The global busway market accounted for US$ 5.66 Bn in 2015 and is expected to grow at a CAGR of 6.66% during the forecast period 2016 – 2025, to account for US$ 10.81 Bn in 2025.
Within this market, various regions are observed to exhibit different growth trends. The North America (NA) and Europe (EU) are matured market and therefore comprise major share of overall market, however, the developing nations in geographic areas such as Asia Pacific (APAC), Middle East and Africa (ME), Africa and South America (SAM) are exhibiting a high growth due to various factors such as increase in number of new industries and infrastructure and its need for electrification. Adoptions of Busway is expected to accelerate at a high growth rate in the coming few years due to, growing number of power grid and development in renewable energy plants in almost all over the globe. Its various advantage over cable wiring is attracting end-user from different sectors such as industrial, data centers, transportation and residential sector, and therefore influencing the market revenues and growth rates globally.
Exhibit: Busway Lucrative Regional Markets
Rising demand of power conservation system with increasing number of smart cities and green constructions
With the growing number of smart cities around the globe, the need for new and intelligent infrastructure to meet the advanced requirements of residents and businesses is also increasing. An effective way to support these city goals is by using technology which supports power conservation, and optimize and control key systems and infrastructure. The growing number of smart cities and green constructions is influencing the busway market congruently.
Apart from this, market is projected to witness a high growth on the account of increasing substantially big residential and construction activities, and up-gradation of electrical power distribution infrastructure in commercial and industrial sector. It is expected that by 2050, more than two-third of world population will be living in cities and these cities will be fully electrified. This increase in power transmission will boost the busway market as well, which is primary choice for power transmission and distribution among various end-user especially those in high-rise buildings and industrial premises.
Besides this, green constructions are also supporting efficient power distribution and power conservation, specifically, with the usage of compact and advanced equipment such as busway to distribute electricity efficiently throughout the facility.
Rising electrification in emerging countries will influence the busway market
Access to electricity is particularly crucial to county development, as certain signification applications such as industrialization, residential and commercial applications. Electrification can help achieve economic and social objectives. The International Energy Agency (IEA) estimates that 1.5 billion people lacked access to electricity in 2008, more than one-fifth of the world’s population. Approx. 85% of those without electricity live in rural areas, mainly in Sub-Saharan Africa and South Asia.
Considerable progress has been made with government initiative in these developing countries. Achieving sustainable universal electricity access by 2030 is one of the important global target and this will influence the busway market in positive aspect. It is evident that an even stronger focus on electricity access will be seen in coming year to meet the needs of the low electrification and overcome this constraint on development.
Exhibit: Busway Market by Region
Few of the recent strategies by some of the players in busway market landscape are listed below-
2017: ABB in partnership with POWERGRID India was awarded a project contract to deliver transmission link in order to distribute electricity to more than 80Mn people with the project cost estimated to be worth US$ 640 Mn.
2017: The tiny houser project that was developed by Home Builder Institute in Florida, Orlando would deploy electrical solutions from power management company Eaton.
2016: ABB supplied low voltage power distribution solutions to the new car manufacturing factory of Renault-Nissan and Daimler’s strategic joint venture located in Aguascalientes, Mexico.
The report segments the global busway market are as follows:
Busway Market – By Type
Global Busway Market - Company Profiles