Subsea technologies largely depend on a variety of its components including underwater geology, mining, marine biology, offshore oil and gas developments and wind power. Growing demand for energy is a global phenomenon. Increasing production of offshore oil wells and growing rate of exploration in the market are serving as the driving factors for the global power grid systems market. Power grids are electrical utility distribution systems that provide electricity with help of transmission lines, substations and local distribution networks. These are smaller yet crucial components of the entire electricity distribution network.
Global Electric Grid Market Trends and Forecasting
Extended use of subsea power grid solutions is an interesting aspect to study, which consolidates the forecasts and trends about the global power grid system market. The market at subsea is largely driven by various components of the system including power supply sources and other components including cables, transformers, VSDs and others. Developments in the offshore industry deeply influence the overall market for subsea technologies. Hence, increasing investments in the offshore infrastructure is a great driver for the same.
Detailed analysis about the market suggests the increasing production and exploration of offshore oil wells. These reserves require investments into power grid systems solutions, which demand increasing capital spending. Different subsea technologies including exploration methods require large amount of power supply, which signifies growth in the power grid system market. Components of the power grid solutions and offshore power are the basic segments of the market. Wind power and captive power generation sources are major offshore sources.
Components of electric grid solutions and systems include variable speed drivers (VSD), switchgears, cables and transformers. Scarcity of fuel resources and depletion of conventional oil reserves and exploration of new oil wells in the offshore, deep water and ultra deep waters is creating requirements for these components on global level. This is contributing to increased production and demands for these solutions. As cited by the BP report, global electric demands have increased by 2.5% in 2011, which demands major exploration of unlocked fuel sources in unknown environments.
All these factors have created buzz in the power grid system market, which reflects in the forecasting reports of the industry. As far as turnover is concerned, the industry is poised at $1,196.6 million in 2013, which is aiming to grow at an estimated CAGR of 11.9%. According to this rate, the market will reach to a whopping $2,365.1 million by 2018. If these trends remain persistent, there is a great hope for business opportunities in subsea technologies and offshore electric solutions.
North – Dominion Plaza,
17304 Preston Road,
Suite 800, Dallas, TX 75252