South and Central America Smart Grid Market Size (2024 - 2029)

The smart grid market in South and Central America is poised for growth, driven by the integration of renewable energy sources and efforts to combat power theft, which are expected to enhance electricity price regulation and reduce transmission losses. Despite the challenges posed by the high initial and operational investments required for large-scale deployment, the market's potential is significant, particularly with advancements in metering infrastructure. Brazil's status as a major electricity producer further underscores the region's capacity to expand its smart grid market.

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Market Size of South and Central America Smart Grid Industry

outh and Central America Smart Grid - Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 3.00 %

Major Players

South and Central America Smart Grid Market Major Players

*Disclaimer: Major Players sorted in no particular order

South & Central America Smart Grid Market Analysis

The market for smart grid networks in South and Central America is expected to grow at CAGR of more than 3% in the forecast period of 2020-2025. Factors such as efforts to incorporate increasing renewable energy and to reduce the ongoing rampant power theft in the concerned region are expected to drive the smart grid network in the forecast period. Also, the smart grid network will assist in minimizing transmission and distribution losses, which further help in better electricity price regulation in the region. However, deployment of a smart grid network at a large scale requires a high initial investment and further operational investments. For developing countries of Central and South America, this is a serious challenge that will restrain the growth of the smart grid in the forecast period.

  • Advanced Metering Structure devices are fundamental devices in the modernization of the grid network. With sound installation, AMS is expected to witness considerable growth in the forecast period.
  • In January 2018, the Colombian Ministry of Mines and Energy established a target for advanced metering infrastructure (AMI) to be deployed by 2030 to cover 95% of consumer units in urban centers and 50% of rural units, equivalent to 11 million units. This is going to create vast market opportunities for market players.
  • Brazil is the largest producer of electricity in the entire South, and Central America has the potential to be the largest market for the smart grid in the forecast period. With more than 500 TWh of electricity in 2018, Brazil is expected to drive the smart grid market in South America.

South & Central America Smart Grid Industry Segmentation

The South and Central America smart grid market report include:

Technology Application Area
Transmission
Demand Response
Advanced Metering Infrastructure (AMI)
Other Technology Application Areas
Geography
Brazil
Argentina
Chile
Rest of South and Central America
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South and Central America Smart Grid Market Size Summary

The smart grid market in South and Central America is poised for growth, driven by the need to integrate renewable energy sources and combat power theft. This technological advancement aims to reduce transmission and distribution losses, thereby enhancing electricity price regulation. However, the high initial and operational costs associated with large-scale smart grid deployment present significant challenges, particularly for developing nations in the region. Despite these hurdles, the market is expected to expand, with advanced metering infrastructure (AMI) playing a crucial role in modernizing the grid. Countries like Brazil and Chile are leading the charge, with substantial investments and plans to install millions of smart meters, creating lucrative opportunities for market players.

Brazil stands out as a key player in the region's smart grid market, leveraging its status as the largest electricity producer in South and Central America. The country's extensive high voltage transmission network and commitment to renewable energy projects position it for significant growth in smart grid technology. Initiatives such as the Eletrobras Distribution Rehabilitation project and the digitalization efforts by Enel Group underscore the region's shift towards smarter grid solutions. The market is partially consolidated, with major companies like Enel Group, Honeywell International Inc., Itron Inc., Siemens Ag, and Schneider Electric Se driving innovation and expansion. As more countries adopt smart grid technologies, the market is expected to continue its upward trajectory in the coming years.

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South and Central America Smart Grid Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Market Size and Demand Forecast in USD billion, till 2025

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

      2. 1.5.2 Restraints

    6. 1.6 Supply Chain Analysis

    7. 1.7 Porter's Five Forces Analysis

      1. 1.7.1 Bargaining Power of Suppliers

      2. 1.7.2 Bargaining Power of Consumers

      3. 1.7.3 Threat of New Entrants

      4. 1.7.4 Threat of Substitutes Products and Services

      5. 1.7.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Technology Application Area

      1. 2.1.1 Transmission

      2. 2.1.2 Demand Response

      3. 2.1.3 Advanced Metering Infrastructure (AMI)

      4. 2.1.4 Other Technology Application Areas

    2. 2.2 Geography

      1. 2.2.1 Brazil

      2. 2.2.2 Argentina

      3. 2.2.3 Chile

      4. 2.2.4 Rest of South and Central America

South and Central America Smart Grid Market Size FAQs

The South and Central America Smart Grid Market is projected to register a CAGR of greater than 3% during the forecast period (2024-2029)

Enel Group, Honeywell International Inc., Siemens Ag, Schneider Electric Se and Itron Inc. are the major companies operating in the South and Central America Smart Grid Market.

South & Central America Smart Grid Market Report Snapshots

South & Central America Smart Grid Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)