Unified Power Flow Controller Market Size, Share, Growth and Industry Analysis, By Type (STATCOM, and, SSSC), By Application (Electric power, wind energy system, and others) Regional Forecast To 2027

Updated On: 22 April 2024

REPORT OVERVIEW

• 

• Request a Free Sample to learn more about this report

The Global unified power flow controller market is expected to be worth USD 515.08 million in 2021. As per our research, the market is projected to touch USD 669.75 million by 2027 with a CAGR of 4.47% during the forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden spike in CAGR is attributable to the market's growth and demand returning to pre-pandemic levels once the pandemic is over.

The unified power flow controller (UPFC) is a cutting-edge device used in electrical power systems to enhance grid stability and control. It operates by independently controlling the magnitude and phase angle of voltage at specific points in the transmission network. By doing so, UPFC can efficiently regulate power flow, reduce line losses, and improve system reliability. UPFC plays a pivotal role in optimizing power flow, mitigating voltage instability, and enhancing the utilization of existing transmission infrastructure.

Its ability to respond rapidly to changing grid conditions makes it a vital component in modern power systems, ensuring efficient electricity transmission and minimizing grid congestion. All of these factors have helped in the unified power flow controller market growth.

COVID-19 Impact: Travel Restrictions and Hinderance in On-site Installations During Pandemic Decreased Market Growth

The COVID-19 pandemic was the main source of problems for the operation of all the industries. The COVID-19 pandemic had a limited direct impact on unified power flow controller (UPFC) technology itself, but it indirectly affected its deployment and development. Supply chain disruptions temporarily slowed the production and distribution of electrical components, potentially delaying UPFC projects.

Additionally, travel restrictions hindered on-site installation and maintenance, affecting the commissioning of UPFC systems. However, the pandemic underscored the importance of a resilient and reliable electrical grid, potentially driving increased investments in advanced technologies like UPFC to enhance grid stability and efficiency as governments and utilities focus on strengthening critical infrastructure in the wake of global disruptions.

LATEST TRENDS

"Compact and Cost-Effective Models of UPFCs to Fuel Market Growth"

Recent trends in unified power flow controller (UPFC) technology showcase its evolving role in modern power systems. Firstly, UPFCs are becoming more compact and cost-effective, making them more accessible for grid operators. Secondly, there's a growing emphasis on incorporating advanced control algorithms and real-time data analytics to optimize power flow efficiently.

Additionally, UPFCs are being integrated with renewable energy sources to enhance grid stability and accommodate fluctuating energy generation. Grid modernization initiatives worldwide are driving the adoption of UPFCs to enhance energy efficiency, reduce losses, and support the integration of sustainable energy. These trends reflect UPFCs' vital role in shaping the future of power grids

By Segmentation

• 

• Request a Free Sample to learn more about this report

By Type:

The market can be divided on the basis of type into the following segments.

STATCOM, and, SSSC. The STATCOM segment that is expected to lead the market during the forecast period.

By Application:

Classification based on application is as follows:

Electric power, wind energy system, and, others.  The electric power segment that is expected to lead the market during the forecast period.

DRIVING FACTORS

"Increasing Integration of Renewable Energy Sources into Power Grids to Increase Market Growth"

The driving factors behind unified power flow controller (UPFC) advancement are multifaceted. Firstly, the increasing integration of renewable energy sources into power grids demands enhanced grid stability, making UPFCs crucial for managing fluctuations. Secondly, the rising energy demand necessitates efficient use of existing infrastructure, promoting the installation of UPFCs to optimize power flow.

Thirdly, environmental concerns encourage minimizing transmission losses, which UPFCs help achieve. Moreover, regulatory incentives and government policies promoting grid modernization incentivize UPFC deployment. Finally, the growing awareness of energy efficiency and grid reliability amplifies the demand for UPFC technology, making it a vital solution in the evolving energy landscape. All of the above-mentioned factors are unified power flow controller market share.

"Growing Need for Grid Flexibility to Amplify Market Growth"

In addition to grid stability and energy efficiency, several other driving factors propel the adoption of unified power flow controllers (UPFCs). Firstly, the need for grid flexibility to accommodate electric vehicle charging and distributed energy resources is on the rise. UPFCs provide the necessary controllability to manage these dynamic loads.

 Secondly, increasing concerns about grid resilience in the face of extreme weather events and cyber threats make UPFCs valuable for grid protection and restoration. Thirdly, globalization and cross-border power exchange require advanced grid control, making UPFCs essential in interconnecting and synchronizing grids. These factors collectively fuel the demand for UPFC technology in modern power systems.

RESTRAINING FACTOR

"Complex Design and Integration Process to Decrease Market Growth"

Several restraining factors challenge the widespread adoption of unified power flow controllers (UPFCs). Firstly, the high initial investment cost can deter utilities from implementing this technology, particularly in regions with budget constraints. Secondly, the complex design and integration process require skilled engineers, contributing to operational costs and potential delays.

 Thirdly, regulatory barriers and existing infrastructure limitations can impede the seamless incorporation of UPFCs into legacy power grids. Moreover, concerns about cybersecurity vulnerabilities in control systems raise security issues that need addressing. Lastly, the need for international standards and interoperability hinders UPFC's global deployment. Addressing these challenges is essential for maximizing the benefits of UPFC technology.

Regional Insights

• 

• Request a Free Sample to learn more about this report

"North America to Dominate Market During Forecast Period"

The leading region in unified power flow controller (UPFC) technology is North America, particularly the U.S. North America has consistently emerged as a global leader in the development and deployment of advanced power transmission and distribution solutions. UPFCs are critical devices in modern power systems, providing real-time control over voltage and power flow, thereby enhancing grid stability and efficiency. The region's commitment to innovation, robust research and development infrastructure, and a growing need for grid modernization have fueled the prominence of UPFC technology in North America. As the demand for reliable and resilient power systems continues to grow, North America remains at the forefront of UPFC advancements.

"Leading Players adopt Acquisition Strategies to Stay Competitive "

Several players in the market are using acquisition strategies to build their business portfolio and strengthen their market position. In addition, partnerships and collaborations are among the common strategies adopted by companies. Key market players are making R&D investments to bring advanced technologies and solutions to the market.

List of Market Players Profiled

• Sieyuan Electric Co., Ltd. (China)
• GE Energy (U.S.)
• Siemens AG (Germany)
• Toshiba Corporation (Japan)
• Mitsubishi Electric Power Products, Inc. (U.S.)
• ABB Ltd. (Switzerland)
• Rongxin Power Electronic Co., Ltd (China)
• American Superconductor (U.S.)
• Crompton Greaves Ltd. (India)
• Hyosung Power & Industrial Systems Performance Group (South Korea)
• Eaton Corporation (Ireland)
• S&C Electric Company (U.S.)
• Alstom SA (France)

Report Coverage

The report provides an insight into the industry from both the demand and supply sides. Further, it also gives information on the impact of COVID-19 on the market, the driving and the restraining factors along with the regional insights. Market dynamic forces during the forecast period have also been discussed for the better understanding of the market situations. The report is very useful for making decisions and forecasts. A list of key market players has also been listed.