The global gas insulated transfer market size was valued at USD 2,339.43 million in 2021 and is anticipated to witness a compound annual growth rate (CAGR) of 5.5% from 2022 to 2030. The market is to propel the market as increasing investments in transmission & distribution infrastructure and usage of gas insulated transformers in many regions. Strict environmental regulations and concerns regarding the use of sf6 gas anticipated to hinder the market growth. Based on the segment the market is divided by installation, by voltage and end user industry.
Global Gas Insulated Transformer Market: Regional Insights
Based on geography, the global gas insulated transformer market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East &Africa., North America is the second-largest electricity market across the globe in terms of electricity production. The electricity production, transfer, distribution, and usage procedure in the region are undergoing profound alterations. The electricity markets, especially concerning the change and supply networks, have experienced notable restructuring, paving the method for the rising need for developed technologies, comprising gas insulated transformers.
In 2020, the electricity generation by oil, natural gas, coal, and nuclear in Europe advocated a fall of 14%, 2%, 17%, and 10%, comparatively to the earlier year. The electricity production by hydroelectric and renewables raised by 4% and 10% in 2020, in which wind and solar energy have made a notable contribution to the whole European power market.
Figure 1: Global Gas Insulated Transformer Market Share (%), By Region, 2021
Global Gas Insulated Transformer Market Drivers:
Developing economies advocated a notable rise in power usage in the current years. Resulting, regulatory, along with the power. Companies, introduced reforms to decrease power losses in the transmission and distribution infrastructure, along with the usage of eco-friendly and effective tools in the construction of T&D networks and linked infrastructure.
Gas insulated transformers (GITs) are utilized in several regions, especially for gas insulated substations. GITs can be combined straightly with gas-insulated switchgear, eradicating the necessity for a distinct transformer room. This preparation leads to a gas-insulated substation (GIS), a usual configuration for inner-city applications and buildings.
Global Gas Insulated Transformer Market Opportunities:
Gas-insulated transformers (GITs) are being utilized in several main economies to decrease the adequate space for the transformer room and safety concerns. The GITs can be utilized as a substitute to the conventional transformers in the wind farm offshore substations to solve the space constraint challenges.
In current times, various emerging countries have also been making labors to enter the offshore wind power sector. For example, amidst the Southeast Asian countries, Vietnam has an excellent surrounding for offshore wind power development; it has determined wind power plans. In early 2021, Vietnam released its draft PDP VIII, in which the country originally planned to fuel wind energy manufacture from 600 MW in 2020 to above 12GW by 2030.
|Base Year:||2021||Market Size in 2021:||US$ 2,339.43 Mn|
|Historical Data for:||2017 to 2020||Forecast Period:||2022 to 2030|
|Forecast Period 2022 to 2030 CAGR:||5.5%||2030 Value Projection:||US$ 3,710.17 Mn|
Nissin Electric Co. Ltd. , Arteche Group, Hyosung Heavy Industries Corp., Meidensha Corp., Mitsubishi Electric Corporation, Trench Group, Chint Group, Toshiba Corp., Takaoka Toko Co. Ltd and Shihlin Electric & Engineering Corp
|Restraints & Challenges:||
Global Gas Insulated Transformer Market Trends:
The plan also comprises over 35 potential offshore wind-power projects. As per the Global Wind Energy Council (GWEC), around 1.5 GW of offshore wind projects are in construction in Vietnam. The offshore wind market in the country is most possibly to witness substantial growth in the up-coming years owing to the regulatory ambitious plans.
The Department of Energy (DOE) in the Philippines launched an Offshore Wind Roadmap project with the World Bank Group's (WBG) support. The project, funded through the WBG's Energy Sector Management Assistance Program (ESMAP), intended to identify the areas of opportunities in the Philippines with high potential for offshore wind development. It also aimed to establish short and long-term offshore wind targets and formulate strategies to successfully integrate offshore wind in the government's renewable energy (RE) portfolio.
Global Gas Insulated Transformer Market Restraints:
In gas insulated transformers, sulfur hexafluoride (SF6) gas is vastly utilized for insulation. SF6 gas is chemically stable, non-flammable, and highly electronegative, its dielectric property making it appropriate for insulated transformers compared to the usually harmful oil that risks fire, explosions, and polluting leaks.
On the flip side, SF6 is a potent greenhouse gas with a global warming robust of over 23,500 times that of CO2. Also, SF6 is regarded as one of the main potent greenhouse gas, as per the Intergovernmental Panel on Climate Change (IPCC). Thus, both producers and consumers must take all the essential precautions to impede the modification and handling of leaks.
Figure 2: Global Gas Insulated Transformer Market Share (%), By Voltage:, 2021
Global Gas Insulated Transformer Market Segmentation:
The global gas insulated transformer market report is segmented by Voltage, installation and end-user.
Based on Voltage the segment is divided into, low voltage, medium voltage and high voltage. Out of which the gas insulated transformers of low voltage of up to 72.5 kV are linked to power and distribution transformers. A low voltage gas insulated transformer comprises a box, a transformer body, a cable box, SF6 gas, SF6 gas sleeve, a transformer on-load voltage regulation switch, a pressure monitoring device, a gas density gauge, a gas temperature gauge, a sudden pressure relay, a plate radiator, an airflow indicator, a winding temperature gauge, a gas circulation pump, a cooling system intelligent control box, and a blowing device.
A high voltage gas insulated transformer (above 220 kV) comprises a box, a transformer body, a cable box, SF6 gas, SF6 gas sleeve, a transformer on-load voltage regulation switch, a pressure monitoring device, a gas density gauge, a gas temperature gauge, and a sudden pressure relay. Additionally, the cable box, the SF6 gas, and the SF6 gas sleeve are used for the outgoing of a 220 kV high-voltage cable.
Based on installation the market segmented into indoor and outdoor. Gas-insulated transformers are modified to be fixed for indoor and outdoor applications. Gas-insulated transformers are utilized for underground or indoor installations in urban areas as they are dense in design, generate less noise, and release low-electromagnetic radiation.
Outdoor transformers change line voltage input to low voltage output and are modified for safe outdoor usage. Outdoor installations of gas-insulated transformers are generally done in enclosures to change and supply electricity for a long distance.
Based on the end user industry, the market is segmented into Industrial, Commercial and Utility out of which in Gas-insulated transformers are utilized in industries with vast space constraints and low maintenance necessities. Several organizations comprise aerospace, agribusiness, automotive manufacturing, biopharmaceuticals, consumer goods, energy, environmental technology, machinery, and equipment.
As electricity need has raised from commercial end users worldwide, the commercial segment of the gas-insulated transformer market is anticipated to advocate decent development in the future. Commercial users' electricity usage profiles are classified by a peak load period over business hours and a relatively low baseload period over the non-working hours.
Global Gas Insulated Transformer Market: Key Developments
In October 2021, Egypt and Greece finalized a deal to design the European Union (EU)-backed EuroAfrica Interconnector subsea cable. The EUR 2.5 billion HVDC project will have an initial transmission capacity of 1 GW and will relate Egypt to Greece through Cyprus. The Egypt-Cyprus segment is anticipated to be commissioned in December 2022, and the connection between Cyprus and Crete is anticipated to be commissioned in December 2023.
In January 2022, Power Grid Corporation of India Ltd signed a joint development deal with Africa50 to grow the Kenya Transmission Project on a public-private collaboration basis. The project comprises of the growth, financing, construction, and operation of the 400kV Lessos- Loosuk and 220kV Kisumu- Musaga transmission lines, with PowerGrid India offering technical and operational skill for the project.
In February 2021, PowerGrid Corporation of India appointed its 2GW-320kV, 165km long Pugalur–Thrissur HVDC line, which was built at USD 700 million. In December 2020, the Indian state of Maharashtra disclosed plans to build a USD 1.08 billion 800 kV underground HVDC project to offer an extra of 1 GW of electricity to Mumbai.
In November 2020, the European Union disclosed plans to change its electricity system to depend usually on renewables within a decade and increase its offshore wind energy capacity 25-fold by 2050. As of 2020, the renewable energy source, usually wind and solar, offered unevenly one-third of EU electricity.
Global Gas Insulated Transformer Market: Key Companies Insights
The global gas insulated transformer market is highly competitive. This is attributed to continuous launch of new technologies due to ongoing R &D and efforts by value chain participants. Moreover, key players are adopting various business growth strategies in order to expand their presence on regional as well as global basis. Some of the key players in the global gas insulated transformer market are:
Nissin Electric Co. Ltd. , Arteche Group, Hyosung Heavy Industries Corp., Meidensha Corp., Mitsubishi Electric Corporation, Trench Group, Chint Group, Toshiba Corp., Takaoka Toko Co. Ltd and Shihlin Electric & Engineering Corp.
*Definition: SF6 gas called for its non-flammability and coordinative capability with environmental situations. Lt was vastly utilized in underground substations and indoor substations at underground shopping surroundings, traffic processes, and public structures. SF6 Gas-Insulated transfomers are modified to decrease fire harmful and less threat on the surrounding. By straightly combining with the gas insulated switchgear, substation place can be decreased as the outcome of compact services, as a non-flammable, non-polluting and the Tank-explosion prevention transformer.
The transformer gas relay is a defensive device fixed on the top of oil-filled transformers. It conducts two functions. It identifies the slow accumulation of gases, offering an alarm prior to a given quantity of gas that has been gathered.
Further, in recent years, many regions, such as China and India, changed their aim from new transmission toward upgrading rural power grids and construction of distribution networks. For example, in January 2022, the officials of India granted Green Energy Corridor (GEC) Phase–II. It will facilitate grid integration and power evacuation of around 20 GW of renewable energy (RE) power projects in seven states. The increasing interest in the offshore wind-power sector in the emerging regions, after the government's persistent target and the upcoming offshore wind projects, is anticipated to provide notable opportunities for the gas-insulated transformers (GITs) in the upcoming future.
On Contrary, various health and safety companies, such as Occupational Safety and Health Organization (OSHA), issue warnings about the formation of toxic compounds from the electrical discharge of SF6 gas. In February 2022, the German Social Accident Insurance (DGUV) published a document with instructions and data regarding occupational health and safety of work tasks conducted in the sulphur hexafluoride (SF6) plants, systems, and particularly for SF6 in gas insulated transformer devices.
Key features of the study: