Energy and Utility Drones Market

Global Energy and Utility Drones Market: Global Size, Trends, Competitive, and Historical & Forecast Analysis, 2023-2029- The market will expand due to the growing adoption of digital technologies in the energy and utility industry, and increasing demand for energy and utility infrastructure inspection and maintenance.

Global Energy and Utility Drones Market is valued at USD 3.74 Billion in 2022 and it is expected to reach USD 17.32 Billion by 2029 with a CAGR of 24.5% over the forecast period.

Scope of Global Energy and Utility Drones Market Report-

Energy and utility drones refer to unmanned aerial vehicles (UAVs) or drones that are used in the energy and utility industry for various applications such as inspections, maintenance, and monitoring of power plants, oil and gas pipelines, and renewable energy assets. These drones are equipped with advanced sensors, cameras, and other technologies that allow them to collect data, images, and videos that can be used to make better decisions, increase safety, and reduce costs.

The use of drones in the energy and utility industry started in the early 2000s, mainly for inspection and maintenance purposes. However, with the advancement of technology and the increasing demand for renewable energy sources, the market for energy and utility drones has grown significantly in recent years.

The applications of energy and utility drones are varied and include inspection and maintenance of power plants, monitoring and surveillance of oil and gas pipelines, environmental monitoring and management, and search and rescue operations.

The end-users of energy and utility drones are mainly companies in the energy and utility industry, including power companies, oil and gas companies, renewable energy companies, transmission and distribution companies, and government agencies.

Revenue Generation Model:

The energy and utility drones market revenue is generated through the sale of drones, drone services, and drone software. The market's revenue is also generated through the sale of related services, such as data analysis, mapping, and inspection reports.

Supply Chain Model:

The energy and utility drones supply chain model consists of drone manufacturers, component suppliers, software providers, service providers, and end-users.

Value Chain Model:

The energy and utility drones value chain model includes drone manufacturers, drone service providers, software providers, and end-users.

Covid-19 Impact on the Global Energy and Utility Drones Market:

The Covid-19 pandemic had a mixed impact on the global energy and utility drones market. While the pandemic led to a temporary slowdown in the market due to disruptions in supply chains and manufacturing, it also highlighted the need for increased automation and remote monitoring capabilities, which led to an increased demand for energy and utility drones. Additionally, the pandemic accelerated the adoption of digital technologies in the energy and utility industry, which is expected to drive further growth in the energy and utility drones market in the long term.

Key Players of Global Energy and Utility Drones Market Report-

• DJI
• AeroVironment
• Cyberhawk Innovations
• Drone Volt
• Flyability
• Delair
• PrecisionHawk
• SkySpecs
• Airware
• Kespry
• Aeryon Labs
• ULC Robotics
• HUVRdata
• Sharper Shape
• Sky-Futures
• Terra Drone
• Avitas Systems
• AirXOS
• DroneDeploy
• Measure
• Raptor Maps
• SenseFly
• Skysense
• DroneMetrex
• Aerodyne Group
• BNSF Railway
• FLIR Systems
• FlyWorx
• Honeywell
• Phoenix LiDAR Systems
• Riegl Laser Measurement Systems
• Topcon Positioning Systems
• UAVOS
• Vertex UAV
• Vigilant Aerospace Systems
• Wingtra
• YellowScan
• Zipline
• Sentera
• and others.

Global Energy and Utility Drones Market Segmentation:-

By Drone:

• Fixed-wing drones
• Rotary-wing drones
• Hybrid drones

By Services:

• Inspection and Maintenance
• Monitoring and Surveillance
• Others

By End-User:

• Utility Companies
• Renewable Energy Companies
• Oil and Gas Companies
• Power Plant Operators
• Government Agencies
• Others

By Regional & Country Level:

• North America
  • S.
  • Canada
• Europe
  • K.
  • France
  • Germany
  • Italy
• Asia Pacific
  • China
  • Japan
  • India
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • GCC
  • Africa
  • Rest of Middle East and Africa

Market Drivers:

Increasing demand for energy and utility infrastructure inspection and maintenance: The aging energy infrastructure, coupled with the need for regular maintenance and repair, has resulted in an increasing demand for inspection services. According to the American Society of Civil Engineers (ASCE) in 2021, the state of energy infrastructure in the United States is in need of significant investment and repair.

Drones offer a more efficient and cost-effective solution for inspection, reducing the need for manual labor and improving accuracy. Additionally, drones can reach remote and inaccessible locations, providing a comprehensive inspection of the infrastructure.

For example; 84% of energy executives identified drones as a critical technology for the future of the energy industry, with inspection and monitoring being the most commonly cited use case for drones.

The growing adoption of digital technologies in the energy and utility industry: The market is driven by the need for more efficient and reliable operations, as well as the increasing demand for renewable energy sources. Digital technologies such as drones, artificial intelligence, and big data analytics are enabling energy and utility companies to optimize their operations, reduce costs, and improve the reliability and safety of their infrastructure.

These technologies also help in reducing the carbon footprint of the industry by enabling the integration of renewable energy sources into the grid. The global renewable energy capacity increased by 10.3% in 2020, with the addition of 260 GW of renewable energy, as per the International Energy Agency (IEA).

Market Restraints:

Stringent regulations and safety concerns: Governments and regulatory bodies have implemented strict regulations to ensure the safe operation of drones, especially in the energy and utility industry, where infrastructure is critical. These regulations include restrictions on flying drones near airports, power lines, and other sensitive areas. Safety concerns such as the risk of drone collision, human error, and technical failure also hinder the adoption of drones.

For example; According to the Federal Aviation Administration (FAA) in the United States, there have been several incidents of drone collisions with manned aircraft. From 2015 to 2021, the FAA reported over 300 incidents of drones colliding or coming close to colliding with manned aircraft in the US alone. The energy and utility industry is also subject to strict safety standards, and the use of drones must comply with these standards, adding to the regulatory burden.

High initial investment cost: The cost of purchasing drones and the necessary equipment, such as cameras and sensors, can be prohibitively expensive for small and medium-sized enterprises. In addition, the cost of training personnel to operate the drones and analyze the data can also be high. For example; on an average, the cost of energy and utility drones can range from $10,000 to $100,000 or more, depending on the drone's specifications.

Market Opportunities:

Increasing adoption of renewable energy sources, growing demand for accurate and real-time data in the energy and utility industry, emerging markets, such as Asia-Pacific and Latin America, and the development of new and innovative drone technologies, such as hydrogen fuel cell-powered drones, create new opportunities for market growth.

Market Trend:

Product and technology development trends:

Advancements in sensors and software, the development of more efficient batteries and propulsion systems, integration of artificial intelligence and machine learning technologies, and the development of autonomous drones, reducing the need for human intervention and increasing safety.

Customer Trends:

Growing demand for accurate and real-time data, increasing interest in digital technologies, including drones, and rising concerns over safety and environmental impact, driving the need for more accurate and efficient inspection and maintenance methods.

Market Competition Nature:

The energy and utility drones market is highly competitive, with a large number of players ranging from start-ups to established companies. In the past, the players have focused on expanding their product portfolios, increasing their global presence, and developing partnerships and collaborations with other companies in the industry.

In the future, key market players are expected to continue investing in research and development to improve drone technology and expand their service offerings. They may also focus on strategic acquisitions to strengthen their market position and enhance their capabilities. As the market continues to mature, we can expect to see further consolidation among key players.

Geography Analysis:

North America:

In North America, the market is driven by factors such as increasing investments in energy and utility infrastructure, the need for more efficient and safer inspection and maintenance methods, and the availability of advanced drone technology. According to the American Society of Civil Engineers (ASCE), the United States needs to invest around $4.5 trillion by 2025 to upgrade its infrastructure to a satisfactory level.

In the United States, the energy and utility drones market is expected to grow significantly in the coming years, with a strong focus on renewable energy sources such as wind and solar power. The Federal Aviation Administration (FAA) has also implemented regulations and guidelines for commercial drone operations, providing a regulatory framework for the industry to operate within.

As of 2021, there are over 1.9 million registered drones in the United States, and approximately 200,000 drone pilots have obtained remote pilot certificates from the FAA. Canada also has a growing Energy and Utility Drones market, with a focus on oil and gas pipelines and hydroelectric power generation.

Europe:

In Europe, the energy and utility drones market is expected to see significant growth in the coming years due to increasing investment in renewable energy sources such as wind and solar power.

For example; wind and solar power are the two largest sources of renewable energy in Europe, with wind power accounting for 15.2% of the EU's electricity generation in 2020, and solar power accounting for 8.9%. The European Union has set ambitious targets to increase the share of renewable energy in its energy mix, driving the need for more efficient and accurate inspection and maintenance services for energy infrastructure.

Key Benefits of Global Energy and Utility Drones Market Report–

• Global Energy and Utility Drones Market report covers in-depth historical and forecast analysis.
• Global Energy and Utility Drones Market research report provides detailed information about Market Introduction, Market Summary, Global market Revenue (Revenue USD), Market Drivers, Market Restraints, Market Opportunities, Competitive Analysis, and Regional and Country Level.
• Global Energy and Utility Drones Market report helps to identify opportunities in the marketplace.
• Global Energy and Utility Drones Market report covers extensive analysis of emerging trends and competitive landscape.