Download Sample, Increased Renewable Energy Generation Capacity Supplements the Global Protection Relay Market
Increasing investments in the energy sector is one of the factors driving the protection relay market growth. Apart from this, the modernization of existing electrical power systems also acts as a driving factor for the market expansion. The increasing use of smart grid technology and the implementation of advanced metering infrastructure are also expected to boost market growth. However, the current tendency across the global electric power grid is the incorporation of renewable energy sources (RES). Increased renewable power capacity, such as solar, wind, and biofuels, as well as increased investment in renewable energy sources, are likely to boost the protective relay market over the forecast period.
According to the International Energy Agency 2022 Report, renewables accounted for 28.7% of global power generation in 2021. Additionally, in order to reach net zero emissions by 2050, it is anticipated that the renewable share of the generation must expand faster to account for 60% of the total energy production by 2030. The use of renewable energy causes major changes in the operating mode of the power system, affecting the operation of relay protection and automation equipment. Renewable energy sources can reduce short-circuit currents and the insensitivity of the protection system to this issue. These factors are expected to drive demand for protection relays throughout the forecast period.
According to the International Energy Agency 2022 Report, renewables accounted for 28.7% of global power generation in 2021. Additionally, in order to reach net zero emissions by 2050, it is anticipated that the renewable share of the generation must expand faster to account for 60% of the total energy production by 2030. The use of renewable energy causes major changes in the operating mode of the power system, affecting the operation of relay protection and automation equipment. Renewable energy sources can reduce short-circuit currents and the insensitivity of the protection system to this issue. These factors are expected to drive demand for protection relays throughout the forecast period.
Increasing Demand for Electromagnetic Relays is Driving the Market Progress
Industrial transformation in emerging nations is a crucial element that is anticipated to stimulate demand for electrical energy while also boosting the market for protective relays. The increase in the number of commercial and industrial organizations, as well as the number of substations and transmission grids, notably in China and India, has all had a significant influence on market growth. Additionally, increasing the focus of key manufacturers to develop novel products that contribute towards the expansion of their product offerings also aids market growth.
Furthermore, the electromagnetic relays are anticipated to account for a sizable share in the protection relay market. Electromagnetic relays are extremely common owing to their rapid operation, high functionality, and great dependability. In addition, the adoption of these relays in both AC and DC systems for equipment protection and their ability to operate in milliseconds is propelling the market growth. Moreover, growth in the usage of electromagnetic protection relays in motor, transformer, and generator protection is expected to fuel the protection relay market.
Furthermore, the electromagnetic relays are anticipated to account for a sizable share in the protection relay market. Electromagnetic relays are extremely common owing to their rapid operation, high functionality, and great dependability. In addition, the adoption of these relays in both AC and DC systems for equipment protection and their ability to operate in milliseconds is propelling the market growth. Moreover, growth in the usage of electromagnetic protection relays in motor, transformer, and generator protection is expected to fuel the protection relay market.
Recent Trends in the Protection Relays Industry
- Adoption of AI algorithms for predictive maintenance and fault detection.
- Focus on sustainability with eco-friendly materials and energy-efficient designs.
- Advancements in sensor technologies for precise and reliable fault detection.
- Integration of IoT for real-time monitoring and remote-control capabilities.
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Novel Product Developments Present Lucrative Growth Potential for the Market Growth
Major players in the protection relays industry are concentrating their efforts on producing products and solutions in order to expand their product portfolio. To further strengthen their position in the global market, they are increasing their product range through the addition of new goods, mergers, and acquisitions. For example, in January 2023, ABB announced the launching of a new edition of the Relay Explorer RXplore mobile application. RXplore was developed for operators and site engineers to improve ease of use and efficiency while maintaining protective relays on-site. The app provides a secure connection to the ABB cloud as well as to specified ABB protection and control relays and ABB monitoring and diagnostic devices.
Earlier, in November 2019, Siemens expanded its capabilities for medium-voltage and industrial power networks with the launch of the new Reyrolle 5 series of protection relays. The minimal number of device types allows for simple ordering and efficient engineering, while the upgraded hardware platform makes the protection relays even easier to use and control. Furthermore, in May 2021, Basler Electric, a pioneer in the design and production of cutting-edge power control and protection devices, introduced the BE1-FLEX, a revolutionary protective relay platform. The BE1-FLEX, the latest addition to Basler's BE1 line of digital protection devices, was designed to be the most adaptable and user-friendly protective relay in the market.
Earlier, in November 2019, Siemens expanded its capabilities for medium-voltage and industrial power networks with the launch of the new Reyrolle 5 series of protection relays. The minimal number of device types allows for simple ordering and efficient engineering, while the upgraded hardware platform makes the protection relays even easier to use and control. Furthermore, in May 2021, Basler Electric, a pioneer in the design and production of cutting-edge power control and protection devices, introduced the BE1-FLEX, a revolutionary protective relay platform. The BE1-FLEX, the latest addition to Basler's BE1 line of digital protection devices, was designed to be the most adaptable and user-friendly protective relay in the market.
High Costs, Lack of Investments and Security Concerns are Likely to Hamper the Market Development
Apart from the various advantages offered by protective relays, the constraints associated with them are anticipated to impede the market expansion over the forecast period. For instance, the high cost of installation and maintenance of protective relays is expected to slow down the development pace of the market. Additionally, a lack of investment in grid stability in developing nations would also pose a barrier to the business. Besides this, other concerns such as fierce competition from the unorganized sector and the cybersecurity of numerical relays will impede market expansion.
ABB, Basler Electric, Eaton Corporation PLC, Fanox, General Electric Company, Iskra, Littelfuse, Inc., MEIDENSHA CORPORATION, Mitsubishi Electric Corporation, NISSIN ELECTRIC Co., Ltd., Rockwell Automation, Inc., Schneider Electric, Siemens, TE Connectivity, Toshiba Energy Systems & Solutions Corporation are some of the prominent market players operating in the global protection relays market.
ABB, Basler Electric, Eaton Corporation PLC, Fanox, General Electric Company, Iskra, Littelfuse, Inc., MEIDENSHA CORPORATION, Mitsubishi Electric Corporation, NISSIN ELECTRIC Co., Ltd., Rockwell Automation, Inc., Schneider Electric, Siemens, TE Connectivity, Toshiba Energy Systems & Solutions Corporation are some of the prominent market players operating in the global protection relays market.
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Rising Urbanisation, Expanding Infrastructure and Transmission Networks are Impacting the Market Expansion
Asia Pacific is anticipated to experience significant growth in the protection relays market owing to the expanding energy consumption in the region. Growing infrastructure as a result of expanding urbanization has also contributed to the market growth in the region. Densely populated countries like India and China have spurred the demand for power consumption in the Asia Pacific region which in turn is expected to drive the market growth over the forecast period.
Furthermore, North America and Europe are also expected to witness substantial growth in the protection relays market during the forecast period. This growth can be attributed to the expanding transmission networks and upgrading existing electric infrastructure. Solar energy use has increased in Europe and Latin America in recent years, which will eventually function as a growth catalyst for the protective relay markets in these regions.
Furthermore, North America and Europe are also expected to witness substantial growth in the protection relays market during the forecast period. This growth can be attributed to the expanding transmission networks and upgrading existing electric infrastructure. Solar energy use has increased in Europe and Latin America in recent years, which will eventually function as a growth catalyst for the protective relay markets in these regions.
The report provides a detailed overview of the protection relays market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for the protection relays market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the protection relays market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the protection relays market. Some key countries and regions included in the protection relays market report are as follows:
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Central America Countries, Caribbean Countries, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Switzerland, Belgium, Sweden, Austria, Norway, Denmark, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Singapore, Malaysia, Philippines, Vietnam, Thailand, Bangladesh, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Nigeria, Egypt, Turkey, Morocco, Ethiopia, Algeria, Israel, Iran, Iraq, Kenya, Rest of MEA |
Protection Relays Market Research Report Covers In-depth Analysis on:
- Protection relays market detailed segments and segment-wise market breakdown
- Protection relays market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in the protection relays industry)
- Current, historical, and forthcoming 10 years' market valuation in terms of protection relays market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Protection relays market demand analysis
- Protection relays market pricing analysis over the forecast period (by key segment and by region)
- Protection relays market regional insights with region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in the protection relays market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in protection relays market
- Protection relays market sales and distribution strategies
- A comprehensive overview of the parent market
- A detailed viewpoint on protection relays market forecast by countries
- Mergers and acquisitions in the protection relays market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
What is the expected growth of the protection relays market in the upcoming years?
The protection relays market is expected to see substantial growth driven by the increasing demand for reliable power distribution, advancements in technology, and the expansion of renewable energy systems.
What factors influence the demand for protection relays?
Key factors driving the demand for protection relays include rising power generation from renewable sources, the need for grid modernization, and increased government investments in infrastructure to prevent electrical failures.
What are the key trends shaping the protection relays market?
Key trends include the integration of digital protection relays, the adoption of smart grids, and innovations in communication technologies that enhance the performance and monitoring capabilities of protection relays.
