The global backup power market to grow at a CAGR of 4.59% during the period 2017-2021.
The report covers the present scenario and the growth prospects of the global backup power market for 2017-2021. To calculate the market size, the report considers the revenue generated from the new installations and exclude aftermarket/services market. The report also includes a discussion of the key vendors operating in this market.
One trend in market is aging grid infrastructure. The power grid has remained the same since its development a century ago, with several pieces of equipment reaching the end of their service life. Climate change policies and improvements in technology have resulted in electricity generation from carbon-free renewable sources, such as solar, wind, and hydro.
According to the report, one driver in market is increasing need for backup power due to grid outages. The aging infrastructure, rise in population, and additional power sources have increased the strain on the infrastructure causing power outages. Below is the year-over-year number of outages in the US caused by the weather, equipment failure, maintenance shutdown, load shedding, vandalism, and cyber-attacks.
Further, the report states that one challenges in market is increasing distributed generation and off-grid power systems. Common problems faced by the power industry are the rising energy costs, aging infrastructure, mass electrification, and climate changes. To overcome these challenges there is rising interest in distributed generation. This is expected to have a major impact on backup power systems as they are used as a secondary source if the grid fails. Distributed generation is transforming the way power is generated and consumed, and considered as a method to improve the reliability of the grid.