- Asia-Pacific is estimated to be the fastest growing market for smart meters from 2017 to 2022.
- The smart electric meter segment is expected to hold the largest share of the smart meter market.
- North America is the leading market for smart meters.
The smart meters market is projected to reach $20 billion by 2022, at a CAGR of 9.34% from 2017 to 2022. The North American market is estimated to be the largest market for smart meters, followed by Asia-Pacific in 2017. This trend is expected to continue till 2022.
Smart meters are used in the industrial, commercial, and residential sector, measuring energy consumption of the consumers. Factors such as government policies & mandates in developed economies and accurate billing & improved customer service are driving the market globally. Residential customers are the fastest end-users of smart meters, followed by commercial and industrial customers. The growth of the smart meters market is driven by favourable government policies, increasing focus on energy conservation, rising investment in smart grid projects, and increasing investment towards efficient distribution networks.
Asia-Pacific is estimated to be the fastest growing market for smart meters from 2017 to 2022
Factors such as government policies & mandates in developed economies and accurate billing & improved customer service are driving the global smart meters market. China is expected to grow at the fastest pace during the forecast period. Furthermore, the growing power sector in India is expected to spur the growth of the market and represents a promising opportunity for major smart meters providers. Japan is also expected to witness a significant growth during the same period. On the other hand, Europe and the Middle East are trying to boost their energy efficiency programs, T&D spending, and construction & infrastructural activities.
The smart electric meter segment is expected to hold the largest share of the smart meter market, by type, during the forecast period
The smart electric meter segment is estimated to dominate the smart meter market and is projected to have the largest market share during the forecast period. Government and other legislative bodies are promoting the installation of smart electricity meters around the world, as electricity meters help to monitor energy usage efficiently and reduce dependence on depleting fossil fuels. Smart metering allows governments, energy regulators, and policy makers to implement international commitments to reduce greenhouse gas emissions and contribute towards a greener environment. It will help governments to attain the goal of energy independence and reduce the environmental footprint of a country.
The Advanced Metering Infrastructure (AMI) technology segment is expected to grow at the fastest CAGR from 2017 to 2022
With regards to the technology segment, Advanced Metering Infrastructure (AMI) are expected to constitute the fastest growing market from 2017 to 2022 because of its advanced technology. Moreover, AMI reduces labor cost and several power, water, and gas utilities worldwide are replacing AMR with AMI infrastructure, further creating growth opportunities for the AMI market.
North America: The leading market for smart meters
The North American market dominates the smart meters market during the forecast period. In North America, the growth of the smart meters market can be attributed to focus on electricity, water, & gas, monitoring & prevention of leakage, and the repair & upgrade of aging infrastructure. Lot of smart meters rollouts are taking place in countries such as the U.S., Canada, and Mexico which would impart growth in the North American region.
The smart meters market is dominated by a few major players that have a wide regional presence and are established brand names. Leading integrated solution providers in the smart meters market include Itron, Inc. (U.S.), Kamstrup A/S (Denmark), Holley Metering, Ltd. (China), Honeywell International, Inc. (U.S.) and Toshiba Corporation (Japan).