HVDC Transmission Market is predicted to reach USD 17,448,0 million at a CAGR of 8.6% during the forecast period

Pune, India, August 2022, MRFR Press Release/Market Research Future has published a Cooked Research Report on the Global HVDC Transmission Market.

Global HVDC Transmission Market

High voltage direct current (HVDC) is utilized in long-distance transmission and direct flow for power transmission (also called electrical superhighway). Due to the direct current (DC), HVDC transmission asynchronously connects power grids in long-distance areas, eliminating different outage-causing issues. Further, HVDC transmission is more affordable for significant distance power transmission and produces lower electrical misfortunes responsible for the growth of the HVDC transmission market in near future.

HVDC Transmission

Market Synopsis

According to the MRFR analysis, the global HVDC transmission market size is projected to reach USD 17,448,0 million by 2030 at a CAGR of 8.6%.

The growth of the global HVDC transmission market is attributed to the increasing demand for electricity transmission and growing demand for VSC technology. However, increasing share of distributed and off-grid power generation are restraining the growth of the HVDC transmission market.

COVID-19 had significantly impacted several markets globally. The same could be observed for the HVDC transmission market in the initial phase of the pandemic due to factors such as lack of adequate workforce, closure of borders, trade bans, and disruption of supply chains. However, power transmission is an integral part of the power business, and since electricity is an essential commodity, power transmission was soon placed under the ‘essential services’ category by the respective nations.

HVDC Transmission Market Competitive Landscape

The global HVDC transmission market is characterized by the presence of many regional and local vendors. The regional market is highly competitive, with all the players continually competing to gain a larger market share. The vendors compete based on cost, product quality, reliability, and aftermarket services. Therefore, vendors must provide cost-effective and efficient products to survive and succeed in a competitive market environment.

Siemens, Toshiba Corporation, ABB, Schneider Electric, Adani, Hitachi, General Electric Co., Mitsubishi Electric Corporation, Alstom, NKT A/S, and Nexans, are the major players in the HVDC transmission market.

Browse In-depth Details [Table of Content, List of Figures, List of Tables] of HVDC Transmission Market Research Report

Segmentation:

HVDC Transmission Market Based on technology type:

• LCC: Line-commutated converters (LCC) use mercury-arc valves. These converters are used mainly where very high capacity and efficiency are needed. Most of the HVDC transmissions are based online-commutated converters (LCC). The term line-commutated indicates that the conversion process relies on the line voltage of the AC system to which the converter is connected to affect the commutation from one switching device to its neighbour.


• VSC: Voltage Source Converters (VSCs) are self-commutated converters used to connect HVAC and HVDC systems employing high-power electrical devices like IGBTs. VSC-based systems were introduced more recently and provide higher operational flexibility compared to LCC. The market has a rising demand for valves, circuit breakers, and VSC technology. Self-commutating switches are used in voltage source converter (VSC) systems.

HVDC Transmission Market Based on application type:

• Underground: Underground cables are utilized for power applications where overhead lines are impracticable, difficult, or dangerous. They're common in highly populated urban areas, factories, and even to deliver power from overhead posts to consumer premises. The transition from the overhead line to the underground cable is realized via a transition connection installed in a transition yard. HVDC undergrounding can safely transport high power loads over long distances with minimal losses.


• Asynchronous: Asynchronous HVDC links can improve the electro-mechanical dynamics of the interconnected AC grids. This includes the functions of power swing damping, emulation of inertia, and power-frequency droop. Because HVDC allows power transfer between unsynchronized AC distribution systems, it can help boost system stability by avoiding cascade failures from propagating from one portion of a broader power transmission grid to another.


• Offshore: The major purposes served by HVDC submarine transmission are to interconnect countries or islands separated by sea and to connect remote offshore platforms to main transmission grids. Offshore developments, such as wind farms and offshore oil and gas upstream projects, are opening the new economic potential for HVDC technology worldwide. Out of the other categories, the offshore transmission system is likely to dominate the market share since it returns power generated by offshore wind farms and provides electricity to offshore oil rigs by stepping up to AC at converter stations. This is mostly because HVDC transmission cables may be installed underground and are more cost-effective than AC cables over a 600-kilometer distance.

HVDC Transmission Market Based on configuration type:

• Monopolar: An HVDC link that uses only a single conductor is known as a monopolar link. Modern monopolar systems for pure overhead lines typically carry 1.5 GW. If underground or underwater cables are used, the typical value is 600 MW. Most monopolar systems are built to expand to a bipolar configuration in the future. Even if just one conductor is utilized for the monopole transmission system, transmission line towers may be constructed to carry two conductors. The second conductor is either left unconnected, utilized as an electrode line, or connected in parallel with the first.


• Bipolar: In bipolar transmission, a pair of conductors is used, each at a high potential with respect to ground, in opposite polarity. The cost of a transmission line is higher than a monopole with a return conductor because these conductors must be insulated for the full voltage. Bipolar HVDC transmission system configuration represents a parallel connection of two monopolar HVDC systems for the transmission of electricity. The main advantages of bipolar HVDC transmission system configurations are continued operation in the event of failure and the ability to change the flow of energy.


• Multi-terminal: The most common configuration of an HVDC link consists of two converter stations connected by an overhead power line or underwater cable. HVDC multi-terminal links, which connect more than two sites, are uncommon. Multiple terminals can be connected in a series, parallel, or hybrid manner (a mixture of series and parallel). A parallel configuration is preferred for high-capacity stations, while series is preferred for lower-capacity stations.


• Back-to-back: A back-to-back configuration for electric power transmission is a high-voltage direct-current (HVDC) system with both ends in the same switchyard. This is used to couple asynchronously operated power grids or for connecting power grids of different frequencies where no DC transmission line is necessary.

HVDC Transmission Market Based on voltage rating type:

• 640 kV: With modern material technology, a 640 kV extruded DC underground system will raise the maximum power transfer of cable systems by 20%, allowing for better integration of distant renewable energy sources into global energy systems. The 640 kV extruded DC cable system is the latest product of our extensive investment in HVDC transmission market technology research and development.


• 500 kV: A rectifier station converts power from 400 KV alternating current to 500 KV direct current, and a two-pole transmission line converts power from 500 KV direct current to 400 KV alternating current mode. It may appear cost-effective because HVDC uses only two wires for transmission. However, to obtain DC, we must first fix it (as generation is only AC). Then it must be inverted back to AC at the receiving end (as most loads are AC). As a result, power electronics used in AC-DC-AC conversion will be expensive.


• 200 kV: The two main methods used in the power conversion between AC and DC in HVDC systems are line commutated converters (LCC) and voltage source converters (VSC) (VSC). The current-source HVDC scheme, or LCC HVDC system, is a classic technology that has been widely and reliably implemented as power transmission in many countries for many years.

HVDC Transmission Market Based on region:

• North America: The HVDC transmission systems market in North America is predicted to grow during the forecast period, owing to plans to develop the offshore wind farm sector, cheap long-distance transmission costs, controllability, and low short circuit current. Due to the expansion of renewable power generation and offshore wind installations, the United States held the greatest market share in North America over the projection period. The research also includes a country-by-country analysis of North America, including the United States, Canada, and Mexico. The market is being driven by the growing demand for cost-effective solutions for long-distance power transmission, the convenience of regulating the active power connection, the possibility of bulk power transmission, and reduced power transmission loss (through HVAC).


• Europe: Europe is expected to dominate the HVDC transmission market in 2027 because the market for submarine HVDC transmission systems is predicted to grow substantially as the global industry for submarine power transmission systems grows. Undersea electricity transmission is becoming crucial as governments emphasize power exchange. The main concerns with HVDC are that its converter stations are expensive, and the system of controlling the power flow must be well-communicated, so the multi-terminal systems are expensive.


• Asia-Pacific: In terms of power consumption, the HVDC transmission market in Asia-Pacific is currently experiencing exponential growth. The expansion of power infrastructure in this region presents numerous opportunities for market participants. China is putting a lot of money into renewable energy and using the most up-to-date UHVDC technology for power transmission. For example, China is currently building two of the world's most powerful and longest HVDC power transmission highways, each with a nominal capacity of 3,000 MW. In the next years, these factors are expected to propel the HVDC market in Asia-Pacific.


• Rest of the World: The rest of the world includes the Middle East & Africa and South America. The Middle East & Africa and South America HVDC transmission market is expected to record a CAGR of 11.4% and 14.6%, respectively. This is mainly because of the growing demand for cost-effective long-distance power transmission solutions, simplicity of regulating the active power connection, bulk power transfer capability, and low power transmission loss (over HVAC). Moreover, the phase difference does not matter in an HVDC transmission line; technological advancements in HVDC transmission market systems are expected to mitigate operational concerns with wind and solar-based power transmission systems.