VSC technology based HVDC transmission systems are gaining traction across the globe owing to their vast utility base that includes powering underground transmission from asynchronous grids and linking power grids to wind farms. Moreover, advancement in VSC technology is likely to boost the adoption of HVDC transmission system over the next couple of year. The HVDC transmission system was first introduced in Sweden way back in the 1950s and was an instant hit. In addition, its popularity has grown even higher over the past few decades as their demand in emerging countries has surged to a significant extent.
The technology has gradually modified with passing time, extensive research and innovation continue to refine the HVDC VSC technology. The inherent setbacks of the conventional AC grid transmission technology have paved the way for this unique technology. Subsequently, factors such as increasing concerns over environmental degradation, new requirements from the power market and generation of power using renewable resources are necessitating the development of advanced power transmission systems. Therefore, Voltage Source Converter (VSC) based HVDC technology has become the need of the hour as it is capable of handling heavy loads or any serious power fluctuations. The VSC based HVDC technology is considered as an efficient system for transmitting power in massive capacities overcoming all the aforementioned challenges.
VSC based HVDC technology that is used in transmission allows autonomous control of reactive as well as active power and also has a fast response time if required. Also, the novelty in technology is enabling power transmission manufacturers to offer a wider range of services and reduce power transfer limitations. The data released by Future Market Insights (FMI) reveals that in 2016, the global market for HVDC transmission system stood at US$ 6,000 Million in revenues. As per the data, the market is on course to expand at a compound annual growth rate of over 8% between 2016 and 2026 to reach revenues of nearly US$ 14,400 Million over the projection period.
Robust consumption of power set is likely to influence the growth of the global market for HVDC transmission system. Further, increasing urgency to reduce blackouts majorly caused by transmission failures and growing demand for electricity are some of the other factors anticipated to support the expansion of HVDC transmission system market globally.
It is projected that HVDC transmission system based on VSC will witness a robust demand in the coming years. On the basis of technology, VSC based HVDC transmission system is expected to register relatively higher sales as compared to other transmission technology. The insulated gate bipolar transistors used in VSC technology eliminates the drawbacks present in conventional systems. Hence, leading companies such as Siemens AG and ABB Ltd. are actively focusing on launching advanced VSC based HVDC transmission systems due to its rising popularity among utility companies. However, capacitor commutated converters are seen as the nearest alternative to VSC having quite similar capabilities. Its arrival in the market has attracted a lot of attention largely due to the fact that the technology reduces the use of large shunts and can utilise low reactive power.
The information presented here is sourced from Future Market Insights latest report on the HVDC Transmission System Market. A sample of this report is available upon request.