Nuclear Power Plant Control System Market

• Global nuclear power expansion, the rising trend of decarbonization, and increased investments in renewable power plants are driving the market growth

Electricity serves as a crucial catalyst for driving the growth of any nation. As per the International Energy Outlook by EIA, global electricity demand is projected to rise by 2.11% annually until 2040, with a significant portion of this growth anticipated in non-OECD countries like China and India. These nations heavily rely on fossil fuels for power generation, posing potential environmental risks on both regional and global scales. Recognizing these challenges, governments and utilities worldwide have announced initiatives to decarbonize the power sector and make substantial investments in renewable power plants.

This shift towards decarbonization and increased investment in renewables is evident from the annual global investments in power plants data published by the IEA.

In India, the installed non-fossil fuel capacity has surged by 396% over the past 8.5 years, reaching over 190.97 GW (inclusive of large Hydro and nuclear), accounting for approximately 44% of the country's total capacity (as of Feb 2024). India witnessed the highest year-on-year growth in renewable energy additions in 2022, with the installed solar energy capacity soaring by 30 times over the past 9 years, reaching 75.57 GW as of Feb 2024.

The global commitment to clean energy, coupled with the signing of the Paris climate agreement by major nations, serves as a key driver for increased investments in renewable energy. These heightened investments are anticipated to play a pivotal role in driving market growth. As a result, it is anticipated that throughout the projection period, demand for the nuclear power plant control system market will increase due to the global nuclear power expansion, the rising trend of decarbonization, and increased investments in renewable power plants. Thus, driving the Nuclear Power Plant Control System Market revenue.

The Global Nuclear Power Plant Control System Market Industry is experiencing heightened demand due to the global shift towards clean energy sources. Governments worldwide are recognizing the need to reduce carbon emissions, leading to increased investments in nuclear energy. This trend is reflected in the projected market value of 0.72 USD Billion in 2024, with expectations to reach 1.25 USD Billion by 2035. The emphasis on sustainable energy solutions positions nuclear power as a viable alternative, potentially contributing to a cleaner energy mix and aligning with international climate goals.

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The anticipated expansion of the Nuclear Power Plant Control System market in North America can be attributed to several key factors. As the population grows and industrial activities expand, the energy demand in North America continues to increase. Since 2019, the total annual energy production in the U.S. has surpassed total annual energy consumption. In 2022, production reached 102.92 quads, while consumption stood at 100.41 quads.

Approximately 21% of U.S. energy consumption in 2022 was sourced from non-fossil fuel sources, including renewables and nuclear power—a level that matched the highest share observed since the early 1900s, based on data from the US Energy Information Administration (EIA). In Canada, the industry added 2.3 GW of new installed capacity in 2023, including over 1.7 GW of new utility-scale wind power, nearly 360 MW of new utility-scale solar energy, 86 MW of new on-site solar installations, and 140 MW / 190 MWh of energy storage capacity.

Nuclear power plants, known for their reliability and consistent electricity generation, are increasingly seen as an attractive option to meet this growing energy demand.

Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: NUCLEAR POWER PLANT CONTROL SYSTEM MARKET SHARE BY REGION 2023 (USD Billion)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe's Nuclear Power Plant Control System Market accounts for the second-largest market share In Europe, the majority of countries are heavily reliant on industries, with a growing number of projects focusing on renewable energy sources, leading to an increased demand for power plant control systems. The share of energy consumed in the EU from renewable sources in 2022 reached 23%, up from 21.9% in 2021, primarily due to significant growth in solar power. According to Eurostat, the share of renewable energy in the EU rose by 1.2 percentage points to reach 23% in 2022.

The power sector witnessed the highest penetration of renewables in 2022, accounting for 41.2% of all electricity generated from renewable sources, followed by the heating and cooling sector (24.9%) and transport (9.6%). EU Directive 2023/2413, aimed at promoting the use of energy from renewable sources, has revised the EU's 2030 renewable energy target upwards from 32% to 42.5% (with an ultimate goal of increasing it to 45%). Further, the German Nuclear Power Plant Control System Market held the largest market share, and the UK Nuclear Power Plant Control System Market was the fastest growing market in the European region.

The Asia-Pacific Nuclear Power Plant Control System Market is expected to grow at the fastest CAGR from 2024 to 2032. The Asia-Pacific region holds significant importance as the primary market for power plant control systems, driven by escalating investments in countries such as India, China, and Japan. Moreover, the power plant control systems market in India is forecasted to witness moderate growth, propelled by increasing energy consumption, leading to the establishment of more coal power plants and heightened investments in the renewable energy sector.

In 2022, investment in solar power generation surged by 232.7% to reach 286.6 billion yuan in China. China has set a target to derive approximately 33% of its power from renewable sources by 2025, up from 28.8% in 2020.

Over the period from 2019 to 2024, China is projected to contribute 40% to the global renewable capacity expansion, driven by enhanced system integration, reduced curtailment rates, and improved competitiveness of solar PV and onshore wind technologies. India is expected to achieve a coal-fired capacity of 267 GW by 2030, adding 58 GW of new capacity, as per the Central Electricity Authority (CEA). Additionally, the Indian government has set a target of achieving 70,000 MW of hydropower generation capacity by 2030.

Currently, 13,000 MW of hydropower plants are under construction at various stages, with another 8,000 MW of projects in progress, slated to commence by the end of 2020. Moreover, China’s Nuclear Power Plant Control System Market held the largest market share, and the Indian Nuclear Power Plant Control System Market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development to expand their product lines, which will help the Nuclear Power Plant Control System market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Nuclear Power Plant Control System industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Nuclear Power Plant Control System industry to benefit clients and increase the market sector. In recent years, the Nuclear Power Plant Control System industry has offered some of the most significant advantages to the energy sector, including enhanced safety, increased efficiency, and reliable power generation capabilities.

Major players in the Nuclear Power Plant Control System Market, including Siemens (Germany), ABB (Switzerland), General Electric (US), Fortum (Europe), Framatome (France), Emerson Electric Co. (US), Mitsubishi Electric Corporation (Japan), NuScale Power, LLC (US), Rolls-Royce plc (UK), Honeywell International Inc (Germany) are attempting to increase market demand by investing in research and development operations.

Siemens AG, a leading technology company, operates in the fields of electrification, automation, and digitalization. The company is involved in designing, developing, manufacturing, and installing complex systems and projects, offering tailored solutions to meet individual needs. Siemens focuses on power generation and distribution, as well as intelligent infrastructure for buildings and distributed energy systems. Additionally, it provides smart mobility solutions for both rail and road transport, medical technology, and digital healthcare services. With research and development facilities, production plants, warehouses, and sales offices worldwide, Siemens serves customers across various industries, including energy, healthcare, infrastructure, manufacturing, and more.

Headquartered in Munich, Bavaria, Germany, Siemens Energy, a subsidiary, signed a contract with TSK, a Spanish engineering, procurement, and construction (EPC) contractor, for the Atinkou CCGT power plant project in April 2021. Under this agreement, Siemens Energy is set to supply its SPAA-T300 control system for a CCGT plant construction in Jacqueville, Côte d'Ivoire.

ABB is a leading provider of electrification and automation technologies and solutions, offering a wide range of products, systems, and services in the fields of electrification, motion, and industrial automation. The company's solutions leverage engineering expertise and software integration to enhance power reliability, increase industrial productivity, and improve energy efficiency. ABB distributes its products through a direct sales force and a network of third-party channel partners, including distributors, installers, wholesalers, machine builders, OEMs, and system integrators.

Serving customers in utilities, industry, transport, and infrastructure sectors across Asia, the Americas, the Middle East, Africa, and Europe, ABB delivers digitally connected and enabled industrial equipment and systems. Headquartered in Zurich, Switzerland, ABB launched its Distributed Control System 800xA 6.1 in March 2019, introducing Ethernet I/O solutions, high-integrity controllers, and a series of engineering tools such as the Ethernet I/O Field Kit and Ethernet I/O wizard for field commissioning.