Executive Summary

The gas insulated substation market is expected to grow significantly in the coming years, driven by increasing demand for electricity, growing infrastructure development, and rising adoption of renewable energy sources. The global GIS market is expected to reach USD 41.9 billion by 2025, growing at a CAGR of 8.2% from 2020 to 2025. North America is the largest market for GIS, followed by Europe and Asia-Pacific.

Important Note: The companies listed in the image above are for reference only. The final study will cover 18–20 key players in this market, and the list can be adjusted based on our client’s requirements.

Key Market Insights

• The global gas insulated substation market is expected to grow significantly in the coming years, driven by increasing demand for electricity, growing infrastructure development, and rising adoption of renewable energy sources.
• North America is the largest market for GIS, followed by Europe and Asia-Pacific.
• The GIS market is expected to reach USD 41.9 billion by 2025, growing at a CAGR of 8.2% from 2020 to 2025.
• The key players in the GIS market include ABB Ltd., Siemens AG, General Electric Company, Mitsubishi Electric Corporation, Schneider Electric SE, Toshiba Corporation, Hyundai Electric & Energy Systems Co., Ltd., and Larsen & Toubro Limited.

Market Drivers

• Growing demand for electricity: The demand for electricity is increasing globally due to rising population, urbanization, and economic growth. This is expected to drive the growth of the gas insulated substation market in the coming years.
• Infrastructure development: The growing need for infrastructure development, particularly in developing countries, is expected to drive the demand for GIS. GIS technology offers several advantages over traditional air-insulated switchgear, including higher reliability and better performance, making it ideal for use in urban areas with limited space.
• Rising adoption of renewable energy sources: The increasing adoption of renewable energy sources, such as solar and wind power, is expected to drive the demand for GIS. GIS technology is well-suited for use in renewable energy projects, as it can help to reduce transmission losses and improve grid stability.

Market Restraints

• High initial cost: The high initial cost of installing a gas insulated substation is one of the major factors hindering the growth of the market. The cost of GIS is higher than that of traditional air-insulated switchgear, making it less attractive to some customers.
• Environmental concerns: The use of sulfur hexafluoride (SF6) gas in GIS has raised environmental concerns, as SF6 is a potent greenhouse gas that has a global warming potential (GWP) of 23,500 times that of CO2. This has led to increased scrutiny and regulations around the use of SF6, which could impact the growth of the GIS market.

Market Opportunities

• Growing demand for smart grid technology: The growing demand for smart grid technology is expected to create new opportunities for the GIS market. GIS technology can help to improve the reliability and performance of smart grids by providing advanced monitoring and control capabilities.

• Emerging markets: The increasing need for electricity in emerging markets, such as India and China, is expected to create new opportunities for the GIS market. These countries are investing heavily in power infrastructure to support economic growth, which is expected to drive demand for GIS.
• Hybrid switchgear: The development of hybrid switchgear, which combines the advantages of both GIS and AIS technology, is expected to create new opportunities for the GIS market. Hybrid switchgear offers the benefits of GIS, such as compactness and reliability, while also addressing some of the drawbacks, such as high cost and environmental concerns.

Market Dynamics

The global gas insulated substation market is characterized by intense competition among the key players. The market is also highly regulated, with strict environmental regulations governing the use of SF6 gas in GIS. The key players in the market are investing in R&D to develop new products and technologies to stay competitive. They are also expanding their presence in emerging markets to tap into new opportunities for growth.

Regional Analysis

North America is the largest market for gas insulated substations, followed by Europe and Asia-Pacific. The growth of the North American market is driven by increasing investment in power infrastructure and the adoption of renewable energy sources. The European market is driven by stringent environmental regulations and the need for grid modernization. The Asia-Pacific market is expected to grow significantly in the coming years, driven by increasing demand for electricity in emerging markets and the adoption of smart grid technology.

Competitive Landscape

Leading Companies in the Gas Insulated Substation Market:

1. ABB Ltd.
2. Siemens AG
3. General Electric Company
4. Mitsubishi Electric Corporation
5. Toshiba Corporation
6. Schneider Electric SE
7. Larsen & Toubro Limited
8. Bharat Heavy Electricals Limited (BHEL)
9. Crompton Greaves Limited
10. Hitachi ABB Power Grids Ltd.

Please note: This is a preliminary list; the final study will feature 18–20 leading companies in this market. The selection of companies in the final report can be customized based on our client’s specific requirements.

Segmentation

The global gas insulated substation market can be segmented based on voltage, application, and region. Based on voltage, the market can be segmented into medium voltage, high voltage, and extra high voltage. Based on application, the market can be segmented into power transmission, power distribution, and others.

Category-wise Insights

Based on voltage, the high voltage segment is expected to dominate the gas insulated substation market during the forecast period. This can be attributed to the increasing demand for high voltage GIS in power transmission and distribution applications. Based on application, the power transmission segment is expected to dominate the market, driven by increasing demand for electricity and the need to improve grid stability and reliability.

Key Benefits for Industry Participants and Stakeholders

The key benefits of the gas insulated substation market for industry participants and stakeholders include:

• Higher reliability and better performance compared to traditional air-insulated switchgear
• Lower maintenance costs
• Compact size, making it ideal for use in urban areas with limited space
• Improved grid stability and reliability, particularly in areas with high demand for electricity
• Reduced transmission losses, leading to improved energy efficiency and cost savings

SWOT Analysis

Strengths:

• Higher reliability and better performance compared to traditional air-insulated switchgear
• Lower maintenance costs
• Compact size, making it ideal for use in urban areas with limited space

Weaknesses:

• High initial cost compared to traditional air-insulated switchgear
• Environmental concerns related to the use of sulfur hexafluoride (SF6) gas

Opportunities:

• Growing demand for smart grid technology
• Emerging markets, such as India and China
• Hybrid switchgear technology

Threats:

• Intense competition among key players
• Stringent environmental regulations governing the use of SF6 gas in GIS

Market Key Trends

Some of the key trends in the gas insulated substation market include:

• Growing adoption of renewable energy sources: The increasing adoption of renewable energy sources, such as solar and wind power, is driving demand for GIS technology. GIS can help to reduce transmission losses and improve grid stability, making it well-suited for use in renewable energy projects.
• Increasing demand for smart grid technology: The growing demand for smart grid technology is driving the adoption of GIS technology. GIS can provide advanced monitoring and control capabilities, improving the reliability and performance of smart grids.
• Development of hybrid switchgear technology: The development of hybrid switchgear technology, which combines the advantages of both GIS and AIS technology, is a key trend in the market. Hybrid switchgear technology offers the benefits of GIS, such as compactness and reliability, while also addressing some of the drawbacks, such as high cost and environmental concerns.

Covid-19 Impact

The Covid-19 pandemic has had a mixed impact on the gas insulated substation market. On one hand, the pandemic has disrupted supply chains and caused delays in project timelines, which has impacted the growth of the market. On the other hand, the pandemic has also led to increased investment in power infrastructure to support economic recovery, which is expected to drive demand for GIS in the coming years.

Key Industry Developments

Some of the key developments in the gas insulated substation market include:

• ABB Ltd. announced the launch of its new GIS technology, called PASS M00, in 2020. The technology is designed to reduce the footprint of substations and improve energy efficiency.
• Siemens AG announced the launch of its new GIS technology, called Blue GIS, in 2018. The technology uses clean air as the insulating medium, reducing the environmental impact of GIS technology.
• Mitsubishi Electric Corporation announced the launch of its new GIS technology, called the SX9, in 2020. The technology is designed to improve the reliability and performance of power grids.

Analyst Suggestions

• Invest in R&D: The key players in the GIS market should continue to invest in R&D to develop new products and technologies that can improve the performance and reliability of GIS.
• Expand presence in emerging markets: The growing need for electricity in emerging markets presents a significant opportunity for the GIS market. Key players should look to expand their presence in these markets to tap into new opportunities for growth.
• Address environmental concerns: The use of SF6 gas in GIS has raised environmental concerns. Key players should look to develop new technologies that can address these concerns and reduce the environmental impact of GIS technology.

Future Outlook

The global gas insulated substation market is expected to continue to grow in the coming years, driven by increasing demand for electricity, growing infrastructure development, and rising adoption of renewable energy sources. The development of hybrid switchgear technology is expected to create new opportunities for the GIS market, as it can help to address some of the drawbacks of traditional GIS technology, such as high cost and environmental concerns.

Conclusion

The gas insulated substation market is a growing market, driven by increasing demand for electricity, growing infrastructure development, and rising adoption of renewable energy sources. Key players in the market are investing in R&D to develop new products and technologies to stay competitive. They are also expanding their presence in emerging markets to tap into new opportunities for growth. The adoption of smart grid technology and the development of hybrid switchgear technology are key trends in the market. The Covid-19 pandemic has had a mixed impact on the market, with disruptions to supply chains and project timelines offset by increased investment in power infrastructure.

In the coming years, the market is expected to continue to grow, driven by increasing demand for electricity and the need to improve grid stability and reliability. Key players in the market should look to invest in R&D to develop new technologies that can address environmental concerns related to the use of SF6 gas in GIS and reduce the environmental impact of GIS technology. Addressing these concerns can help to ensure the long-term sustainability of the GIS market and position key players for success in the coming years.