MaaS Market to Expand Rapidly with Focus on Resilient Power Systems

 

The global microgrid-as-a-service (MaaS) market is entering a phase of rapid transformation as countries seek cleaner, more resilient, and cost-efficient energy solutions. Valued at US$ 1.85 billion in 2021, the market is projected to grow at a CAGR of 15.7% from 2022 to 2031, reaching an impressive US$ 7.83 billion by the end of the forecast period. This surge is fueled by growing electricity demand, adoption of renewable energy, and the rising need for reliable power infrastructure.

 

What is Microgrid-as-a-Service?

Microgrid-as-a-Service is an innovative business model that enables organizations to deploy microgrid solutions without bearing heavy upfront costs. Instead, MaaS providers manage design, installation, operations, and maintenance, while customers benefit from stable and sustainable power supply. This model reduces financial risk and accelerates microgrid adoption across industries.

In addition to supporting solar and wind power integration, MaaS also helps businesses address challenges associated with traditional centralized grids, such as outages, instability, and high transmission losses. During natural disasters or grid failures, microgrids can operate independently (island mode), ensuring uninterrupted power.

 

Key Growth Drivers

1. Government Support: Policies such as tax incentives, subsidies, and smart grid investment programs are accelerating adoption. For instance, the U.S. Department of Energy’s Smart Grid Investment Grant program mobilized nearly US$ 8 billion to modernize transmission and distribution networks.
2. Renewable Energy Integration: Falling costs of solar panels and batteries have made microgrids viable not only in remote areas but also in urban centers. Grid-connected microgrids allow users to sell excess energy back to utilities, promoting energy efficiency.
3. Smart Devices & Digitalization: Deployment of smart meters, advanced controls, and monitoring systems enhances grid reliability, reduces outages, and optimizes performance. MaaS models leverage AI-driven monitoring and optimization tools to maximize cost savings.
4. Energy Security & Resilience: Growing concerns about blackouts and energy crises are pushing businesses, governments, and communities to invest in microgrids for uninterrupted supply and disaster preparedness.

 

Market Segmentation Insights

• By Type: Grid-connected microgrids dominate the market, accounting for nearly 78% share in 2021. Their flexibility to share and trade unused energy makes them highly attractive for urban applications.
• By Service: Monitoring & optimization services hold the largest share, as real-time data and AI-based insights enable efficient management of distributed energy assets.
• By End-User: Commercial and industrial sectors are leading adopters, benefiting from cost reductions, renewable integration, and energy independence.

 

Regional Outlook

• North America leads the market with a 38% share, driven by strong investments in grid modernization and presence of key players such as Schneider Electric, ABB, and General Electric.
• Asia Pacific is witnessing rapid growth due to industrialization, urbanization, and favorable government initiatives in countries like China, India, and Japan.
• Europe is focusing on clean energy targets, while South America is expected to grow fastest, owing to rising renewable adoption.

 

 

Competitive Landscape

The market is consolidated, with leading players such as Schneider Electric, ENGIE, ABB, Siemens AG, Eaton, and Tech Mahindra dominating. Strategies include R&D investments, product launches, and collaborations. For instance, Schneider Electric and Temasek launched GreeNext, a joint venture offering sustainable microgrid solutions.

Emerging trends include blockchain-enabled peer-to-peer energy trading and virtual microgrids, signaling the industry’s move toward smarter, decentralized energy systems.