Distribution Lines and Poles Market Size 2022 In-Depth Analysis, Growth Strategies, and Comprehensive Forecast to 2025

With growing electricity demand from residential and commercial sector, the distribution lines & poles market is forecast to register tremendous gains over the coming years. According to Energy Information Administration, investments in wires, devices, overhead poles, and fixtures like circuits, relays, and sensors has increased by 69%, along with that the spending on substation transformers and equipment has also risen by 35%.

In addition, investment in customer meters has also increased tremendously over the past years since utilities have upgraded replaced these meters with smart meters, which can be examined remotely and communicated directly to utilities. Additionally, these devices also support smart consumption as well as pricing applications utilizing real-time electricity data. With such grid upgradation initiatives, the demand for distribution poles and lines will also rise significantly, leading to market growth.

As per a research report by Global Market Insights, Inc., the distribution lines and poles market is estimated to surpass a $100 billion valuation by 2025. 

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Rapidly increasing population coupled with rising efforts toward electrification has led to a significant growth in electricity production and demand, thereby fueling the distributed lines and poles industry outlook further. Citing an example, between 2014 and 2018, the Indian government spent more than $3.6 billion toward electrification of its rural areas.

Below is a brief overview of key trends that are stimulating the market growth:

Increasing adoption of ≤11 kV distribution lines

In terms of voltage, the ≤11 kV distribution lines segment is expected to grow more than 4% by the end of the analysis period. The rising demand for electricity from small residential and commercial sector, owing to growing population and continuing commercialization will further surge product deployment.

For example, in 2018, MDPI projected that the annual electricity consumption from the residential sector in Nigeria is likely to reach 61 TWh/year in 2030, observing a growth of nearly 50% from 2015.

Growing product demand across North America

The distribution lines and poles market of North America is likely to grow tremendously owing to increasing investments toward the replacement as well as refurbishment of ageing distribution infrastructure.

For example, according to the WEDC, Canada will need investments of more than $350 billion, over a time span of approximately 20 years from 2017, in order to upgrade and renew its ageing power grid infrastructure. Furthermore, extensive investments are needed throughout the power distribution industry to accommodate the rising power demand and shifting consumption patterns.

Rising demand for ABC distribution lines

In terms of product, the ABC segment will witness robust growth due to high reliability, large current carrying capacity, better adaptability, and safe operation. Ongoing urbanization coupled with increasing population has led to overcrowding and congestion of space across major cities throughout the globe, which is calling for the adoption of ABC product in distribution system.

Moreover, concerns toward high AT&C losses within distribution system have further increased the focus of several utilities toward replacement of bare conductors with these distribution lines, fostering segment growth.

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Additionally, ABC distribution lines are also more preferred over other alternatives owing to the benefits they offer, which is leading a rise in product demand. ABC distribution lines are considered best choice for both rural and urban areas. This system is ideal in rural areas for installation in difficult terrain like coastal regions, dense forests, and hilly areas. Owing to insulation it is considered one of the best options for power distribution in urban areas with narrow by-lanes and lanes.

Notable industry players operating in the include KEI, Stresscrete, Versalec, Stella Jones, Valmont, Nexans, Fifan, Riyadh Cables, Bell Lumber & Pole, Pelco, Apar Industries, ZTT, and Lamifil among others.

Overall, the market is likely to grow significantly owing to the increasing investments toward replacement and restoration of crumbling power distribution infrastructure.

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