Packaged substation are mostly used in distribution networks to supply power to consumers. Major benefits associated with the use of this equipment are better voltage transformation, minimum space requirements, effective fault monitoring and control, lower losses as compared to, both aggregate technical & commercial, and remote access to information regarding supply and fault conditions.
It is also very cost effective as compared to conventional substation as the equipment is assembled by the same manufacturer; hence the process of procurement is also very simplified.
The global packaged substation market is projected to exhibit high growth on account of growing urbanization and rise in the number of upgrades on electrical infrastructure, influenced by increasing energy demand. The market is expected to be valued at $6.89 million globally in 2014. It is projected to grow at a CAGR of 10.19% during the forecast period.
Rapid growth in the BRIC nations' economies is expected to be the major driving factor for the development of power sector in these nations. China and India are the leading countries that are undergoing rapid transformation with huge developments in infrastructure and grid expansion.Packaged substations are expected to be used extensively in the new electrical distribution networks, which are expected to ensure minimum losses and uninterrupted power supply.