Brazil's smart grid market expected to hit $36.6 billion by 2022
SUBNET Solutions Inc | Friday, April 06, 2012
A new study conducted by Northeast Group, LLC has found that smart grid investments in Brazil are expected to reach $36.6 billion by 2022.
Utilities operating in Brazil say they will use newly developed smart grid technologies to help curb the high rate of electricity theft, improve overall reliability of the country's power infrastructure, offer new pricing plans for customers and allow for greater economic growth.
"Brazil's rapidly growing economy is straining the existing electric infrastructure and smart grid investments will be critical to address the many challenges facing the sector," the Northeast Group said in a release. "Brazil, with the fifth largest population in the world, is eager to upgrade its infrastructure in the run-up to the 2014 World Cup and 2016 Summer Olympics when it will be on the world stage."
The study found advanced metering infrastructure (AMI) will be the most widespread smart grid installation in the next 10 years. At the core of Brazil's smart grid initiative lies a target set by Brazilian electricity regulator ANEEL to deploy 63 million AMI meters by 2021. To prepare for the coming boom in deployment, Brazilian officials are drafting detailed regulations that are expected to be finalized within the next year, which will support large-scale deployments all over the country.
"Brazilian utilities have been very active in piloting AMI," the report read. "Almost all of the utilities have piloted AMI in some form and five of the largest utility groups with non-technical losses above 14 percent found that AMI deployments can bring immediate benefits."
Regulations are also being written to govern distribution automation, home energy management and other technologies that will flourish in Brazil in the coming decade.
The study analyzes 14 facets of Brazil's smart grid market, which in addition to AMI, include distribution automation technologies such as substation automation, fault detection, isolation and restoration, volt/VAR optimization and grid monitoring control.
Many countries looking to adopt new smart grid regulations have turned to standards that have been established in North America to create a platform for their own grid requirements. The North American Electric Reliability Corporation's critical infrastructure protection requirements were drafted to ensure utilities operating in the smart grid sector have appropriate cyber security measures in place.
SUBNET helps utilities installing substation automation and other technologies ensure NERC CIP compliance through innovative products and solutions.
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