Power Metering Market Expected to Reach $21 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Power Metering Market," The power metering market was valued at $11.2 billion in 2022, and is estimated to reach $21 billion by 2032, growing at a CAGR of 6.2% from 2023 to 2032.

Power metering is a crucial tool for energy management, cost control, and environmental sustainability. It benefits both consumers and utilities by providing insights into electricity consumption patterns and facilitating better decision-making for efficient and reliable energy use. Power metering helps identify energy-efficient practices and equipment, enabling users to reduce energy waste and lower operational costs. Utilities and grid operators use power metering data to implement demand response programs, which involve adjusting electricity use during peak demand periods to maintain grid stability.

Advanced power meters detect irregularities in electrical systems, such as voltage fluctuations, overloads, or power quality issues. This data helps with preventive maintenance and reducing downtime. Power metering is crucial for users with solar panels or other renewable energy sources, as it tracks both energy consumption and surplus energy generation that are fed back into the grid. By understanding their energy usage, individuals and organizations reduce their carbon footprint and contribute to environmental sustainability.

Many modern power meters are equipped with communication capabilities, allowing for remote data collection and management. This is especially valuable for utilities and large organizations with numerous metering points. Smart meters are advanced power meters with additional features such as two-way communication, automated data collection, and real-time connectivity. They enable more precise monitoring and control of energy usage.

By understanding their energy consumption, individuals and organizations reduce their carbon footprint and contribute to environmental sustainability. Power meters help users with renewable energy sources track both consumption and surplus energy generation. This supports net metering and the integration of renewable energy into the grid. Advanced meters detect voltage fluctuations, overloads, and other irregularities, enabling prompt corrective actions and minimizing downtime. Many modern meters are equipped with communication capabilities, allowing for remote data collection, reducing the need for manual reading and maintenance visits. Power metering provides transparent data on energy usage, making it easier for consumers to understand and control their consumption.

Some consumers and organizations resist the installation of smart meters due to concerns about data collection, radiation (in the case of wireless meters), and perceived loss of control. While power metering helps detect issues, it also requires regular maintenance, which adds to operational costs. Implementing power metering, especially smart meters require addressing legal and regulatory challenges, such as data privacy and metering standards.

The power metering market size is studied on the basis of type, application, and region. By type, the power metering market is divided into single, and three. Single phase meters dominated the power metering market share in 2022 and is further expected to continue to grow at fastest pace during the forecast period. Single power meters are used in homes with solar panels to measure both the electricity consumed from the grid and surplus energy generated by the solar system. By enabling more efficient energy use, single power metering contributes to reducing carbon footprints and promoting environmental sustainability and thus offer lucrative power metering market opportunities for growth.

Three-phase power metering systems are more complex in terms of design and installation compared to single-phase systems. They require the monitoring of three separate phases, which involve multiple sensors and measurement points. Three-phase power metering is commonly used in settings where heavy machinery, motors, and industrial equipment require a more robust and efficient power supply. It is crucial for monitoring and managing energy consumption in large facilities.

By application, the market is categorized into commercial, industrial, and residential. Residential segment held the highest market share for power metering in 2022. It is also projected to grow at a higher pace during the power metering market forecast period. Power metering data empowers homeowners to make informed decisions about energy-efficient appliances, lighting, and HVAC systems. It also ensures accurate billing from utility providers, reducing disputes and enhancing financial transparency.

Power metering in industrial applications plays a crucial role in managing energy consumption, ensuring efficient operations, and reducing operational costs. Industrial facilities use power metering to monitor energy usage and identify areas for improvement. This data-driven approach allows for cost-saving initiatives, which lead to significant reductions in energy expenses. Power metering provides real-time data on energy consumption, helping industries to optimize equipment and processes for improved energy efficiency.

 By region, the power metering market analysis is done across North America, Europe, Asia-Pacific, and LAMEA (Latin America, the Middle East, and Africa). Asia-Pacific was the highest revenue contributor for 2022 for the power metering market. The European power metering market is evolving to align with the European Green Deal, which includes ambitious targets for carbon neutrality and renewable energy integration. The rollout of second-generation smart meters, enhanced communication networks, and data analytics is expected to create opportunities for more efficient energy management. Demand response programs, grid optimization, and load management are key trends, and power metering plays a central role in these initiatives.

The major players operating in the power metering industry are General Electric, Toshiba Corporation, ABB Ltd., Eaton Corporation plc, Siemens AG, Holley Metering Ltd., Aclara Technologies LLC, Melrose Industries plc, Wasion Holdings Limited, and Sensus. The companies adopted key strategies such as collaboration to increase their market share.

Recent Developments:

• In August 2022, ABB India launched a new series of smart meters for efficient energy management in India. The range covers low to medium voltage applications in industrial, commercial, and residential sectors. The meters can measure basic electrical parameters as well as advanced power quality parameters.
• In March 2023, energy efficiency services ltd. (EESL) and JioThings Smart Utility Platform rolled out 1 million smart meter in Bihar, India.

The drivers, restraints, and opportunities are explained in the report to better understand the power metering market scope. This report further highlights the key power metering market trends and areas of investment. In addition, it includes Porter’s five forces analysis to understand the competitive scenario of the industry and the role of each stakeholder. The report features strategies adopted by key market players to maintain their foothold in the market. Furthermore, it highlights the competitive landscape of key players to increase their market share and sustain the intense competition in the industry.

Key Findings Of The Study

• By phase, the single phase segment is projected to grow at the highest CAGR of approximately 6.4%, in terms of during the power metering market forecast period.
• By application, the residential segment dominated the power metering market growth.
• By region, Asia-Pacific dominated the power metering market size and is expected to grow at a CAGR of 6.6% during the forecast period.