased industrialization drives the growth of the power system simulator market during the forecast period
Power System Simulator Market Country-wise Insights
Why is the Demand Rising in the United States Power System Simulator Market?
Increasing Application in the Industrial Sector to Boost the Growth of the Power System Simulators Market in the United States
The global power system simulator market is expected to be dominated by North America. The market is anticipated to expand at a CAGR of 5.9% and is expected to accumulate a market value of US$ 374.7 million over the forecast period.
The growth of the market in the region is due to the increasing need for grid modernization, integration of renewable energy sources, and increasing investments in smart grid technologies. The market size is expected to continue expanding due to ongoing infrastructure upgrades and the adoption of advanced simulation tools.
The growing trend towards renewable energy sources, such as solar and wind power, is also expected to boost the demand for power system simulators in the region. Simulators help in modeling and optimizing the operation of renewable energy systems, evaluating grid stability, and planning for effective grid integration.
Who are the Leading Players in Power System Simulator Market?
Prominent players in the power system simulator market are ABB Ltd.; Schneider Electric SE; Eaton Corporation PLC; Fuji Electric Co., Ltd.; S&C Electric Company among others.
The key players in power system simulators are focusing on improved productivity and quality of their products in order to gain more customer base. Key players are working on research & development activities for the effective composition of the material that is to be used for manufacturing.
Other expansion strategies of key players include extensive research & development activities, collaborations, and mergers & acquisitions. Some notable developments are as follows:
- In June 2021 – Fuji Electric Co., Ltd. is announces the launch of the 7500WX Series, a high-capacity uninterruptible power supply system.
- In December 2022 – Schneider Electric, plans to double its manufacturing capabilities with the development of a new smart factory in Bengaluru
- Siemens offers a comprehensive portfolio of simulation tools, including the PSS® suite of software solutions. Siemens’ simulators provide advanced capabilities for power system analysis, optimization, and control. The company has focused on integrating artificial intelligence (AI) and machine learning (ML) techniques into its simulators to enhance system monitoring, predictive analytics, and decision-making support.
- GE offers a range of simulation and analysis tools. Their software suite, known as GE PSLF (Positive Sequence Load Flow), enables utilities and grid operators to model and analyze power systems for planning, operation, and stability studies. GE has also developed advanced capabilities in real-time simulation and Hardware-in-the-Loop (HIL) testing for power electronics applications.
- ETAP is a leading provider of power system analysis and simulation software. ETAP’s simulators cover a wide range of applications, including load flow analysis, transient stability analysis, protection coordination, and renewable energy integration. The company has also focused on integrating advanced visualization capabilities and real-time data synchronization into its simulation tools.
- RTDS Technologies specializes in real-time digital simulation solutions for power systems. Their RTDS Simulator is a hardware-based simulator that enables real-time simulation of power system components, control systems, and protection devices.