Growing proclivity as well as necessity to incorporate sustainable energy systems, in conjunction with the establishment of regulatory norms aimed at improving the efficiency levels has fostered the application of low voltage drives in Middle East and Africa. Resurgence in heavy industries coupled with tremendous expansion of Oil & Gas sector is set to propel the dynamics of Middle East and Africa low voltage drives market over the upcoming years.

According to a latest report by Global Market Insights, Inc., Middle East & Africa low voltage drives market is estimated to observe a notable CAGR of over 6% through 2027, on account of the following trends:

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Ongoing business expansion initiatives by major market players

Rising product demand for variety of industrial applications has urged various business players to develop efficient systems suitable for specific applications. Citing an instance, in 2021, ABB announced that its digital medium voltage variable speed drives- ACS2000 have been deployed in the Saline Water Conversion Corporation‘s water treatment plant based in Saudi Arabia. Reportedly, this system will help in reducing energy consumption as well as the total cost of ownership.

Mounting popularity of micro drives

Micro drives are gaining massive traction in the market on account of their increasing usage in industrial and commercial applications requiring systems with < 2.2 kW to 22 kW power rating. Elevating demand for energy-efficient electrical equipment and growing necessity of reliable systems is strongly influencing the product penetration. These systems provide a wide range of smooth and step less speed control with great efficiency which is stimulating their demand to a great extent.

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Increasing installation of drives with < 2.2 kW capacity

Growing investments towards the development of commercial establishments along with the rising awareness regarding the environment safety is mainly driving the adoption of drives with < 2.2 kW rating. Retrofitting and refurbishment of electrical network across government offices on account of stringent norms pertaining to building emission and energy efficiency, is further strengthening the industry landscape.

Rising adoption by oil & gas sector

The oil & gas industry is essentially reliant on the active and reliable operations of large compressors and pumps which is fueling the demand for cyclical product. High reliability, lower environmental impact and enhanced efficiency are some of factors that are accelerating the application of low voltage drives in this sector. With increasing investments from O&G industry's subsectors such as upstream, downstream and midstream, the sector is further observing robust expansion.

Burgeoning demand for AC drives

Increasing availability of new HVAC and heavy load machinery along with growing electricity consumption has largely impelled the adoption of AC drives. These drives provide step-less and accurate control of motor torque and speed in a low maintenance, efficient and compact size package. They also offer built-in functions, complex control, networking capabilities and freedom from mechanical resonance and inertia which is complimenting to the expansion of MEA LV drives business.

There has been a decline in the investment in O&G sector during the COVID-19 pandemic. Besides, development of new offerings has also reduced which has significantly impacted the product demand in the region. However, with increasing demand for refurbishment of existing infrastructure followed by the consistent efforts made by government authorities to address the current scenario will strengthen the business space.

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