Distributed Energy Resources Management System (DERMS) Market Report 2025

This Distributed Energy Resources Management System (DERMS) market report provides a comprehensive analysis of the market’s characteristics, size, and growth, including segmentation, regional and country-level breakdowns, competitive landscape, market shares, trends, and strategies. It also tracks historical and forecasted market growth across various geographies.

The distributed energy resources management system (DERMS) market size has grown rapidly in recent years. It will grow from $0.95 billion in 2024 to $1.11 billion in 2025 at a compound annual growth rate (CAGR) of 16.9%. The growth in the historic period can be attributed to increasing penetration of renewable energy, rising investments in smart grid infrastructure, supportive government policies, and increasing investments in the digitalization of the grid.

The distributed energy resources management system (DERMS) market size is expected to see rapid growth in the next few years. It will grow to $2.04 billion in 2029 at a compound annual growth rate (CAGR) of 16.5%. The growth in the forecast period can be attributed to increasing focus on decarbonization and sustainability, rising energy demand and need for energy efficiency, and increasing adoption of internet of things (IoT) technologies. Major trends in the forecast period include increased focus on development of new product, emerging new markets, technological advancements, launches of new products and services, and integrating smart grid technologies.

The distributed energy resources management system (DERMS) market is set to expand due to the increasing adoption of renewable energy sources. These sources, such as solar and wind power, are renewable and sustainable options for generating electricity or heat. The rise in adoption is driven by environmental concerns, cost competitiveness, policy support, technological advancements, and public demand for sustainable energy solutions. DERMS optimize the integration and control of energy sources such as wind turbines and solar panels, enhancing grid reliability and efficiency while boosting renewable energy production. For instance, forecasts indicate solar power generation in the US will increase by 75% from 2023 to 2025, reaching 286 billion kWh, while wind power is expected to grow by 11% to 476 billion kWh.

Key players in the DERMS market focus on developing advanced platforms, such as DERMS platforms, to manage and integrate distributed energy resources (DERs) into power distribution networks. These platforms, such as Swell Energy's GridAmp software launched in February 2022, optimize DERs such as solar and battery storage within virtual power plants (VPPs). They employ optimization algorithms and machine learning to maximize utility grid capabilities and revenue across various energy markets, supporting diverse energy objectives at utility and customer levels.

In July 2022, CPower Energy, a US-based energy management company offering energy solutions, acquired Centrica Business Solutions for an undisclosed amount. With this acquisition, CPower Energy aims to strengthen its distributed energy resource capabilities, expand its customer base, and enhance grid reliability while supporting the integration of renewable energy sources. Centrica Business Solutions is a UK-based commercial company that offers energy management services, with a key focus on the Distributed Energy Resources Management System (DERMS) technology.

Major companies operating in the distributed energy resources management system (DERMS) market are Enel S.p.A., Siemens AG, General Electric Company, Oracle Corporation, Mitsubishi Electric Corporation, Schneider Electric SE, ABB Ltd., Emerson Electric Co., Doosan Corporation, Generac, Engie SA, Itron Inc., Open Access Technology International Inc., Uplight Inc., AutoGrid Systems, Opus One Solutions, EnergyHub, Spirae LLC, Kitu Systems, PXiSE Energy Solutions, Connected Energy, Blue Pillar.

North America was the largest region in the distributed energy resources management system (DERMS) market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the distributed energy resources management system (DERMS) market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the distributed energy resources management system (DERMS) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

A distributed energy resources management system (DERMS) is software designed to oversee and optimize the operation of distributed energy sources such as solar panels, wind turbines, batteries, and demand response systems. Its purpose is to coordinate these decentralized energy sources effectively, enhancing grid reliability, maximizing economic benefits, and reducing environmental impact.

The key software components of DERMS include virtual power plants (VPPs), management and control functionalities, and analytics. A VPP is a software-driven platform that aggregates and manages decentralized energy resources, such as solar panels, batteries, and electric vehicles. Applications span solar power, energy storage, wind energy, electric vehicle charging stations, and other uses across residential, commercial, industrial, and utility sectors.

The distributed energy resources management systems (DERMS) market research report is one of a series of new reports that provides distributed energy resources management systems (DERMS) market statistics, including distributed energy resources management systems (DERMS) industry global market size, regional shares, competitors with a distributed energy resources management systems (DERMS) market share, detailed distributed energy resources management systems (DERMS) market segments, market trends and opportunities, and any further data you may need to thrive in the distributed energy resources management systems (DERMS) industry. This distributed energy resources management systems (DERMS) market research report delivers a complete perspective on everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The distributed energy resources management system (DERMS) market consists of revenues earned by entities by providing services such as grid management, demand response, asset management, energy trading, microgrid management, and data analytics for optimizing distributed energy resources. The market value includes the value of related goods sold by the service provider or included within the service offering. The distributed energy resources management system (DERMS) market also includes sales of smart inverters, sensors, communication devices, and control systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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