Revenue from Hybrid DERMS and VPP Platforms Worldwide Is Expected to Average a Compound Annual Growth Rate of 35% by 2030
Market barriers include system costs and complexity coupled with availability of alternative software platforms that perform well with current adoption levels
A new report from Guidehouse Insights identifies the key value streams of hybrid distributed energy resource management system (DERMS) and virtual power plant (VPP) offerings and provides a review of demand drivers, barriers, and market trends through 2030.
Increasing deployment of distributed energy resources (DER) and renewables is transforming the grid at a rapid pace with utilities and grid operators relying on intelligent software for optimization. DERMS and VPPs are two types of intelligent software platforms that can optimize the grid to serve grid operators, utilities, and energy consumers. According to a new report from Guidehouse Insights, revenue from hybrid DERMS and VPP platforms worldwide is expected to grow more quickly each year than implementation spending, averaging a compound annual growth rate (CAGR) of 35%.
“Individually, each platform offers an important function to assist utilities and grid operators in reliably serving customers,” says Dan Power, research analyst with Guidehouse Insights. “However, as the energy industry continues to transition, a single, hybrid platform capable of balancing multiple grid priorities is expected to become essential.”
DER management is the primary driver of the global energy market transition. However, this transition has been costly, and large-scale technology deployments are complex. In addition, the availability of alternative software platforms that perform well with current DER adoption levels also poses a barrier to the hybrid DERMS and VPP platform market, according to the report.
The report, Market Data: Hybrid DERMS and VPP Platforms, identifies the key value streams of hybrid DERMS and VPP offerings. Its major objectives are to identify and evaluate opportunities and challenges facing the industry and to assess likely growth in global regions. Guidehouse Insights also provides a review of demand drivers, barriers, and market trends. All major global regions are included, and the examined period extends through 2030. An executive summary of the report is available for free download on the Guidehouse Insights website.
*The information contained in this press release concerning the report, Market Data: Hybrid DERMS and VPP Platforms, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.