The growing complexity of the current power grids because of rapidly growing population, technological advancements, computational tools and infrastructure are some of the key factors that are contributing to the requirement of deploying renewable energy integration with smart grid. Moreover, it helps in improving the efficiency and security of electrical energy. The advancement and modernization of these electric grids into smart grids is being done to enhance the facilitation of integration of renewable energy, reliability, and improving the overall power consumption management.
Because of the constant depletion of conventional resources of fuel and increasing concerns about environmental degradation and pollution, the growth of the smart girds integrated with renewable energy resources has garnered massive strategic significance. These systems are now expected to play a major role in resolving global energy crisis.
However, there are some potent challenges in front of the global renewable energy integration with smart grid market. A primary challenge for market development is the fluctuating and intermittent nature these renewable energy resources. This makes their integration with smart grids a relatively difficult task. This is the key challenge that must be resolved by the services providers in the global market. Another important challenge in front of the market development is the possibility in the increase of operational cost. Because of the variable nature of these renewable energy sources, they require considerable changes in the current network operations. This might eventually lead to rise in the cost of electricity.
Nonetheless, the overall power quality, voltage optimization, and functional efficiency has been improved by the integration of renewable energy with smart grid networks. Moreover, rapid population growth and industrialization that will require more power will act as key driving factors for the overall development of the global renewable energy integration with smart grid market.
Network of sub stations, transformers and electrical transmission lines constitutes a conventional electric grid which delivery electricity to domestic and industrial needs. Rapid industrialization and population growth resulted in peak load conditions causing failure of grid mechanism. The grid is not designed to accommodate power from various sources such as wind and solar energy. These renewable energy sources provides fluctuating power to grid and if high power is supplied results in failure. So integrating these renewable energy sources with grid operations is becoming difficult due to lack of consistency in delivering power. A need for highly reliable, compact, self-regulating smart grid system which will accommodate and adjust to fluctuating power automatically. Smart grid plays a critical role in integration of various renewable energy. Smart grid is a sum of high quality information, sensing, communication, control and technologies. If taken together results in electric power system that can efficiently integrate the job of all connected users.
Operational efficiency, optimized voltage and power quality has improved through the use smart grid systems in renewable energy integration. There are some technical, regulatory, policy, economic challenges related to smart grid usage for renewable energy integration. The main driver which favors renewable energy integration with smart grid is the rapid industrialization and population growth which demands more power without any breakdown or failure. Balancing supply and demand during surplus conditions are one of the technical challenges for this type of system. Economic challenges are returns on investments. More returns in such projects would favor more investments and vice-versa.
The basic classification is done based on the type of renewable energy used for integration with smart grid technology such as wind, hydroelectric, biomass, geothermal, solar. This system has very low efficiency when compare to fossil fuels generation. Technological improvement and research and development activities are being looked upon to enhance the overall efficiency of this system. Wind and solar energy delivers more efficiency when compared to other renewable energy sources. Wind and solar energy integration with smart grid would deliver more overall efficiency.
North America is the leader in this segment followed by Europe and Asia. U.S. and Canada holds the largest share for renewable energy integration technologies with smart grid. Over the last seven years, Sweden has added significant grid connected wind power systems. Korea is developing in terms of adding smart grids for renewable energy deployment. Various pilot projects in Austria is under process which has significant potential for wind, solar, hydro power deployment through smart grids. California and Canada are investing on better technologies for better network distribution planning and operations for growing demand for renewable energy sources. India is integrating solar and wind energy for smart grid platform. Rapid industrialization and population growth rate requires more power, China and India are the key markets for renewable energy integration system using smart grid.
Companies involved in smart grid for renewable energy integration are Chevron Corporation, GE Energy Management, Echelon Corporation, Schneider Electric, Siemens AG, Viridity Energy, ZBB Corporation, ABB Limited, Power Analytics Corporation, Honeywell International, Inc., Toshiba Corporation, Pareto Energy Ltd. and others.
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.