Remote Microgrid Market Share

APAC Market Forecast

Asia Pacific remote microgrid market is estimated to capture revenue share of around 26.4% by the end of 2037. The market’s dominant share is attributed to large-scale investments in renewable energy by China, India, Japan, South Korea, and Australia. For instance, the IEAs World Energy Investment Report indicated a USD 3 trillion total energy investment in 2024 out of which USD 300 billion accounts for spending on clean energy led by India. This benefits the growth of the remote microgrid market as accessibility and cost-efficiency of clean energy resources improve allowing private sectors and governments to install remote microgrids.

China is poised to dominate the revenue share of the remote microgrid market in Asia Pacific. The growth of the market in China is owed to large-scale investments in clean energy and increasing collaboration of energy solutions companies in the country with governments of emerging economies to provide robust solutions for access to electricity. For instance, in June 2024, POWERCHINA reported the successful handover of first site of the second phase of the Suriname village microgrid photovoltaic project.

Additionally, IEA reported China to dominate the global share of clean energy investments of around USD 675 billion in 2024 to cater to demands in solar, lithium batteries, and electric vehicles. The rising demands and increasing use of renewable energy in microgrids are poised to continue the rapid remote microgrid market growth in the country with companies leveraging green energy for remote microgrid solutions. For instance, in February 2024, Tencent commissioned a new solar microgrid for its high-tech cloud data center in Tianjin that is expected to produce 12 million kWh of electricity annually.

India is projected to increase its revenue share in the APAC region by the end of the forecast period. The market’s growth is attributed to the government’s push for rural electrification and rapid adoption of renewable energy. Initiatives such as the National Solar Mission aiming to increase renewable energy installations to 500 GW by 2030 and rural electrification schemes to provide 100% rural electrification fuel the market’s growth. In March 2022, the Indian state of Kerala pushed for rural microgrid solutions to provide power to around 70 remote tribal settlements. Additionally, multiple government tenders are released for the installation and maintenance of solar microgrids that increases the market opportunities for global and regional energy solution companies in the region. For instance, in August 2023, the Jharkhand Renewable Energy Development Agency (JREDA) issued seven tenders for maintenance and operation of solar microgrids.

North America Market Analysis

North America is poised to register the fastest growth in the global remote microgrid market owing to the push for energy resilience and improvements in grid reliability for remote regions. The IEA reported the U.S. to account for USD 315 billion in clean energy investment in 2024 which is set to benefit the remote microgrid market by improving access and supply of renewable energy solutions for microgrids. U.S. and Canada are leading the market share in North America with a rising percentage of microgrid installations in remote areas for rural communities, defense sector, and offshore industries. For instance, in July 2022, Schneider Electric and ORPC announced partnerships to bolster the use of marine energy for microgrids in remote communities.

The U.S. holds a dominant share in the North America remote microgrid market owing to large-scale investments in green energy and a rapid push by the government to install microgrids in remote areas. For instance, in October 2024, the U.S. Department of Energy (DOE) launched a community microgrid assistance partnership to assist rural and remote communities suffering from electrical isolation, and such programs open market opportunities to provide professional assistance, software solutions, solar panels, and storage solutions for market players. Additionally, in May 2024, the DOE announced a USD 10.5 million microgrid solution projects in indigenous and rural communities. The slew of new project supported by the government boosts the rapid growth of the market and advancements in integration of 5G to microgrids are poised to develop microgrid reliability further.

Canada is estimated to increase its market share by the end of the forecast period. The growth of the market in Canada is owed to a favorable regulatory ecosystem such as government tax benefits in adoption and operation of clean technology (CT) property. For instance, the government announced CT ITC, a refundable tax credit for capital invested in adoption and operation of clean technology from March 2023 to December 2034. Additionally, government investments in multiple remote microgrid projects benefit the surge in market growth. For instance, in September 2023, the government announced investments of more than USD 175 million in 12 clean energy projects in Alberta that include a microgrid to provide clean and reliable electricity to Montana First Nation.