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Field Electrification Market Size
Field Electrification Market is expected to record significant growth rate from 2024 to 2032, on account of the high awareness about the role of onshore and offshore renewables in accelerating the energy transition. As the energy sector emerges as the largest contributor to GHG emissions, grid integration with clean energy is gaining momentum. The electrification of oil & gas platforms has therefore become a major trend, contributing to industry development during the forecast period.
Field Electrification Market Trends
In recent years, key efforts have been undertaken to access offshore wind power and reduce power consumption-related emissions. A notable example is the UK’s North Sea Transition Deal, targeting a 50% reduction in emissions related to oil & gas production by 2030. Such initiatives will influence the nation to sanction expenditure on the next wave of oil field electrification projects.
Additionally, to slow down the pace of global warming and mitigate climate change, companies and governments made commitments to reach carbon neutrality by 2050. The introduction of decarbonization projects will positively impact the business outlook.
To handle the climate crisis amid global inflation, key legislations have also been passed. The Inflation Reduction Act, for example, unlocked additional transformative investments to strengthen energy security in America. Signed into law in August 2022, this legislation provided USD 369 billion to boost the consumption of clean energy solutions and promote community-scale environmental justice. With climate change becoming a top priority, government bodies have also created task forces to reach GHG emission goals. These efforts to accelerate the clean energy transition will drive electrification trends and consequently boost market dynamics.
Field Electrification Market Analysis
The automotive segment is predicted to represent new opportunities for field electrification industry players up to 2032, driven by the emphasis on electric vehicle promotion. Over the years, semiconductor manufacturing companies have been designing efficient electrical systems for use in EVs.
Europe will emerge as a lucrative revenue pocket for the field electrification industry during 2024 and 2032, considering the rise in oil and gas exploration projects. For example, in October 2022, the Conservative government of the UK offered nearly 100 oil and gas exploration licenses covering around 900 areas in the North Sea.
Additionally, private companies including the North Sea Transition Authority have signed deals with the UK government and secured funding to reduce offshore emissions. Such decarbonization strategies will lead to progress in offshore field electrification projects and consequently add impetus to the regional industry expansion.
Field Electrification Market Share
Some of the major players in field electrification industry are ABB, ICF International Inc., ZAPI GROUP, Enel X S.r.l., Powersys Solutions, General Electric, Siemens, Duke Energy Corporation, Enel Spa, and Schneider Electric.
Field Electrification Industry News
- In August 2022, Siemens and Nissan built upon their long-term partnership to digitalize production lines for the all-electric Nissan Ariya at the company’s Tochigi, Japan plant.