Fundamentally amplified by the massive overhaul of aging distribution networks across the world, distribution panel market share is set to witness a rather remarkable progression in the upcoming years. A marked uptick in the widescale deployment of distribution panels can be accredited to the soaring rural electricity demand and increased expenditure toward revamping the existing infrastructure has consequentially aided distribution panel industry size augmentation. Add to it, the demand for highly efficient and energy saving distribution boards across the globe has been on the rise which has necessitated the leading distribution panel industry participants to strive harder to periodically release an assortment of unique products and innovative solutions to stay relevant in this combative business space. Moreover, numerous regulators across developed and developing nations, of late, have been prescribing stringent energy performance parameters to monitor the burgeoning energy consumption more effectively. In essence, it wouldn’t be incorrect to state that the future growth potential of distribution panel market, estimated to have surpassed a total valuation of over USD 4.5 billion in 2016, looks rather promising.
North America Distribution Panel Market, By End Use, 2016 & 2024 (USD Billion)
A recent instance affirming the veracity of the aforementioned statements is that of Schneider Electric launching its online portal to assist its distribution panel builder associates. Regarded as one of the most acclaimed players partaking in distribution panel industry, the France-headquartered firm’s latest platform rightly demonstrates the exceptional shifts that are being witnessed across this business space. Reportedly, the portal would offer seamless access to its comprehensive guides and resources including a dedicated set of business tools, quote-building forms, and electrical design calculators. Furthermore, the portal can be accessed remotely- a factor that would address the ever-evolving panel building requirements in this digitized era and is likely to establish itself as a one-stop solution for the stakeholders involved in enhancing the scope of market. In consequence, the launch of such innovative platforms highlights the transformation of distribution panels with regards to their maintenance and upgradation which would translate into building smart and cost-effective products. Considering the aforementioned aspects, it is quite imperative that the global distribution panel industry would traverse along a lucrative growth path in the ensuing years.
In terms of the regional distribution panel market growth outlook, Asia Pacific is anticipated to expand exponentially owing to the rising renewable energy and rural electrification projects across various developing economies in the region. Renowned global financial entities along the likes of International Finance Centre, Asian Development Bank, and World Bank have been approving substantial grants to aid the electrification projects being undertaken across financially deprived rural hinterlands of developing countries in the region. This is in addition to various government initiatives that aim to cater the burgeoning demand for electricity due to the swift growth of urban centers, growing inclination toward clean energy, and technological advancements to assist an energy-efficient and distribution network. For instance, Indian government’s Ministry of Power unveiled one of its most ambitious flagship programs to initiate disruptive reforms in order to provide round the clock power to rural households and agricultural sector. The scheme, named as DeenDayal Upadhyaya Gram Jyoti Yojana (DDUGJY) would focus on feeder separation to ensure sufficient power and strengthen the distribution infrastructure and sub-transmission networks including metering at every level in rural regions of the nation. Apparently, distribution panels would undeniably have a crucial role to play in the unhindered and thorough implementation of this scheme, which has a gargantuan outlay of about Rs 76,000 crore. Elaborating further, such enormous government initiatives coupled with escalating pace of industrialization and urbanization being witnessed in the developing countries of the Asia Pacific region would further fuel the product penetration which would, in turn, drive the distribution panel industry over the estimated timeframe.
Speaking of the competitive spectrum of the overall distribution panel industry, developing new product types that can be deployed across multiple business verticals such as chemicals, cement, power generation, refineries has become the preeminent strategy of firms in this business space. In addition, leading manufacturers have been focusing toward developing smart distribution panels that would comply with the regulatory measures, which would intensify the distribution panel market size augmentation. In fact, as per a study undertaken by Global Market Insights, Inc., the global distribution panel industry is projected to exceed a remuneration portfolio of around USD 7 billion by 2024.