Energy Meter Market - Forecasts from 2024 to 2029

The energy meter market is anticipated to grow at a compound annual growth rate (CAGR) of 8.81% over the forecast period to reach US$49.193 billion by 2029, increasing from US$27.244 billion in 2022.

The energy meters market is propelled by various factors, including government regulations and incentives promoting the adoption of smart meters. For instance, GMR Smart Electricity Distribution Pvt. Ltd., a subsidiary of GMR Power and Urban Infra Limited (GPUIL), secured a significant order valued at Rs. 7,593 crores to execute a large-scale smart metering project under the RDSS program initiated by the Ministry of Power, Government of India in July 2024.

As electric vehicles (EVs) become more prevalent, there is a corresponding rise in demand for EV meters and the expansion of EV charging infrastructure. For example, in the USA, the number of electric vehicle charging stations surged from 57,482 in 2022 to 68,475 in 2023, highlighting the growing need for EV-related meter technologies in the market.

Given these trends, there is a need for more efficient and accurate energy measurement systems, which energy meters can fulfill. As the energy demand continues to escalate globally, energy meters play a crucial role in ensuring efficient energy management.

Growing demand for energy is anticipated to propel market growth.

The global energy demand is projected to continue rising due to population growth and economic development. This necessitates more efficient and accurate energy measurement, which energy meters provide. According to a report by IEA, electricity demand will increase significantly by 2050. It rises from 12,594 (TWh) in 2021 to 15,383(TWh) in 2030 and will reach 21,940(TWh) in 2050.

This demand reflects faster electrification of end?uses. The buildings sector is one of the prominent consuming electricity sectors. Other uses of electricity rise as more EVs (battery electric vehicles and plug?in hybrids) come into the picture. Furthermore, the global electricity supply is projected to shift away from unabated fossil fuels after some time.

The smart energy market is anticipated to propel market growth.

A smart energy meter provides detailed consumption data, reducing electricity bills and improving the electricity grid's performance. It helps customers understand their consumption habits, choose suitable tariffs, and reduce energy usage through energy efficiency measures, ultimately improving customer service. New generation smart meters offer near real-time customer information through central systems or an In-home Display. They also increase measured network parameters and frequency, improving LV network management. Additionally, they have distributed processing capability, allowing for more detailed local measurement processing. This enables applications like detecting distributed generation or electric vehicles, line and meter phase identification, load disaggregation, and demand management.

The EU Agency for the Cooperation of Energy Regulators reported that 54% of European households had an electricity smart meter by the end of 2021, and had a penetration rate of over 80% in 13 EU countries in the year 2023 and predicted that by 2030, the investment in smart metering systems could reach €47 billion, with a penetration rate of 92%

In addition, increasing government initiatives along with rising awareness among consumers will be propelling the demand for smart energy meters in the coming years. For instance, in March 2023, India’s Smart Meter National Programme under a model standard bidding document for smart metering projects, aims to install 25 crore meters across the country. Additionally, the government of the UK set new targets for suppliers and other industry stakeholders to install smart meters in 74.5% of homes and 69% of small businesses by the end of 2025, a move that was previously estimated to cost £13.5 billion from 2013 to 2034.

The market is projected to grow in the North American region.

The market for energy meters has seen substantial expansion in the United States over the years, making it one of the fastest growing in the area. The rising incidence of adaptation of smart meters, growing, and increasing investments are driving the expansion of the USA energy meters market.

In 2022, US electric utilities had 119 million advanced/smart metering infrastructure (AMI) installations, accounting for 72% of total electric meters. Residential customers accounted for 88% of total AMI installations, with 73% of total residential electric meters being AMI meters. The government's strong initiatives are projected to propel the energy meter market forward at a rapid pace.

According to Smart Energy International, the Edison Institute for Electric Innovation predicts 128 million smart meters will be installed in US households and businesses by 2023, achieving an 80% penetration rate from 73% in the year 2021. By 2025, the projection is 135 million, approaching 85% penetration. Smart meters are crucial for the electric power industry, enabling faster two-way communications, enhancing grid resiliency, and providing new services for customers. It shows a 71 % increase from 2021 to 2025 in the number of smart meters installed in the US household.

The growing deployment of smart grid infrastructure and advanced monitoring consumption meters in the United States is expected to boost the demand and urgency for energy meters and the rising emphasis on energy conservation has led to the utility of renewable energy sources meters.

In May 2023, FortisBC received approval from the British Columbia Utilities Commission (BCUC) for its proposed Advanced Gas Meters project, which aims to upgrade over one million gas meters across British Columbia to improve customer experience . Additionally, Jersey Central Power & Light (JCP&L), a subsidiary of FirstEnergy Corp., began installing smart meters in 2023 as part of its plan to modernize the electric distribution system. The plan, approved by the New Jersey Board of Public Utilities, includes the installation of over 1.1 million smart meters over 36 months. Approximately one-third of the smart meters are expected to be installed annually, with the majority of JCP&L customers receiving a smart meter by 2026.

Key Market Developments:

• March 2024,Iberdrola and Amazon signed a Power Purchase Agreement for 159 MW of East Anglia Three offshore wind farms in the UK, equivalent to 700 GWh of clean electricity per year. Amazon enabled 54,000 GWh of renewable energy from Iberdrola worldwide, and Iberdrola built a global data platform on Amazon Web Services, Inc. (AWS) to support smart meter and renewables data growth. The partnership aims to expand Iberdrola's global clean power.

Key Players:

• Honeywell International Inc. is a worldwide conglomerate firm that develops and manufactures technology to address global concerns such as energy, safety, and security. The company has four major business areas: aerospace, building automation, performance materials and technologies (PMT), and safety and productivity solutions (SPS).
• Acrel Co., Ltd. is a leading firm that makes smart power meters and energy-efficient management solutions. They provide a diverse selection of energy meters and power meters that can detect power quality concerns such as voltage fluctuations, harmonics, and transient overvoltage.
• Accuenergy develops energy meters and panel shop solutions. Their products are optimized for high-performance energy monitoring and simple system integration. Additionally, the newest Acuvim II upgrades include improved performance and additional capabilities available exclusively in next-generation meters. Accuracy surpasses the ANSI C12.20 class 0.1 and IEC 62053-22 class 0.1 requirements, and it is BTL listed for both BACnet IP and MS/TP.

Segmentation:

By Type:

• Smart Energy
• Electronic Energy
• Electro-Mechanical Induction Type Energy

By Application

• Household Appliances
• Power Substations
• EV Chargers
• Others

By End-Users

• Residential
• Industrial

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• UK
• Germany
• France
• Italy
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Taiwan
• Thailand
• Indonesia
• Others