Utility Asset Management Market

• Growing demand for energy is driving the market growth

Market CAGR for Utility Asset Management is being driven by the rising demand for energy. Numerous administrations have announced significant electrification goals for remote areas, presenting enormous prospects for the UAM market growth. The installation of new transmission and distribution lines and the integration of contemporary electrical technologies for effective grid connections are expected to multiply as ongoing efforts to extend energy delivery to remote places are implemented. In addition, a sharp growth in the use of green energy technology has been seen throughout the globe to support the strict emission regulatory rules intended to improve the industry landscape. 

The utility asset management sector is expected to grow due to the rising number of unexpected power outages that occur in many nations due to various reasons, including sudden grid issues, transmission and distribution line faults, weather issues, natural catastrophes, and many more. Many governments increasingly view utility asset management in emerging nations as a strategic investment in infrastructure improvement that will focus on preserving its long-term power grid and assist in minimizing losses brought on by a lack of regular maintenance and servicing. Unexpected power outages have also adversely impacted several residential, commercial, and industrial activities.

As a result, there is a strong need to upgrade the transmission and distribution lines and other electrical power grid infrastructures with more durable technologies.

The China Electricity Commission published 483 criteria, some of which addressed transmission and distribution equipment online monitoring and other requirements for the upkeep of the power infrastructure. Additionally, in response to the increased demand for power, authorities are now concentrating on how best to use it. The global market is expanding due to reducing worries about transmission and distribution losses and implementing the Internet of Things to boost energy conservation and consumption efficiency. Thus, driving the Utility Asset Management market revenue.

The Global Utility Asset Management Market Industry is poised for substantial growth, with projections indicating a market size of 5.98 USD Billion in 2024 and an anticipated increase to 15.4 USD Billion by 2035. This growth trajectory suggests a robust demand for asset management solutions driven by technological advancements, regulatory compliance, and sustainability initiatives. The expected CAGR of 8.96% from 2025 to 2035 further emphasizes the market's potential as utilities increasingly prioritize efficient asset management strategies to enhance operational performance and service delivery.

Technological innovations are reshaping the Global Utility Asset Management Market Industry, enabling utilities to optimize operations and enhance asset performance. The integration of IoT, AI, and big data analytics allows for real-time monitoring and predictive maintenance, reducing downtime and improving service reliability. For example, utilities can leverage these technologies to analyze asset health and forecast failures, thereby minimizing costly outages. As these technologies become more accessible, the market is expected to expand significantly, potentially reaching 15.4 USD Billion by 2035. This growth indicates a shift towards data-driven decision-making in asset management.

The transition towards renewable energy sources is a key driver of the Global Utility Asset Management Market Industry. As countries aim to meet their carbon reduction targets, there is an increasing need for effective management of renewable assets such as wind and solar farms. This shift necessitates advanced asset management solutions that can optimize the performance and reliability of these resources. The growing emphasis on renewable energy is likely to propel market growth, as utilities seek to integrate these assets into their portfolios while ensuring compliance with regulatory standards. This trend underscores the importance of innovative asset management practices in the evolving energy landscape.

The Global Utility Asset Management Market Industry is heavily influenced by regulatory frameworks that mandate utilities to adhere to safety and performance standards. Compliance with these regulations often necessitates the adoption of advanced asset management practices to ensure operational integrity and environmental sustainability. For instance, utilities may need to implement rigorous monitoring systems to meet regulatory requirements, which can drive the demand for sophisticated asset management solutions. As regulations evolve, utilities are likely to invest in technologies that facilitate compliance, thereby contributing to market growth and enhancing overall service quality.

Sustainability initiatives are increasingly shaping the Global Utility Asset Management Market Industry, as utilities strive to reduce their environmental impact and enhance resilience against climate change. This focus on sustainability often leads to the adoption of renewable energy sources and energy-efficient technologies. Utilities are investing in asset management strategies that prioritize sustainable practices, which can improve operational efficiency and reduce costs. As a result, the market is expected to grow at a CAGR of 8.96% from 2025 to 2035, reflecting the industry's commitment to balancing economic viability with environmental stewardship.

The Global Utility Asset Management Market Industry is witnessing a surge in investments aimed at modernizing and expanding infrastructure. Governments worldwide are recognizing the necessity of upgrading aging utility systems to enhance reliability and efficiency. For instance, in 2024, the market is projected to reach 5.98 USD Billion, driven by initiatives to replace outdated equipment and implement smart technologies. This trend suggests a commitment to improving service delivery and reducing operational costs, which could lead to a more sustainable utility landscape. As countries prioritize infrastructure development, the demand for advanced asset management solutions is likely to grow.

By region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American Utility Asset Management market will dominate; deregulation of the electric sector will probably drive the region's market.

Many commercial organizations have been able to meet their strategic objectives to lower the cost of energy to end users and to have minimal losses by continuously monitoring and tracking their networks, thanks to the deregulation of the power industry in many different countries. Further, the major countries studied in the market report are The US, Canada, German, Japan, India, France, the UK, Italy, Spain, China, Australia, South Korea, and Brazil.

Figure 3 Utility Asset Management Market By Regional 2023 - 2032 (USD Billion)

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

Europe has the second-largest market share for Utility Asset Management. Because there are fewer concerns about transmission and distribution losses and IoT (Internet of Things) is being used to increase energy usage and conservation efficiency, the utility asset management sector in the region is growing. Furthermore, the German Utility Asset Management market dominated, while the UK Utility Asset Management market grew fastest in Europe.

From 2023 to 2032, the Asia-Pacific Utility Asset Management Market will develop at the quickest CAGR. Installing automated monitoring and tracking systems has improved the infrastructure for electricity distribution and transmission, one of the elements fueling the market's expansion. The region's steadily expanding industries—including those in the automotive, fertilizer, petrochemical, and chemical sectors—have raised the need for energy and necessitated the appropriate upkeep of the grid's different parts. Furthermore, China's Utility Asset Management market had the highest market share, while India's Utility Asset Management market was the fastest expanding in the Asia-Pacific region.

Leading market companies are extensively spending R&D on increasing their product lines, which will help the Utility Asset Management market grow even more. Important market developments include new product releases, contractual agreements, acquisitions and mergers, greater investments, and collaboration with other organizations. The Utility Asset Management industry must produce cost-effective merchandise to flourish and thrive in a more competitive and increasing market climate.

Manufacturing locally to reduce operating costs is an effective business strategy manufacturers use in the worldwide Utility Asset Management industry to serve clients and expand the market sector. The Utility Asset Management industry has provided some of the most important benefits recently.  Major players in the Utility Asset Management market, including GE Digital, ABB, and others, are attempting to increase market demand by investing in research and development operations.

The American multinational firm General Electric has a division called GE Digital. The company, headquartered in San Ramon, California, offers industrial businesses software and industrial Internet of things (IIoT) services. Industrial software and services are the main emphasis of GE Digital in the following four markets: Manufacturing applications that support discrete and process industries, water utilities, and large-scale digital transformation initiatives Utility Services for Electricity and Telecommunications, Petroleum products, and the manufacture of chemicals are two neighboring industries to the oil and gas sector. In February 2022, Asset Performance Management (APM) from G.E.

Digital has won awards for pioneering capabilities for the manufacturing, mining, utilities, and oil & gas sectors. Asset Performance Management (APM) from the corporation is a collection of software and service solutions to improve the performance of crucial assets for industrial businesses.

ABB is a leader in automation and electrification technologies, creating a more resource-conserving and sustainable future. The company's solutions link software and technical expertise to optimize objects' production, movement, power, and operation. ABB's 105,000 workers are dedicated to driving breakthroughs that speed up industrial change, building on more than 130 years of excellence.

In April 2021, The world's quickest and most accurate drone-based method for detecting greenhouse gas emissions was introduced by ABB. To improve safety and environmental measuring capabilities for operators of the millions of kilometers of pipelines that travel throughout the globe, the business developed HoverGuard. The HoverGuard upgrade to ABB Ability Mobile Gas Leak Detection System offers the remedy by locating leaks more quickly and accurately.