The global power quality equipment market is poised for robust growth as industries, utilities, and commercial facilities race to harden electrical infrastructure against voltage sags/swells, harmonics, flicker, transient surges, and power factor penalties. According to insights aligned with Kings Research coverage, adoption is being propelled by rapid digitization of loads, proliferation of variable-speed drives and renewables, stricter regulatory standards, and the imperative to protect uptime in data-centric operations.

The global power quality equipment market size was valued at USD 36.25 billion in 2023 and is projected to grow from USD 38.43 billion in 2024 to USD 62.23 billion by 2031, exhibiting a CAGR of 7.13% during the forecast period. 

Market Overview

Power quality (PQ) directly affects the reliability, safety, and cost efficiency of electrical systems. As sensitive electronics permeate manufacturing, healthcare, data centers, telecom, and transportation, even short-duration disturbances can lead to costly downtime, scrap, and service interruptions. Modern grids—featuring distributed generation (DG), electric vehicle (EV) charging, and inverter-dominated resources—introduce new harmonics and variability, intensifying demand for advanced mitigation solutions.

The market spans a broad portfolio of equipment and systems designed to measure, condition, correct, and protect. Core categories include uninterruptible power supplies (UPS), surge protective devices (SPD/TVSS), harmonic filters (active and passive), static VAR compensators (SVC) and STATCOMs, power conditioners and voltage regulators, isolation transformers, dynamic voltage restorers (DVR), digital static transfer switches (DSTS), power factor correction (PFC) banks, and advanced metering & analyzers. Demand is buoyed by both brownfield retrofits and greenfield projects across utility, industrial, commercial, and institutional segments.

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List of Key Companies in Power Quality Equipment Market:

• Schneider Electric
• ABB
• Toshiba International Corporation
• Yokogawa Test & Measurement Corporation
• Siemens
• Hitachi Energy Ltd.
• Emerson Electric Co.
• Fluke Corporation
• Vertiv Group Corp
• Algodue Elettronica srl
• MTE Corporation
• Elspec LTD
• GE Grid Solutions LLC,
• Langley Holdings plc
• Honeywell International Inc.

Growth Drivers

• Electrification & Digitalization: Rising penetration of power-electronic converters, robotics, PLCs, and high-speed automation heightens sensitivity to PQ events, spurring investment in UPS, filters, and regulators.
• Data Center & Cloud Expansion: Colocation and hyperscale operators prioritize Tier III/IV availability metrics, translating into multi-layered protection—double-conversion UPS, real-time monitoring, and redundant transfer switches.
• Renewable Integration: Solar PV and wind’s inverter-based characteristics can exacerbate harmonics and voltage fluctuations. Utilities and C&I prosumers deploy STATCOM/SVC, active filters, and smart inverters for grid code compliance and stability.
• Regulations & Penalties: Grid codes, IEEE/IEC standards, and utility tariffs penalize poor power factor and excessive harmonic injection, directly incentivizing corrective equipment.
• Process Continuity & Safety: Semiconductor, pharmaceuticals, food & beverage, and oil & gas rely on clean power to safeguard batch integrity, safety systems, and robotics—reducing unplanned downtime.
• EV Infrastructure: High-power DC fast chargers impose dynamic loads; site operators adopt PQ solutions to reduce flicker, correct power factor, and protect sensitive equipment.
• Industry 4.0/5G: Edge compute, private 5G, and advanced sensors expand the installed base of sensitive electronics in factories and campuses, raising the PQ bar.

Emerging Trends

• Shift from Device-Level to System-Level Architectures: Integrators are bundling UPS, filters, and intelligent switching into coordinated architectures with central management and analytics.
• Active, Software-Defined Conditioning: Active harmonic filters and digitally controlled STATCOMs are displacing legacy passive devices for dynamic, load-following compensation.
• Predictive PQ Analytics: Cloud-connected analyzers and power quality meters enable continuous monitoring, automated event classification, and predictive maintenance.
• Microgrids & On-Site Energy: PQ equipment is engineered alongside energy storage systems (BESS), gensets, and renewables to maintain stability in islanded and grid-connected modes.
• Solid-State Power Conversion: Silicon carbide (SiC) and gallium nitride (GaN) power semiconductors are improving efficiency, response times, and compactness of conditioners and UPS.
• Sustainability Focus: High-efficiency, low-loss designs, and recyclable materials align PQ investments with corporate ESG commitments.

Market Dynamics

Demand Side: Heightened sensitivity of loads; stricter uptime SLAs; tariff structures penalizing poor power factor; capex justification via avoided downtime and maintenance savings.
Supply Side: Consolidation among electrical OEMs; partnerships between UPS vendors, filter specialists, and digital platform providers; growing service and software layers.
Macroeconomic Context: Grid modernization programs, stimulus for critical infrastructure, and manufacturing reshoring reinforce multi-year PQ outlays, while component cost volatility and supply chain risks influence pricing and lead times.

Key Challenges:

• Upfront capex prioritization versus measurable ROI and lifecycle TCO
• Complexity of harmonics from mixed legacy and modern loads
• Skills gap in PQ auditing, commissioning, and continuous optimization
• Ensuring compatibility with evolving grid codes and cybersecurity requirements for connected devices

Segmentation Analysis

By Equipment

• Uninterruptible Power Supplies (UPS): Double-conversion, line-interactive, and modular architectures for IT, healthcare, industrial automation, and commercial buildings.
• Surge Protective Devices (SPD/TVSS): Type 1/2/3 devices for service entrance, distribution panels, and point-of-use protection.
• Harmonic Filters: Active filters for dynamic load compensation; passive L-C filters for well-characterized harmonic spectra; hybrid solutions for complex sites.
• Power Factor Correction (PFC) & Capacitor Banks: Fixed and automatic banks with detuning reactors for resonance mitigation.
• SVC/STATCOM & VAR Compensation: Utility and large industrial systems to stabilize voltage and support reactive power.
• Voltage Regulators & Power Conditioners: Automatic voltage regulators (AVR), ferroresonant transformers, and solid-state conditioners to maintain steady voltage.
• Dynamic Voltage Restorers (DVR): Fast-response devices that correct sags/swells on sensitive feeder lines.
• Digital Static Transfer Switches (DSTS): Seamless source transfer for mission-critical loads and dual-corded equipment.
• Isolation & K-Rated Transformers: Designed for nonlinear loads to limit overheating and noise propagation.
• Meters, Analysers & PQ Monitors: Class A meters, portable analyzers, and embedded sensors with advanced analytics.

By Phase

• Single-Phase: Residential, commercial point-of-use, edge IT, and medical devices.
• Three-Phase: Industrial plants, large commercial buildings, data centers, and utility substations.

By End User

• Industrial: Discrete and process industries (semiconductor, automotive, F&B, chemicals, metals, mining, pulp & paper).
• Commercial: Data centers, BFSI, retail, hospitality, offices, e-commerce fulfillment.
• Healthcare: Hospitals, imaging suites, labs, pharma facilities.
• Utilities & Energy: T&D substations, DER-rich feeders, renewable plants, microgrids.
• Transportation & Infrastructure: Airports, rail, metros, ports, and EV charging corridors.
• Education & Government: Campuses, defense installations, and civic infrastructure.

By Application

• Voltage stabilization & sag/swell mitigation
• Harmonic suppression & waveform correction
• Power factor improvement & reactive power optimization
• Transient surge protection
• Continuity/ride-through for critical loads
• Monitoring, benchmarking, and compliance reporting

By Sales Channel

• Direct OEM sales
• System integrators & EPCs
• Distributors/VARs
• Service & performance contracts

Regional Insights

• North America: Mature adoption with strong data center buildouts, manufacturing reinvestment, and stringent reliability targets. Utilities and C&I end users prioritize STATCOM/SVC, active filtering, and high-availability UPS topologies. Performance contracting and energy-as-a-service models gain traction.
• Europe: Tightening EN/IEC standards, renewable penetration, and decarbonization policies drive grid-forming solutions and advanced metering. Industrial retrofits focus on harmonic mitigation and power factor correction to avoid penalties and reduce losses.
• Asia Pacific: Fastest-growing manufacturing base, rapid urbanization, and large-scale infrastructure projects underpin demand. China, India, South Korea, and Southeast Asia invest in utility-strength voltage stabilization and C&I UPS fleets; microgrids and campus-scale PQ solutions expand with smart city programs.
• Middle East & Africa: Utility-scale renewables and desalination, oil & gas downstream modernization, and critical infrastructure (airports, healthcare, data hubs) require robust PQ, with a preference for ruggedized, high-temperature-tolerant systems.
• Latin America: Industrial clusters and commercial corridors adopt PFC and harmonic solutions to meet tariff structures and reliability needs; distributed solar + storage accelerates demand for integrated PQ and monitoring platforms.