Global Grid-Forming Inverter Market Expected to Reach USD 1,042 Million by 2028, Growing at a CAGR of 8.9%

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Nov 01, 2023, 21:00 ET

DUBLIN, Nov. 1, 2023 /PRNewswire/ -- The "Grid-forming Inverter Market by Power Rating (Below 50 KW, 50-100 KW, Above 100 KW), Voltage ( 100-300 V, 300-500 V, Above 500 V), Type (Micro Inverters, String Inverters, Central Inverters), Application & Region - Global Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.

The global grid-forming inverter market is estimated to grow from USD 1,042 million by 2028 from an estimated of USD 680 million in 2023; it is expected to record a CAGR of 8.9% during the forecast period. The grid-forming inverters play a vital role in effectively managing the large influx of renewable energy and ensuring grid stability.

Above 100 KW: The second largest- growing segment of the grid-forming inverter market

Based on by power rating of grid-forming inverter , the above 100 KW segment is estimated to be the second largest-growing market from 2023 to 2028. Above 100 kW grid-forming inverters provide grid stability and resilience by offering grid support services, such as frequency regulation, voltage control, and reactive power compensation. These services are especially critical in regions with high renewable energy integration.

String Inverters: The second largest segment by standard in grid-forming inverter market

The string inverters segment, by type, is projected to hold the second largest market size during the forecast period. String inverters are generally more cost-effective than central inverters for smaller-scale solar PV installations. They offer a good balance between performance and affordability, making them an attractive choice for residential and small commercial projects. The installation and maintenance of string grid-forming inverters are relatively straightforward, and they typically have lower maintenance requirements compared to more complex central grid-forming inverters.

Wind Power Plants: The second largest segment by application in grid-forming inverter market

The wind power plants segment, by application is projected to hold the second largest market size during the forecast period. Grid-forming inverters are increasingly being utilized in wind power plants to support grid stability and enhance the integration of wind energy into the electricity grid. These specialized inverters play a crucial role in creating and maintaining a stable grid environment, allowing wind power plants to operate in grid-forming mode rather than relying solely on the stability of the existing grid.

North America: The second fastest-growing region in grid-forming inverter market

North America is estimated to hold the second fastest market share in the grid-forming inverter market. The increasing focus on grid resilience and preparedness for natural disasters is leading to a greater interest in microgrid solutions that incorporate grid-forming inverters. The interest in microgrids is rising in North America, particularly for critical facilities, military bases, and remote communities. Grid-forming inverters are vital components of microgrids, allowing them to operate autonomously or in coordination with the main grid.

Premium Insights

Increasing Installation of Renewable Energy Projects and Integration of Clean Power into Grids to Create Opportunities for Players in Market
Solar PV Plants and China to Hold Largest Shares of Market in Asia-Pacific in 2033
Below 50 kW Segment to Dominate Market in 2033
Above 500 V Segment to Hold Largest Share of Market in 2033
Central Inverters to Lead Market in 2033
Solar PV Plants to Lead Market in 2033

Market Dynamics

Drivers

Rising Investments in Renewable Energy Sector
Growing Demand for Distributed Solar Energy Resources Supported by Government-Led Incentives

Restraints

More Expensive Than Traditional Grid-Following Inverters
Grid-Forming Inverters are Not Compatible with All Existing Grid Infrastructure

Opportunities

Rising Demand for Electric Vehicles
Growing Investments in Smart Grid Development
Growing Adoption of High-Power Density Inverters

Challenges

Incompatibility of Control Algorithms Used by Grid-Forming Inverters with Grid Operating Systems
Grid Codes and Regulations to Pose Challenge for Grid-Forming Inverter Deployment

Case Study Analysis

Achieve Reliable and Stable Grid Operation
Enhance Stability and Flexibility of Local Grid
Challenges Associated with Grid Stability
Maintaining Grid Stability
Regulatory Bodies, Government Agencies, and Other Organizations

Companies Mentioned

Altenergy Power System Inc.
Delta Electronics, Inc.
Delphi Technologies
Enphase Energy
Fimer Group
Fronius International GmbH
Goodwe
General Electric
Gamesa Electric
Growatt New Energy
Huawei Technologies Co., Ltd.
Kaco New Energy
Power Electronics S.L.
Sungrow
Sma Solar Technology Ag
Solaredge Technologies
Schneider Electric
Sensata Technologies, Inc.
Tmeic
Tbea Xinjiang Sunoasis

For more information about this report visit https://www.researchandmarkets.com/r/vwylg7

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