Power transmission: The first flexible alternating current transmission systems (FACTS), which mitigated voltage drops on the power grid, were deployed in the late 1920s. Today, the rapid growth of large-scale renewable energy projects, which often supply intermittent power, is driving increased demand for FACTS. According to a recent report from Navigant Research, cumulative investments by utilities and power grid operators in FACTS will total $42.3 billion from 2014 through 2022.
“The majority of electricity transmission systems in service today rely on many of the same technologies that existed at their conception more than a century ago,” says James McCray, senior research analyst with Navigant Research. “Sophisticated FACTS technologies demonstrate tremendous potential to provide solutions to problems, such as localized voltage sag, power factor fluctuations, and flicker, that are caused by renewables intermittency, increasing industrial loads, and power plant retirements.”
The capital costs and uncertainty associated with new transmission grid and high-voltage substation construction are very high, especially in an era of distributed renewable energy resources, according to the report. As a result, transmission grid operators and utilities seek to mitigate voltage drops over long-haul transmission lines, driving the requirement for new, large-scale FACTS deployments.
The report, “Flexible AC Transmission Systems”, analyzes the global market for FACTS technologies, including an analysis of the market issues, drivers, challenges, and regulatory factors related to FACTS systems. Global capacity and revenue forecasts, segmented by converter type and region, extend through 2023, and include base, conservative, and aggressive scenarios. The report also examines the key technologies and use cases associated with FACTS, and provides profiles of key industry players. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors.
The information contained in this press release concerning the report, “Flexible AC Transmission Systems,” is a summary and reflects Navigant Research’s current expectations 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 Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.