October 27, 2010 – The global smart metering market for residential customers will reach $5.7 billion by 2015; a 350 percent increase from 2009, according to research from Datamonitor.
Jon Lane, energy director at Datamonitor, comments: “Smart metering has gained an unstoppable momentum. The market is snowballing as policy makers and utilities invest in smart metering because everyone else is doing it. As a result, more than 60 million residential smart meter units will be shipped in 2015, a four-fold increase on last year.”
Datamonitor forecasts that during this period, the value of the residential electricity smart metering market in the U.S. will be $1 billion in 2015.
This includes the market for residential smart electricity meters and all related infrastructure – from communications modules through to smart thermostats and meter data management software.
The latest award for a smart metering contract (PECO’s award to Sensus) in the U.S. means that as of October 2010 40.5 million residential and 5.3 million commercial points have been awarded as of October 2010. This leaves a remaining market of 83.5 million residential and 11.7 million commercial points.
Lane adds: “Whilst we do not think that every single meter will go AMI in the USA this still leaves the majority of the market to be targeted despite all the activity of recent years.”
The global market is currently being driven by a wave of advanced metering infrastructure (AMI) meters being deployed in the U.S. This is expected to peak in 2013 but by that time, projects in France, Spain and the U.K. will be in full swing.
By 2015, Datamonitor forecasts that the German deployment will just be beginning and that volume shipments of AMI meters in Eastern Europe will be significant.
Datamonitor states that local presence and knowledge will be key to UK vendors maximizing the potential opportunities this growth will bring. As a result the large Chinese meter manufacturers, for example, will have limited success in international smart metering projects before 2015.
“The most successful vendors will be those that have worked with utilities and regulators on the system design and have a track record of understanding the needs of their customers”, Lane said.