Global Flexible AC Transmission (FACT) Systems Market to Reach US$1.9 Billion by 2030

The global market for Flexible AC Transmission (FACT) Systems estimated at US$1.3 Billion in the year 2023, is expected to reach US$1.9 Billion by 2030, growing at a CAGR of 6.0% over the analysis period 2023-2030. Shunt, one of the segments analyzed in the report, is expected to record a 6.1% CAGR and reach US$1.5 Billion by the end of the analysis period. Growth in the Series segment is estimated at 5.3% CAGR over the analysis period.

The U.S. Market is Estimated at US$248.3 Million While China is Forecast to Grow at 7.6% CAGR

The Flexible AC Transmission (FACT) Systems market in the U.S. is estimated at US$248.3 Million in the year 2023. China, the world`s second largest economy, is forecast to reach a projected market size of US$276.0 Million by the year 2030 trailing a CAGR of 7.6% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 4.5% and 4.5% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 5.5% CAGR.

Global Flexible AC Transmission (FACT) Systems Market - Key Trends & Drivers Summarized

Flexible AC Transmission Systems (FACTS) represent a significant advancement in electrical power transmission technology, designed to enhance the controllability and increase the power transfer capability of the network. FACTS devices leverage power electronics to manage the flow of electricity, providing dynamic control over voltage, impedance, and phase angle. This capability allows utilities to optimize the performance of the existing transmission infrastructure, reduce losses, and improve stability. Key components of FACTS include devices such as Static Var Compensators (SVC), Thyristor-Controlled Series Capacitors (TCSC), Static Synchronous Compensators (STATCOM), and Unified Power Flow Controllers (UPFC). These devices play crucial roles in mitigating issues such as voltage instability, system oscillations, and transmission bottlenecks, thereby enhancing the overall efficiency and reliability of the power grid.

The implementation of FACTS technology involves sophisticated power electronic systems that can rapidly adjust to changing grid conditions. SVCs and STATCOMs are primarily used for voltage control and reactive power compensation, improving the power quality and stability of the grid. TCSCs, on the other hand, are employed for dynamic line compensation, allowing for better management of power flow and congestion relief in heavily loaded lines. UPFCs combine the functions of both series and shunt compensation, offering comprehensive control over power flow in the transmission network. The integration of these devices into the grid is facilitated by advancements in semiconductor technology, real-time monitoring, and control systems, which enable precise and rapid adjustments to power conditions. As a result, FACTS systems are becoming increasingly essential in modernizing aging infrastructure and accommodating the integration of renewable energy sources, which can introduce variability and complexity into the grid.

The growth in the FACTS market is driven by several factors, including the increasing demand for reliable and efficient power transmission, the integration of renewable energy sources, and advancements in power electronics technology. The rising global energy demand, coupled with the need to upgrade and expand the existing power transmission infrastructure, is propelling the adoption of FACTS technologies. As countries commit to reducing carbon emissions and incorporating more renewable energy into their grids, the ability of FACTS to manage the intermittent nature of renewable sources like wind and solar becomes crucial. Additionally, technological advancements in power electronics have led to the development of more efficient and cost-effective FACTS devices, making them more accessible to utilities and grid operators. The shift towards smart grids and the need for real-time monitoring and control of power flows also drive the demand for FACTS. Furthermore, government policies and regulations aimed at improving grid reliability and promoting renewable energy integration are encouraging investments in FACTS technologies. These drivers collectively highlight the significant role of FACTS in enhancing the resilience and flexibility of modern power transmission systems, ensuring they can meet the challenges of the evolving energy landscape.