Microgrid Market Size

Microgrid Market size was over USD 10.24 billion in 2024 and is poised to cross USD 52.02 billion by the end of 2037, witnessing more than 13.2% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of microgrid is estimated at USD 11.33 billion.

The growing energy consumption throughout the world has played a significant role in the growth of the market. It was observed that there was an increase in energy consumption in 2021 in most countries, +1.3% in China, +4.7% in India, +4.7% in the United States, +9% in Russia, and +4.5% in the European Union. With the increasing demand for energy and the rising focus on renewable energy sources, microgrids are becoming an attractive solution for many businesses and organizations. They provide more reliable, affordable and sustainable energy, while reducing the environmental impact of energy production at the same time. In addition, microgrids are also seen as an efficient way to manage energy demand and storage, as well as providing ancillary services to the grid.

In addition to these, factors that are believed to fuel the market growth of microgrid include the rising demand for backup power sources, the introduction of various technological advancements, and the increasing investments in the development of microgrid solutions are some of the other factors that are expected to contribute to the growth of the market. Moreover, the emergence of multiple microgrid companies and government initiatives to promote microgrid implementation, such as SPIDERS (Smart Power Infrastructure Demonstration for Energy Reliability and Security), is expected to drive market growth. These companies and programs are focused on providing reliable, secure, and cost-effective energy solutions. By leveraging new technologies and creating partnerships between government, industry, and academic institutions, they are creating a more sustainable energy landscape.