Increasing demand for electricity transmission is projected to fuel the growth of the Global HVDC Transmission Market at a CAGR of 8.95% during the forecast period 2023 to 2030

Market Research Future (MRFR) has published a cooked research report on the “Global HVDC Transmission Market” that contains information from 2018 to 2030. The Global HVDC Transmission Market is estimated to register a CAGR of 8.95% during the forecast period of 2023 to 2030.

As per Market Research Future (MRFR) analysis the following companies as the key players in the Global HVDC Transmission Market— ABB, Siemens, Hitachi, Mitsubishi Electric Corporation, Nexans, NKT A/S, Schneider Electric, Toshiba Corporation, NR Electric Co., Ltd, Aecom, Prysmian Group, PSC Specialists Group, Inc, Alstom.

Market Highlights

The Global HVDC Transmission Market is projected to grow at a CAGR of 8.95% in the forecast period, and the market is expected to reach USD 16,753 million by 2030.

Electricity is crucial for advancing an economy and is becoming more sought after as countries progress internationally. Elements contributing to the heightened need for electricity encompass rising household incomes, the electrification of transport, and the expanding digitalization worldwide. As stated by the International Energy Agency (IEA), electricity demand is projected to rise by an average of 2. 1% on a global scale annually until 2040. According to IEA, in 2022 alone, there was an increase of over 2. 4% in electricity demand compared to 2021. This growing electricity requirement has resulted in a notable rise in the applications of HVDC transmission technologies, recognized as the most effective method for transmitting electricity over long distances. For example, the International Energy Agency (IEA) forecasts a global electricity demand growth of 3% per year on average over the upcoming three years. This increase will be driven by several factors, such as the rising electrification of transportation and industry, the expansion of renewable energy sources, and the necessity to enhance grid reliability.Furthermore, in response to the escalating electricity demands, there is a necessity for transforming existing HVAC corridors into HVDC transmission systems, prompting a substantial growth of HVDC transmission globally in recent times. This transformation is anticipated to be the most economical option when compared to enhancing current HVAC systems. An estimated 50-150% enhancement in power capacity can be realized by the converted lines for distances up to about 350 kilometers. All these elements are predicted to positively influence the worldwide HVDC transmission market. To satisfy this growing demand, governments and utilities are channeling investments into new transmission infrastructure. This encompasses the construction of new power lines, upgrading of current lines, and extension of substations.In addition, the Asia Pacific region is expected to witness significant growth, with China and India at the forefront. These nations are swiftly expanding their economies, and the rising adoption of electric vehicles is exerting pressure on their electricity grids. China's electricity demand is projected to advance by 5% - 8% in 2023, as per the National Energy Administration. Meanwhile, India's electricity demand is also projected to increase by over 8% in 2023, according to the Central Electricity Authority, driven by population growth and escalating urbanization. The enlarging need for electricity transmission in China and India is straining the current transmission infrastructure. Moreover, to cater to the rising demand, both countries are investing in new transmission lines and enhancing existing lines. The Chinese government intends to invest USD 1 trillion in new transmission lines by the year 2030. Conversely, the Indian government plans to allocate USD 200 billion for new transmission lines by 2025. The surging demand for electricity transmission is also fostering opportunities for new enterprises. Companies specializing in the design, construction, and operation of transmission infrastructure are experiencing robust growth.

Access full report @ https://www.marketresearchfuture.com/reports/hvdc-transmission-market-6027

Segment Analysis

Based on voltage rating, the global HVDC transmission market is segmented into up to 220 kV, 220 kV to 600 kV and Above 600 kV. Among these, the Above 600 kV segment accounted for the largest market share in 2022. It has emerged as the fastest-growing segment exhibiting a CAGR of 9.56% during the review period. The 220 kV to 600 kV segment accounted for the second-largest growing segment with a healthy CAGR of 8.70%. High-voltage direct current transmission with a voltage of up to 220 kV finds various applications where long-distance power transmission or specific network interconnections are required. HVDC systems are commonly used to connect power grids that operate at different frequencies or have significant geographic distances between them. HVDC systems having higher voltage levels ranging from 220 kV TO 600 kV are ideal for transmitting large amounts of power over long distances, typically hundreds to thousands of kilometers. HVDC transmission systems rated above 600 kV are used in specific applications that require the transmission of ultra-high voltage power over extremely long distances or in projects such as transcontinental power transmission projects that aims at connecting power generation resources located thousands of kilometers from major load centers, minimizing the transmission losses and improving the grid efficiency.

Based on transmission capacity, the global HVDC transmission market is segmented into up to 12 GW, and Above 12 GW. Among these, the up to 12 GW segment accounted for the largest market share in 2022. It emerged as the fastest-growing segment exhibiting a CAGR of 9.35% during the review period. The high growth of the segment is attributed to the increasing demand for electricity due to propelling urbanization and industrialization. HVDC transmission systems of capacity up to 12 GW are effective in solving long-distance power transmission problems and facilitating the integration of renewable energy sources into the grid. HVDC transmission is commonly used for facilitating interconnection between different countries or regions, further enabling energy exchange. HVDC transmission with capacities above 12 GW supports large-scale integration of renewable energy, along with ensuring stable and resilient power supply for mega-projects and interconnected regions. HVDC transmission systems with a capacity of over 12 GW can connect energy grids across continents, enabling intercontinental energy exchange and cooperation.

By technology, the global market is segmented into Line Commuted Converter (LCC), Voltage Sourced Converter (VSC) and capacitor commuted converter (CCC). Among these, the Line Commuted Converter (LCC) segment emerged as the leading and the fastest-growing segment with a CAGR of 8.82%. The segment is projected to reach a value of USD 7,120.3 million by the end of the forecast period. The Voltage Sourced Converter (VSC) segment accounted for the second-largest growing segment with a healthy CAGR of 9.61%. Line-commutated converters (LCC) use mercury-arc valves. These converters are used mainly where very high capacity and efficiency are needed. Most of the HVDC transmissions are based online-commutated converters (LCC). The term line-commutated indicates that the conversion process relies on the line voltage of the AC system to which the converter is connected to affect the commutation from one switching device to its neighbor. Voltage Source Converters (VSCs) are self-commutated converters used to connect HVAC and HVDC systems employing high-power electrical devices like IGBTs. VSC-based systems were introduced more recently and provide higher operational flexibility compared to LCC. A Capacitor Commuted Converter (CCC) is a type of converter that is used in high voltage direct current (HVDC) transmission systems. It is also known as a self-commutating converter. CCC is mainly used in low-rated HVDC systems and is suitable for applications that require high voltage transmission over short distances.

On the basis of configuration, the global market has been segmented into monopolar, bipolar, multi terminal and back-to-back. Among these, the bipolar segment was valued at USD 2,880.2 million in 2022 and is projected to register a CAGR of 9.45% during the assessment period. However, the monopolar segment emerged as the second largest growing segment, exhibiting the CAGR of 9.30%. Monopolar HVDC transmission system is a system that uses only a single conductor. Monopolar HVDC is commonly used for underwater or subsea power transmission where laying a complete bipolar cable system may not be practical or cost effective. In bipolar transmission, a pair of conductors is used, each at a high potential with respect to ground, in opposite polarity. The cost of a transmission line is higher than a monopole with a return conductor because these conductors must be insulated for the full voltage.  Multi terminal HVDC transmission systems enables the seamless integration and interconnection of multiple energy networks or regions. They facilitate energy exchange and resource sharing between different countries or regions, improving energy security and grid reliability. A back-to-back configuration for electric power transmission is a high-voltage direct-current (HVDC) system with both ends in the same switchyard. This is used to couple asynchronously operated power grids or for connecting power grids of different frequencies where no DC transmission line is necessary.

By application, the global market is segmented into bulk head transmission, interconnecting grids, and infeed urban areas. Among these, the bulk head transmission segment emerged as the leading and the fastest-growing segment with a CAGR of 9.20%. The segment is projected to reach a value of USD 7,300.2 million by the end of the forecast period. The interconnecting grids segment accounted for the second-largest growing segment with a healthy CAGR of 9.40%. Bulk head transmission refers to the concept of dividing a long-distance HVDC transmission line into multiple segments or sections, each of which operates independently. Each section is known as a bulk and is separated by converter stations. HVDC transmission plays a vital role in connecting power grids and enables efficient and reliable energy exchange between different regions, countries or even continents. Interconnection of grids using HVDC enables load sharing and grid balancing in different regions. HVDC transmission is used in powering urban areas to efficiently transport large amounts of power from remote generation sources to densely populated cities. This application solves the specific problems associated with the supply of electricity to urban centers and offers several advantages.

Regional Analysis

By region, the global market is segmented into North America, Europe, Asia Pacific, South America and Middle East and Africa. Among these, the Asia Pacific region emerged as the leading and the fastest-growing region with a CAGR of 9.67%. The segment is projected to reach a value of USD 6,910.1 million by the end of the forecast period. The Europe region accounted for the second-largest growing region with a CAGR of 8.45%. The expansion of power infrastructure in this region presents numerous opportunities for participants operating in HVDC transmission market. China is putting a lot of money into renewable energy and using the most up-to-date UHVDC technology for power transmission. Moreover, Maharashtra (India), has also announced plans to build a 1GW underground transmission network capable of carrying 100 MW of electricity. The proposed 80 km HVDC transmission line will link Aarey to Kudus in Palghar District. The project will cost one billion dollars and will take three years to complete. Moreover, In February of 2020, GE upgraded the 300 MW, HVDC transmission line between Jeju Island and South Korea, the mainland. These are some HVDC projects which are helping to contribute to the growth of the Asia-Pacific HVDC transmission market.

Key Findings of the Study

• The Global HVDC Transmission Market is expected to reach 16,753 million by 2030, at a CAGR of 8.95% during the forecast period.


• The Asia Pacific region dominated the Global HVDC Transmission Market with the largest market revenue share of 39.13% in 2022.


• The Above 600 kV segment dominated the global market with the largest revenue share of 47.53% in 2022.


• The Upto 12 GW segment dominated the global market with the largest revenue share of 57.20% in 2022.


• The Line Commuted Converter (LCC) segment dominated the Global HVDC Transmission Market with the largest market revenue share of 42.91% in 2022.


• The Bipolar segment dominated the Global HVDC Transmission Market with the largest market revenue share of 33.34% in 2022.


• The Bulk Head Transmission segment dominated the Global HVDC Transmission Market with the largest market revenue share of 42.79% in 2022.


• The Global HVDC Transmission Market key players include ABB, Siemens, Hitachi, Mitsubishi Electric Corporation, Nexans, NKT A/S, Schneider Electric, Toshiba Corporation, NR Electric Co., Ltd, Aecom, Prysmian Group, PSC Specialists Group, Inc, Alstom