Shore Power Market SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025-2032)

Shore Power Market Size - Analysis

Shore Power Market Trends

Focus on reducing emissions and promoting sustainable practices has increased. Consequently, various maritime authorities across the globe have introduced stringent regulations regarding air pollutants released by ships during their berthing periods. Particularly, emissions of NOx, Sox, and particulate matter have come under intense scrutiny due to their adverse health impacts. This influences important trends in the shore power market.

Overall, the tightening environmental mandates at major ports present a compelling argument for shippers and port operators to strongly consider shore power systems, especially for vessels making regular visits. The regulations have almost certainly accelerated market expansion over the past decade despite the high initial costs involved.

Market Driver - Growing Demand for Sustainable Maritime Practices to Reduce CO2 Emissions

Adopting shore power while at berth is one of the strategies gaining widespread acceptability within the shipping community looking to demonstrate meaningful progress on sustainability. Use of land-based electric grids eliminates the need to run auxiliary diesel engines and boilers during port stays. This has brought increasing commercial advantages for shore power market players in the form of favorable PR and marketing mileage emphasizing their green credentials.

Market Challenge - High Initial Installation and Maintenance Costs for Shore Power Systems

Similarly, ports are required to invest in high voltage electrical infrastructure right at the berths to deliver shore-side power. The payback period for such investments tend to be longer given current utilization rates remain low. Further, maintaining such specialized electrical systems involves additional operating expenses for facilities.

The continuous growth in global seaborne trade and cargo traffic handled at ports presents a major opportunity for the increased uptake of shore power technology. Most major ports worldwide are expanding and enhancing their infrastructure and facilities to cater to larger vessels calling on their ports. This involves adding greater berthing and cargo handling capacity through investments in new quay walls and yards, installation of more gantry and rubber-tired gantries cranes as well as warehouses and stockyards.

Key winning strategies adopted by key players of Shore Power Market

Siemens adopted this strategy in 2014 when it won contracts to provide shore power systems to multiple ports across Europe and Asia. It helped expand shoreside infrastructure which allowed more vessels to plug into the local grid versus running diesel generators while docked.

Strategy #2 - Offering turnkey shore power solutions:

In 2017, Cavotec partnered with major ports in Northern Europe to deploy shore power across ferry and cargo terminals on a large scale through joint-funding models. This public-private partnership approach reduced costs for ports while allowing Cavotec preferential supply rights.

Segmental Analysis of Shore Power Market

Insights, By Installation Type: Capital Investments Drive Shoreside Segment Growth

Developing robust shoreside systems necessitates large investments in high voltage transformers, switchgear, distribution networks, and cables on the dock. Major ports have been allocating sizable capital to upgrade shoreside facilities to support growing shore power adoption. For example, the Port of Los Angeles invested over $50 million to enable shore power use at two major terminals. These activities encourage more vessel operators to outfit their fleets with compatible onboard shore power systems.

Insights, By Connection: New Environmental Regulations Spur New Installation Segment

Japan, for example, made shore power usage compulsory for cruise ships and container vessels over a certain tonnage. Similarly, California regulations will require shore power for container ships and refrigerated cargo vessels. This regulatory push is set to substantially grow the demand for new, compliant shore power installations worldwide.

Insights, By Component: Advancing Network Capabilities Spur Transformer Segment Dominance

Ongoing research on areas like grid-scale energy storage leverages shore power network interfaces. This offers opportunities to transform ports into testbeds for innovative smart grid technologies. The technological leaps in turn increase requirements for capable, high-spec transformers to tap their full potential. The need to keep upgrading shoreside network infrastructure thus sustains transformer segment growth in the shore power market.

Additional Insights of Shore Power Market

• The North American region is highlighted as a dominant player in the global shore power market, accounting for a substantial portion of the overall revenue.
• The increasing global emphasis on reducing carbon footprints at maritime hubs is expected to boost the market penetration of shore power solutions.
• Several large European cruise ports have successfully implemented shore power infrastructures allowing vessels to connect seamlessly to the local grid. This transition provides a tangible reduction in marine diesel usage, cutting greenhouse gas emissions drastically.

Competitive overview of Shore Power Market

The major players operating in the shore power market include General Electric, Siemens AG, Schneider Electric SE, ABB Ltd., Eaton Corporation plc, Conntek Integrated Solutions Inc., Piller Group GmbH, Power Systems International, Sydney Marine Electrical, Blueday Technology, Wartsila Oyj Abp, Cavotec SA, ESL Power Systems Inc., VINCI Energies, Danfoss A/S, Cochran Marine LLC, PowerCon, and Patton & Cooke Co.

Recent Developments in Shore Power Market

Shore Power Market Segmentation

• By Installation Type
  • Shoreside
  • Shipside
• By Connection
  • New Installation
  • Retrofit
• By Component
  • Transformers
  • Switchgear Devices
  • Frequency Converters
  • Cables and Accessories
  • Others
• By Power Rating
  • Up to 30 MVA
  • 30 to 60 MVA
  • Above 60 MVA