The 7th Edition of the ABS T&D Report reveals a surge in the global T&D market and we predict that the market will remain strong for up to five years. This market research report is continuously expanded, with new categories of information and more extensive detail. It is a substantial document of 458 pages containing overall analysis of the transmission and distribution systems, chapters dealing with each of 183 individual countries and the detailed statistical tables of line lengths and system capacity. Capital expenditure and market sizes for 8 categories of T&D equipment and business service are sized and forecast for each year from 2007 to 2012. 114 network maps are contained within the report as well as a series of tables detailing the international interconnections which are enhancing access to generating capacity for many countries and optimising use of surplus capacity. The Power Pools now emerging around the world are outlined.
This new emphasis, assembling the network maps, information about the Power Pools and details of interconnections, enables a more comprehensive understanding of the process of interlinking national power systems globally. The tables in the Excel database include further analysis of voltage levels in individual countries. A detailed analysis of global transmission and distribution networks which total 5.8 million km in transmission lines and 61 million km of distribution lines is contained. The electricity market research report also examines this country by country and projects growth annually until 2012.
A voltage analysis is provided where possible. The report also looks at markets for transmission and distribution equipment examining total capital expenditure and sizes individual markets for 8 categories of equipment and business service. The markets are defined in 2 categories:
A broader market of $92 billion for all products in 2007, equipment and services, with total capex of $154 billion including installation costs and a smaller more concentrated market for high tech products and added-value services excluding cables and lines, which is estimated at $62 billion in 2007 (a substantial increase on $54 billion in 2006). This transmission and distribution market research report contains a detailed section for each country examining the T&D industry, its structure, its size and the entities involved in it, up-dated to 2007.
The previous edition of this report identified a number of important factors which we believed to be shaping the direction of transmission and distribution globally and which would have significant impacts on the market in the coming years. These predictions have proved accurate and the present report reveals a large surge in capital expenditure in T&D in 2006/07 and the coming years. The most important finding of this edition of the ABS T&D Report is the significantly increased levels of capital expenditure on T&D in 2006 and 2007 and the prediction that this optimistic outlook will continue for another five years.
The years 2006 and 2007 have been significant for the world T&D industry and it may well be that in the future they will be seen as milestones in the industry’s history. Two important things happened. Firstly, the industry is dominated by a handful of large companies, each of which has a strong presence in the mature, traditional markets in the industrialised countries. Investment in the T&D segment of the electrical industry has been sluggish for some years because of new and increasing competitive cost pressures due to market liberalisation.
The industrialised countries are all faced with the problem of aging infrastructural assets to some degree or another, and this has reached such a point that late in 2005 operators and regulators changed tack and higher levels of capital expenditure investment have been sanctioned, on average rising 24% to 30% and to be continued for some years. At the same time, for different reasons, detailed elsewhere in this report there has been a huge surge in authorised T&D investment in China and promise of more in India. The industry leaders have long been present in China but are now intensifying their efforts there and some are even talking about a shift in the centre of gravity of their activities from Europe and the US to China.