SBI Energy has released a research study on microgrids, projecting the market will reach $14.92 billion by 2020. The study also projects the market value will experience a hefty 102.4% increase from 2010 to 2015, and from 2015 to 2020, another 78% increase in its market value. This reflects a hike in microgrid electrical output from 1.57 GW in 2010 to 3.2 GW in 2015 and 5.67 GW in 2020.
Microgrids, also referred to as minigrids, off-grids and remote electrification grids are a smaller version of the traditional electrical grid or the newer digitized smart grid. A large variety of microgrid types exist: smart microgrids, islanded or decentralized microgrids, hybrid microgrids and rudimentary microgrids, to name a few.
“Microgrid installations around the world include everything from diesel generator-based rural electrification projects supplying electricity to small remote villages to large, futuristic cities and theme parks powered by multiple forms of renewable energy and using the newest microgrid technologies,” explains Nana Lapham, SBI analyst and author of the study.
Exciting growth, such as was seen in 2010 when the world market for microgrids reached $4.14 billion, up 15% over 2009, is expected to continue at least through the year 2020. According to the report, the market segment for institutional and campus microgrids, which claimed nearly 45% of total market share in 2010, is expected to cede some of its ownership by 2020 to the commercial and industrial microgrid sector, as well as to military and off-grid microgrid types.
Findings in SBI Bulletin: Microgrids 2006-2020 reveal North America staked a near 74% of total microgrid market share in 2010; by 2020 it is expected that the microgrid pie will be slightly more evenly distributed among the regions of the world.
Source: SBI Research
