A new report from Navigant Research analyzes the key trends, drivers, and barriers to adoption of smart grid and DER technologies within the utility industry across Southeast Asia.
Mirroring much of the developed world, Southeast Asia is fundamentally transforming its electric power system to adopt a smart grid framework. While the market has been slow to develop, this is changing due to demographic factors like urbanization, population growth, and consumption patterns. According to the report, Southeast Asia’s future grid revenue is expected to grow from approximately $5.5 billion in 2018 to nearly $13.0 billion in 2027 at a compound annual growth rate (CAGR) of 9.7 percent.
“In Southeast Asia, utilities span the spectrum of the future grid evolutionary curve,” says Michael Kelly, research analyst with Navigant Research. “Countries like Vietnam and Indonesia are just beginning their journeys, where others, like Malaysia and Singapore, have become regional innovators.”
Market forces like DER and government support are also helping to move most of the region beyond simple electrification schemes and basic IT infrastructure deployment. As Southeast Asia’s transformation continues, long-term, established smart grid roadmaps are growing more popular, and increased spending is expected in the distributed generation and utility IT and analytics markets.