AC Microgrid Market Size, Trends and Growth Driver 2034
Global AC Microgrid Market Growth, Size, Trends Analysis- By Connectivity, By Power Source, By Storage Device, By Application - Regional Outlook, Competitive Strategies and Segment Forecast to 2034
| Published: Aug-2025 | Report ID: POAE25136 | Pages: 1 - 259 | Formats*: |
| Category : Power & Energy | |||
Global AC Microgrid Market Introduction and Overview
According to SPER Market Research, the Global AC Microgrid Market is estimated to reach USD 72.74 billion by 2034 with a CAGR 20.68%.
The report includes an in-depth analysis of the Global AC Microgrid Market, including market size and trends, product mix, Applications, and supplier analysis. The global AC Microgrid Market was valued at USD 11.1 billion in 2024 and is expected to grow at a CAGR of over 20.86% from 2025 to 2034. Localized electrical networks, known as microgrids, operate independently or alongside the main power grid to distribute alternating current (AC) electricity. They enhance energy resilience, efficiency, and reliability by adjusting power supply based on demand and ensuring uninterrupted s ervice in both grid-connected and off-grid areas. Growing demand for dependable power, particularly in regions prone to outages, is driving market growth. Technological advancements in power electronics, energy storage, and grid management, along with favorable government policies and incentives, are encouraging investments and expanding the decentralized energy systems market.
By Connectivity:
The grid-connected segment holds a dominant share of the market due to its seamless integration with existing infrastructure, allowing for efficient and cost-effective deployment without major upgrades. These systems enhance grid stability and reliability by supporting power supply during peak demand or outages, contributing to improved energy security and boosting market growth. Additionally, their ability to enable bi-directional energy flow allows users to feed excess power back into the grid, promoting energy sharing and system stability, which further drives product adoption.
By Storage Device:
The lithium-ion storage segment is projected to experience strong growth due to its high energy density, long cycle life, and fast response capabilities. These batteries ensure efficient energy storage and reliable power supply during grid outages or peak demand. Their compact design and scalability make them ideal for diverse microgrid applications, enhancing space efficiency and installation flexibility. Ongoing technological advancements have significantly reduced costs, making lithium-ion batteries more affordable and accessible, which is fueling their widespread adoption and contributing to the expansion of the market.
Regional Insights:
The Asia Pacific AC microgrid market is poised for substantial growth, driven by rapid urbanization, industrial development, and a growing population in remote and rural areas, which is fueling demand for reliable and sustainable energy access. Supportive government policies and incentives promoting renewable energy, combined with technological advancements across developing nations, are expected to create significant opportunities for stakeholders and further strengthen the regional industry landscape.
Market Competitive Landscape:
Key market players are forming strategic partnerships and investing in R&D to improve system performance and cost-efficiency. They are also launching awareness initiatives and targeted marketing campaigns to expand their customer base and strengthen market presence. Some of the market key players are Advanced Microgrid Solutions, Caterpillar Inc., Delta Electronics, Inc., Eaton Corporation, Enel X, EnSync Energy Systems, General Electric Company, Kohler Power, PowerSecure, Inc., Schneider Electric SE, Siemens AG, Tata Power.
Recent Developments:
In February 2023, Eaton partnered with AEP Ohio to develop Columbus’s first microgrid, designed to support resilient and sustainable water infrastructure. The project showcases environmentally friendly technologies aimed at modernizing critical infrastructure while improving quality of life, environmental impact, and financial performance.
In October 2021, Eaton Corporation Plc developed a microgrid incorporating solar power and energy storage at its circuit breaker facility in Puerto Rico. The company aimed to deliver 10 MW (AC) of solar PV and 2.23 MW of battery storage to the region through its two microgrids by 2022.
Scope of the report:
| Report Metric | Details |
| Market size available for years | 2021-2034 |
| Base year considered | 2024 |
| Forecast period | 2025-2034 |
| Segments covered | By Connectivity, By Power Source, By Storage Device, By Application |
| Regions covered | North America, Latin America, Asia-Pacific, Europe, and Middle East & Africa |
| Companies Covered | Advanced Microgrid Solutions, Caterpillar Inc., Delta Electronics, Inc., Eaton Corporation, Enel X, EnSync Energy Systems, General Electric Company, Kohler Power, PowerSecure, Inc., Schneider Electric SE, Siemens AG, Tata Power. |
Key Topics Covered in the Report
- Global AC Microgrid Market Size (FY’2021-FY’2034)
- Overview of Global AC Microgrid Market
- Segmentation of Global AC Microgrid Market By Connectivity (Grid Connected, Off Grid)
- Segmentation of Global AC Microgrid Market By Power Source (Diesel Generators, Natural Gas, Solar PV, CHP, Others)
- Segmentation of Global AC Microgrid Market By Storage Device (Lithium-ion, Lead Acid, Flow Battery, Flywheels, Others)
- Segmentation of Global AC Microgrid Market By Application (Healthcare, Educational Institutes, Military, Utility, Industrial/ Commercial, Remote, Others)
- Statistical Snap of Global AC Microgrid Market
- Expansion Analysis of Global AC Microgrid Market
- Problems and Obstacles in Global AC Microgrid Market
- Competitive Landscape in the Global AC Microgrid Market
- Details on Current Investment in Global AC Microgrid Market
- Competitive Analysis of Global AC Microgrid Market
- Prominent Players in the Global AC Microgrid Market
- SWOT Analysis of Global AC Microgrid Market
- Global AC Microgrid Market Future Outlook and Projections (FY’2025-FY’2034)
- Recommendations from Analyst
1.Introduction
1.1.Scope of the report1.2.Market segment analysis
2.Research Methodology
2.1.Research data source
2.1.1.Secondary Data2.1.2.Primary Data2.1.3.SPERs internal database2.1.4.Premium insight from KOLs
2.2.Market size estimation
2.2.1.Top-down and Bottom-up approach
2.3.Data triangulation
3.Executive Summary
4.Market Dynamics
4.1.Driver, Restraint, Opportunity and Challenges analysis
4.1.1.Drivers4.1.2.Restraints4.1.3.Opportunities4.1.4.Challenges
5.Market variable and outlook
5.1.SWOT Analysis
5.1.1.Strengths5.1.2.Weaknesses5.1.3.Opportunities5.1.4.Threats
5.2.PESTEL Analysis
5.2.1.Political Landscape5.2.2.Economic Landscape5.2.3.Social Landscape5.2.4.Technological Landscape5.2.5.Environmental Landscape5.2.6.Legal Landscape
5.3.PORTERs Five Forces
5.3.1.Bargaining power of suppliers5.3.2.Bargaining power of buyers5.3.3.Threat of Substitute5.3.4.Threat of new entrant5.3.5.Competitive rivalry
5.4.Heat Map Analysis
6.Competitive Landscape
6.1.Global AC Microgrid Market Manufacturing Base Distribution, Sales Area, Product Type6.2.Mergers & Acquisitions, Partnerships, Product Launch, and Collaboration in Global AC Microgrid Market
7.Global AC Microgrid Market, By Connectivity, (USD Million) 2021-2034
7.1.Grid Connected7.2.Off Grid
8.Global AC Microgrid Market, By Power Source, (USD Million) 2021-2034
8.1.Diesel Generators8.2.Natural Gas8.3.Solar PV8.4.CHP8.5.Others
9.Global AC Microgrid Market, By Storage Device, (USD Million) 2021-2034
9.1.Lithium-ion9.2.Lead Acid9.3.Flow Battery9.4.Flywheels9.5.Others
10.Global AC Microgrid Market, By Application, (USD Million) 2021-2034
10.1.Healthcare10.2.Educational Institutes10.3.Military10.4.Utility10.5.Industrial/ Commercial10.6.Remote10.7.Others
11.Global AC Microgrid Market, (USD Million) 2021-2034
11.1.Global AC Microgrid Market Size and Market Share
12.Global AC Microgrid Market, By Region, 2021-2034 (USD Million)
12.1.Asia-Pacific
12.1.1.Australia12.1.2.China12.1.3.India12.1.4.Japan12.1.5.South Korea12.1.6.Rest of Asia-Pacific
12.2.Europe
12.2.1.France12.2.2.Germany12.2.3.Italy12.2.4.Spain12.2.5.United Kingdom12.2.6.Rest of Europe
12.3.Middle East and Africa
12.3.1.Kingdom of Saudi Arabia12.3.2.United Arab Emirates12.3.3.Qatar12.3.4.South Africa12.3.5.Egypt12.3.6.Morocco12.3.7.Nigeria12.3.8.Rest of Middle-East and Africa
12.4.North America
12.4.1.Canada12.4.2.Mexico12.4.3.United States
12.5.Latin America
12.5.1.Argentina12.5.2.Brazil12.5.3.Rest of Latin America
13.Company Profile
13.1.Advanced Microgrid Solutions
13.1.1.Company details13.1.2.Financial outlook13.1.3.Product summary13.1.4.Recent developments
13.2.Caterpillar Inc.
13.2.1.Company details13.2.2.Financial outlook13.2.3.Product summary13.2.4.Recent developments
13.3.Delta Electronics, Inc.
13.3.1.Company details13.3.2.Financial outlook13.3.3.Product summary13.3.4.Recent developments
13.4.Eaton Corporation
13.4.1.Company details13.4.2.Financial outlook13.4.3.Product summary13.4.4.Recent developments
13.5.Enel X
13.5.1.Company details13.5.2.Financial outlook13.5.3.Product summary13.5.4.Recent developments
13.6.EnSync Energy Systems
13.6.1.Company details13.6.2.Financial outlook13.6.3.Product summary13.6.4.Recent developments
13.7.General Electric Company
13.7.1.Company details13.7.2.Financial outlook13.7.3.Product summary13.7.4.Recent developments
13.8.Kohler Power
13.8.1.Company details13.8.2.Financial outlook13.8.3.Product summary13.8.4.Recent developments
13.9.PowerSecure, Inc.
13.9.1.Company details13.9.2.Financial outlook13.9.3.Product summary13.9.4.Recent developments
13.10.Schneider Electric SE
13.10.1.Company details13.10.2.Financial outlook13.10.3.Product summary13.10.4.Recent developments
13.11.Siemens AG
13.11.1.Company details13.11.2.Financial outlook13.11.3.Product summary13.11.4.Recent developments
13.12.Tata Power
13.12.1.Company details13.12.2.Financial outlook13.12.3.Product summary13.12.4.Recent developments
13.13.Others
14.Conclusion
15.List of Abbreviations
16.Reference Links
SPER Market Research’s methodology uses great emphasis on primary research to ensure that the market intelligence insights are up to date, reliable and accurate. Primary interviews are done with players involved in each phase of a supply chain to analyze the market forecasting. The secondary research method is used to help you fully understand how the future markets and the spending patterns look likes.
The report is based on in-depth qualitative and quantitative analysis of the Product Market. The quantitative analysis involves the application of various projection and sampling techniques. The qualitative analysis involves primary interviews, surveys, and vendor briefings. The data gathered as a result of these processes are validated through experts opinion. Our research methodology entails an ideal mixture of primary and secondary initiatives.
Frequently Asked Questions About This Report
AC Microgrid Market is projected to reach USD 72.74 billion by 2034, growing at a CAGR of 20.68% during the forecast period.
AC Microgrid Market size from 2025. The Market is expected to reach USD 72.74 billion by 2034, at a CAGR of 20.68% during the forecast period.
AC Microgrid Market CAGR of 20.68% during the forecast period.
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AC Microgrid Market size is USD 72.74 billion from 2025 to 2034.
AC Microgrid Market covered By Connectivity, By Power Source, By Storage Device, By Application
The North America is anticipated to have the highest Market share in the AC Microgrid Market.
Advanced Microgrid Solutions, Caterpillar Inc., Delta Electronics, Inc., Eaton Corporation, Enel X, EnSync Energy Systems, General Electric Company, Kohler Power, PowerSecure, Inc., Schneider Electric SE, Siemens AG, Tata Power.
The report includes an in-depth analysis of the Global AC Microgrid Market, including market size and trends, product mix, Applications, and supplier analysis.
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