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Dynamic Volt/VAR Control Architectures Will Reach Nearly $3 Billion in Annual Revenue by 2023

Utilities are beginning to deploy DVCAs across the power grid, report finds.

As electricity loads become more variable and intermittent sources become a larger portion of the energy supply, the power grid will need to become more flexible and more efficient.  Dynamic voltage and volt-ampere reactive (VAR) control architectures (DVCAs) are increasingly essential to achieving cost-effective performance expectations.  According to a new report from Navigant Research, worldwide revenue from DVCA technologies will grow from $734 million in 2014 to $2.9 billion by 2023.

“Most of the technology needed to realize DVCA already exists, as rapidly increasing levels of intelligent electronic devices, communications, and information technology are already being leveraged in distribution systems,” says James McCray, senior research analyst with Navigant Research.  “DVCA will relieve congestion and effectively free up capacity in a more predictable and manageable fashion, without service interruptions.”

While dynamic and integrated volt/VAR control (VVC) is not in place in its entirety anywhere in the world yet, there are significant development and standardization initiatives.  Many major utilities have one or more forms of DVCA solution in pilot scale, according to the report, while others are embarking on system-wide implementation in the medium-voltage network, and a few are already tuning DVCA systems for full production.

The report, “Dynamic Volt/VAR Control Architectures”, analyzes the global market for DVCA solutions and components, with a focus on communications, VVC devices, distribution management system (DMS) VVC applications, and VVC analytics.  It provides an analysis of the market issues, including trends, drivers, and benefits, related to DVCA solutions.  Global market forecasts for revenue, segmented by region, solution type, and component segment, extend through 2023.  The report also examines the key technologies, as well as the competitive landscape, associated with DVCA systems and solutions for the medium-voltage and low-voltage distribution grid. 

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