The North America synchronous condenser market is expected to grow from US$ 189.95 million in 2019 to US$ 199.92 million by 2027; it is estimated to grow at a CAGR of 1.5% from 2020 to 2027.
Increasing need for power factor correction is expected to accelerate the North America synchronous condenser market. Most of the engines used in industries are induction engines in which currents would be drawn by loads, such as lamps, fans, and heaters. Due to large reactive components, these lagging currents would decrease the power factor of the entire unit. The overall performance of the device would therefore decrease. Using a synchronous motor in parallel with induction motors or transformers, the leading reactive volt-amperes supplied by the synchronous motor may be corrected by compensating for the lagging reactive volt-amperes of other power equipment. In this way, to increase the overall power factor of the device, a synchronous condenser is useful. The amount of reactive power from a synchronous condenser can be changed continuously, unlike a static capacitor bank. When the grid voltage decreases, reactive power from a static capacitor bank decreases; whereas a synchronous condenser would increase reactive current as the voltage decreases. Ability to regulate voltage levels is another advantage of synchronous condensers. Naturally, a synchronous condenser supplies a low voltage with more reactive power and it absorbs more reactive power from a high voltage; moreover, the field can be regulated as previously mentioned. In situations like starting large motors or in systems where power must move long distances from where it is produced to where it is used, reactive power improves voltage control. Thus, the above-mentioned benefits of controlling voltage fluctuations with the help of synchronous condensers are anticipated to influence the growth of the North America synchronous condenser market.
Furthermore, in case of COVID-19, North America, especially the US is highly affected. North America has the highest adoption and growth levels of new technologies, with favorable government policies to boost innovation and improve infrastructure capabilities. Therefore, any effect on industries is expected to have a negative influence on the economic growth of the region. This had temporarily shut down all production plants across all industries and also affected the supply chain and logistics industry of the country adversely. Though the demand for power was very high across the region, especially arising from the healthcare sector to support all systems has influenced the rise in demand for renewable energy across the region. However, owing to nationwide lockdown across major economies, such as the US and Canada, the supply chain of major components of synchronous condensers was adversely affected, thereby impacting the manufacturing of the same. Thus, the above mentioned factors indicate that the outbreak of the pandemic has an adverse impact on the market across the region.
Based on cooling type, the hydrogen-cooled segment led the North America synchronous condenser market in 2019. Since a synchronous condenser does not provide torque, the output shaft can be dispensed with and the unit can be easily enclosed in a gas-tight shell. To aid cooling and reduce windage losses, the synchronous condenser may then be filled with hydrogen. Since the hydrogen density is 7% of that of air, for a hydrogen-filled unit, the windage loss is 7% of that found in air. In addition, hydrogen's thermal conductivity is ten times that of air. Heat removal is, therefore, ten times more efficient. As a result, a synchronous condenser filled with hydrogen can be driven harder than an air-cooled unit or, for a given capacity, it may be physically smaller. As long as the hydrogen concentration is kept above 70%, typically above 91%, there is no danger of explosion. Because of their properties, such as low density, high specific heat, and high thermal conductivity, hydrogen-cooled synchronous condensers are highly preferred. This, in turn, is likely to boost the demand for synchronous condensers during the forecast period for North America.
The overall North America synchronous condenser market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the North America synchronous condenser market. The process also serves the purpose of obtaining overview and forecast for the North America synchronous condenser market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants who typically take part in such a process include industry experts, such as VPs, business development managers, synchronous condenser market intelligence managers, and national sales managers, along with external consultants, such as valuation experts, research analysts, and key opinion leaders specializing in the North America synchronous condenser market. ABB Ltd.; Brush Group; Eaton Corporation plc; FUJI ELECTRIC CO., LTD.; General Electric Company; IDEAL ELECTRIC POWER CO.; Mitsubishi Electric Power Products, Inc. (Mitsubishi Electric Corporation); Siemens AG (Siemens Energy); Voith GmbH & Co. KGaA; and WEG ELECTRIC CORP. are among key players operating in the North America synchronous condenser market.