By Sagar Dhawan & Ravi Dharamshi
Investing in the energy transition involves recognizing a substantial external opportunity, but that’s only the beginning. To maximize returns, this opportunity must be paired with a predictable environment where differentiation and industry maturity play crucial roles.
As the world embarks on energy transition, transmission stands out with remarkable potential:
- Large Addressable Market: Currently valued at approximately $300 billion per annum as of 2023.
- Exponential Growth: Market size is expected to double to $600 billion by 2030.
- Industry Maturity: The transmission sector is mature, with established leadership and manageable rates of change.
- Differentiation Potential: Depending on sub-segments, the scope for differentiation ranges from medium to high.
Within the energy transition value chain, our transmission grids are poised for a major overhaul. This transformation impacts the grid in three pivotal ways: the need to build more grids, the demand for more efficient grids, and the imperative for smarter grids. These elements not only drive growth within the transmission industry but also serve as critical differentiators for leading companies in this space.
To dive deeper into this opportunity, click the following link VQ Deep Dive: Paving the Road for Energy Transition