Utility Sector Drives Mobile Substation Market Expansion
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The Mobile Substation Market is projected to witness substantial growth, expanding from an estimated USD 789.3 million in 2018 to USD 1,136.9 million by 2023, at a CAGR of 7.57% during this period. This growth is driven by the increasing need for temporary power supply solutions in emergency and disaster situations, as well as during planned maintenance in utilities and industrial sectors. Mobile substations offer a flexible, rapid deployment solution that ensures uninterrupted power supply, making them critical in regions facing frequent natural disasters or in remote areas where infrastructure development is ongoing. The rising investments in renewable energy and grid modernization projects further bolster the demand for mobile substations, particularly in regions undergoing significant infrastructural transformation.
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The mobile substation, also referred to as a portable substation or compact powerhouse, is gaining traction in the global market due to its numerous advantages. Key factors driving its growth include ease of transportation, time-saving capabilities, and flexibility in deployment. Mobile substations are designed for rapid installation in limited spaces and can be easily relocated as needed, making them an ideal solution for temporary power needs or in regions with developing infrastructure. The transportability, short startup and commissioning times, reduced mechanical footprint, and elimination of the need for extensive civil work further enhance their appeal. These benefits are expected to fuel the growth of the mobile substation market during the forecast period, particularly in areas where quick and efficient power solutions are essential.
Market for utilities application expected to grow at higher CAGR during the forecast period
Mobile substations play a crucial role in emergency response, offering a reliable backup solution when immediate power distribution is essential. These versatile units are invaluable in both utility and industrial applications, swiftly restoring energy supply during unplanned outages or providing temporary power during scheduled maintenance. For utilities, mobile substations have demonstrated their effectiveness in scenarios such as disaster response, rapid transmission capacity expansion, and planned maintenance. By deploying these substations, utilities can significantly reduce or even eliminate prolonged electricity outages, ensuring continuous power supply and enhancing overall system reliability. Their ability to deliver power quickly makes them an indispensable asset in maintaining uninterrupted energy distribution.
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Several leading companies, such as Siemens, General Electric, Eaton, and MEIDENSHA, are key providers of mobile substations to the utility industry. These firms play a crucial role in enhancing the reliability and flexibility of power distribution. For example, in 2017, Siemens delivered two mobile substations to National Grid SA, the transmission operator of Saudi Electricity Co. Siemens designed 380kV mobile substations, each with a transformer rating of 502 MVA, demonstrating their capacity to handle high-voltage requirements. Similarly, General Electric has supplied mobile substations for critical utility projects, including for Saudi Electricity Company in Saudi Arabia and E.ON SE's electric project in Spain. These deployments underscore the growing importance of mobile substations in maintaining robust and adaptable power systems worldwide.
Mobile Substation Market in the Middle East & Africa to grow at the highest CAGR during forecast period
The Middle East & Africa region not only holds the largest market share in the global mobile substation industry but is also projected to experience the highest CAGR during the forecast period. This growth is largely driven by rapid electrification efforts across Africa, which are essential for supporting the continent's expanding infrastructure and economic development. Additionally, the growing demand from the metals and mining industry in Africa further propels the market, as these sectors require reliable and flexible power solutions to support their operations. The combination of these factors positions the Middle East & Africa as a key growth region in the global mobile substation market.
Politically unstable situations in Middle Eastern countries, such as Iraq, have been gradually stabilizing, leading to increased government efforts to improve basic amenities, including electricity. In line with these efforts, the Ministry of Electricity in Iraq has made significant strides by ordering 12 mobile substations for its utilities in 2017. These installations are expected to alleviate the ongoing power shortages in the country. Earlier, in 2014, the Ministry also ordered 16 mobile substations from CG Power (India) to provide interim grid connections and temporary power supplies across various utilities and industries in Iraq. Additionally, the Aktif Group delivered 10 mobile substations to Iraq in 2017. This growing demand for mobile substations extends beyond Iraq to other countries such as Angola, Algeria, Mozambique, and Libya, where the need for reliable and flexible power solutions is driving market growth.
Mobile Substation Companies:
- Siemens (Germany),
- ABB (Switzerland),
- Eaton (Ireland),
- General Electric (US),
- CG Power (India),
- MEIDENSHA (Japan)
- Powell Industries (US),
- WEG (Brazil),
- TGOOD (Hong Kong),
- NARI Group (China),
- Aktif Group (Turkey),
- Delta Star (US),
- Atlas Electric (US),
- Matelec Group (Lebanon),
- Unit Electrical Engineering (UEE) (Canada),
- Efacec (Portugal).
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