Welcome!

News Feed Item

Capacity Augmentation and Distribution Grid Automation will be the focus for Transmission and Distribution Sector in Asia Pacific, says Frost & Sullivan

- Frost & Sullivan's Top Five Predictions for Asia Pacific's Power T&D and Utility Industry in 2014-

SINGAPORE, Jan. 22, 2014 /PRNewswire/ -- It is expected that transformation in the key areas of capacity augmentation and distribution grid automation will drive the transmission and distribution sector in the Asia Pacific region for the year.

2014: Investments in T&D Network Rides Heavily on Expanding Capacity Additions

Asia Pacific's growing demand for electricity is likely to increase power generation by 4.1% in 2014. This needs to be actively supplemented by Transmission & Distribution (T&D) grid expansion to ensure reliable power supply. The majority of the T&D investments are likely to be concentrated in Southeast Asia in 2014.

The growing economies such as Vietnam, Indonesia and Myanmar are likely to focus more on the transmission grid expansion and reliability. Rural electrification and increasing the overall electrification ratio will be their top priority.

"For instance, as a result of favourable regulations, the Vietnam power T&D sector opens up several opportunities for private investors in 2014.  During this period, capital will be spent mostly on building and enhancing the 220 kV and 500 kV network. Investments are also expected in the 110 kV network to strengthen the links between the transmission and the distribution system," said Avanthika Satheesh, Senior Research Analyst, Energy & Environment Practice, Frost & Sullivan Asia Pacific.

2014: Electricity Tariff is on the Upswing Especially in Southeast Asia

"As Singapore moves towards the cheaper and diversified LNG sources of fuel for power generation, it is expected that its wholesale market electricity prices are likely to fall by end of 2014. However, its current electricity prices are already one of the highest in the region, due to its market based pricing model," Satheesh noted.

"For the rest of the countries in the Asia Pacific region such as Thailand, Vietnam and South Korea, electricity tariffs are expected to rise due to reasons such as variations in fuel adjustment rates, rise in crude oil prices and in certain economies, currency depreciation," she added.

One exception will be Japan, where electricity prices are expected to decrease in 2014 is Japan. At present, electricity tariffs in Japan are very high due to the shortfall of electricity after the closure of nuclear power plants. However, prices are most likely to decline by the end of 2014 as new coal power plants and LNG plants are likely to get commissioned.

2014: Cash Crunch Situation faced by Utilities in Australia and Japan Likely to Improve

The T&D electrical equipment market has been on the decline in Japan as the utility companies have reduced their capital and operational expenditure drastically to meet the power demand, by buying expensive fossil fuels for thermal power generation. In 2014, this situation should improve as the country is likely to start operating two new coal fired power plants and twelve LNG fired power plants by the end of 2014.

The trade-off between reliability and high capital expenditure is a challenge faced by the utility companies and regulators in the last couple of years in Australia. It is reported that in Australia, the average age of T&D system assets is between 30 and 35 years. This calls for continuous replacement of assets to maintain the health of the grid. The market had experienced a drastic fall of capital expenditure by utility companies in 2013, as utility companies were not allowed to pass on the bills to the consumers by the regulation authority.

The capital expenditure in T&D sector is likely to marginally improve in 2014 by 3.7% which will be AUD 9.98 billion. CAPEX is likely to increase as a result of shifting focus to replacement with a slow decrease in augmentation expenditure.  However, this spending will still be much lesser than the capital spending in 2012.

2014: Smart-meter Installations and Distribution Grid Automation Takes a Major Part of Smart Grid Investments

"Several smart grid test-beds were developed across the Asia Pacific region in 2013. Projects in Japan, Taiwan, South Korea, Singapore, and Malaysia are in the various stages of testing," explained Satheesh.

For 2014, key investments in the sector would be focused on smart-meter installations by regional electricity utilities and implementation of tested and approved smart technologies in selected smart cities. Key highlights include:

  • In Southeast Asia, total electricity meter installation would reach 160 million units, and total smart meter penetration rate will be around 2.5% by end of 2014.
  • Widespread smart-meter installations are expected to kick-start in Thailand by PEA in 2014.  The Smart Grid development project (2013-2017, Thailand) focuses on Substation Automation, renewable energy integration and battery storage.
  • In Vietnam, smart distribution automation will be initiated in 2014 by the Danang Power Company.
  • Thailand has immediate opportunities in the smart metering in the next year with pilot and trial projects in the PEA regions.

2014: No Major Initiatives on Strengthening ASEAN Grid

The concept of continentalisation, i.e. greater integration between supply and demand in the region, was planned and the ambitious ASEAN grid was chartered. However, not much progression on this major initiative is expected to happen during 2014.

Technical challenges and business regulations are the key challenges that need to be urgently addressed by the countries involved in developing the ASEAN grid.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:     Start the discussion

Join Us:           Join our community

Subscribe:       Newsletter on "the next big thing"

Register:         Gain access to visionary innovation

Media Contact:

Donna Jeremiah
Corporate Communications – Asia Pacific
P: +61 (02) 8247 8927
F: +61 (02) 9252 8066
E: [email protected]

Carrie Low
Corporate Communications – Asia Pacific
P: +603 6204 5910
F: +603 6201 7402
E: [email protected]

Melissa Tan
Corporate Communications – Asia Pacific
P: +65 6890 0926
F: +65 6890 0999
E: [email protected]

http://www.frost.com

 

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
To leverage Continuous Delivery, enterprises must consider impacts that span functional silos, as well as applications that touch older, slower moving components. Managing the many dependencies can cause slowdowns. See how to achieve continuous delivery in the enterprise.
WebRTC is bringing significant change to the communications landscape that will bridge the worlds of web and telephony, making the Internet the new standard for communications. Cloud9 took the road less traveled and used WebRTC to create a downloadable enterprise-grade communications platform that is changing the communication dynamic in the financial sector. In his session at @ThingsExpo, Leo Papadopoulos, CTO of Cloud9, discussed the importance of WebRTC and how it enables companies to focus...
"My role is working with customers, helping them go through this digital transformation. I spend a lot of time talking to banks, big industries, manufacturers working through how they are integrating and transforming their IT platforms and moving them forward," explained William Morrish, General Manager Product Sales at Interoute, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Up until last year, enterprises that were looking into cloud services usually undertook a long-term pilot with one of the large cloud providers, running test and dev workloads in the cloud. With cloud’s transition to mainstream adoption in 2015, and with enterprises migrating more and more workloads into the cloud and in between public and private environments, the single-provider approach must be revisited. In his session at 18th Cloud Expo, Yoav Mor, multi-cloud solution evangelist at Cloudy...
Aspose.Total for .NET is the most complete package of all file format APIs for .NET as offered by Aspose. It empowers developers to create, edit, render, print and convert between a wide range of popular document formats within any .NET, C#, ASP.NET and VB.NET applications. Aspose compiles all .NET APIs on a daily basis to ensure that it contains the most up to date versions of each of Aspose .NET APIs. If a new .NET API or a new version of existing APIs is released during the subscription peri...
Security, data privacy, reliability, and regulatory compliance are critical factors when evaluating whether to move business applications from in-house, client-hosted environments to a cloud platform. Quality assurance plays a vital role in ensuring that the appropriate level of risk assessment, verification, and validation takes place to ensure business continuity during the migration to a new cloud platform.
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Ovum, a leading technology analyst firm, has published an in-depth report, Ovum Decision Matrix: Selecting a DevOps Release Management Solution, 2016–17. The report focuses on the automation aspects of DevOps, Release Management and compares solutions from the leading vendors.
Continuous testing helps bridge the gap between developing quickly and maintaining high quality products. But to implement continuous testing, CTOs must take a strategic approach to building a testing infrastructure and toolset that empowers their team to move fast. Download our guide to laying the groundwork for a scalable continuous testing strategy.
Adding public cloud resources to an existing application can be a daunting process. The tools that you currently use to manage the software and hardware outside the cloud aren’t always the best tools to efficiently grow into the cloud. All of the major configuration management tools have cloud orchestration plugins that can be leveraged, but there are also cloud-native tools that can dramatically improve the efficiency of managing your application lifecycle. In his session at 18th Cloud Expo, ...
SYS-CON Events announced today that LeaseWeb USA, a cloud Infrastructure-as-a-Service (IaaS) provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LeaseWeb is one of the world's largest hosting brands. The company helps customers define, develop and deploy IT infrastructure tailored to their exact business needs, by combining various kinds cloud solutions.
StackIQ has announced the release of Stacki 3.2. Stacki is an easy-to-use Linux server provisioning tool. Stacki 3.2 delivers new capabilities that simplify the automation and integration of site-specific requirements. StackIQ is the commercial entity behind this open source bare metal provisioning tool. Since the release of Stacki in June of 2015, the Stacki core team has been focused on making the Community Edition meet the needs of members of the community, adding features and value, while ...
Qosmos has announced new milestones in the detection of encrypted traffic and in protocol signature coverage. Qosmos latest software can accurately classify traffic encrypted with SSL/TLS (e.g., Google, Facebook, WhatsApp), P2P traffic (e.g., BitTorrent, MuTorrent, Vuze), and Skype, while preserving the privacy of communication content. These new classification techniques mean that traffic optimization, policy enforcement, and user experience are largely unaffected by encryption. In respect wit...
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.