Outlook of the global vehicle grid integration technologies market
Technavio’s market research analyst predicts the global vehicle grid integration technologies market to grow profoundly at a CAGR of nearly 34% by 2020. The rising need for reduction in GHG emissions and energy independence will augment the prospects for growth in this market. Also, factors like the optimization of intermittent renewable generation will also aid in the steady growth of this market during the forecast period. Factors like the remote locations and intermittent nature of renewable energy sources act as the major constraints in utilizing their potential to the fullest. The vehicle-to-grid (V2G) technology is a viable option for solving these problems as it smoothens output power fluctuations from renewable energy sources. V2G technologies provide both frequency regulation and peak load balancing of power from renewable resources. Additionally, its ability to facilitate peak load management will result in its augmented adoption over the next four years.
The rising popularity of electric vehicles (EVs) and the recent increase in the number of government initiatives will be the key driver for the growth of this market. In recent times, increased marketing activities by vendors and widespread awareness have led to a rise in the popularity of EVs. Benefits such as low air and noise pollution will be the primary factors triggering its demand in the market. This increase in the popularity of EVs will result in additional vehicles being integrated into the grid.
Technological segmentation of the vehicle grid integration technologies market
Software and communication systems
In terms of technology, the drive systems segment will account for an impressive market share of more than 84% by 2020. The drive systems technology is the most expensive technology in vehicle grid integration. It acts as a DC-AC converter and enables the bi-directional flow of power between the vehicle and the grid. The ability of drive systems to facilitate the process of integration will result in its high demand during the forecast period.
Geographical segmentation of the vehicle grid integration technologies market
In this market study, the analysts have estimated APAC to be the largest market for vehicle-grid integration (VGI) technologies during the forecast period. In this region, the demand for VGI technologies will be primarily driven by the need for improving energy security in some of the fast-growing economies of APAC. The market for VGI technologies in APAC will grow impressively at a CAGR of almost 36% by 2020.
Competitive landscape and key vendors
The global vehicle grid integration technologies market is highly competitive due to the presence of numerous international and local suppliers. Since the technology is still in the nascent stage, new vendors that have the capability to develop specialized products can easily enter the market and capture market shares.
Leading vendors in the market are -
Other prominent vendors are Autoport, BMW, Daimler, Honda, and Kisensum.
Key questions answered in the report include
What will the market size and the growth rate be in 2020?
What are the key factors driving the global vehicle grid integration technologies market?
What are the key market trends impacting the growth of the global vehicle grid integration technologies market?
What are the challenges to market growth?
Who are the key vendors in the global vehicle grid integration technologies market?
What are the market opportunities and threats faced by the vendors in the global vehicle grid integration technologies market?
Trending factors influencing the market shares of the Americas, APAC, and EMEA.
What are the key outcomes of the five forces analysis of the global vehicle grid integration technologies market?
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The vehicle-to-grid (V2G) concept can improve the overall performance of the electricity grid by fostering grid efficiency, stability, and reliability. A V2G-capable vehicle can enable ancillary services, such as voltage and frequency control and spinning reserve. Though V2G operations reduce the lifetime of vehicle batteries, it is anticipated to be more economical for both vehicle owners and grid operators. The economic benefits of using this technology depend on factors like vehicle aggregation and charging/recharging frequency and strategies.
The global vehicle grid integration technologies market report is part of Technavio’s energy research portfolio. This portfolio provides a comprehensive market analysis along with the market share, market sizing, and market segmentations covering areas such as energy storage, power, oil and gas, smart grid, and waste and waste management. These market research reports provide a perspective on the various market opportunities and market threats along with the key trends that would influence the market growth during the forecast period. It presents insights into the changing competitive landscape and a detailed profiling and market analysis of the vendors. Also covered in the research are the key regions or countries that would have an impact on the market during the assessment years.