Renewable Energy Expansion Drives Demand for Advanced Distribution Equipment

Berlin, June 2025 – The global transition toward renewable energy is reshaping the medium and low voltage electrical equipment sector. Wind farms, solar power plants, and distributed energy resources (DERs) are creating new challenges for traditional power grids, leading to higher demand for advanced distribution solutions.

Unlike centralized fossil-fuel plants, renewable sources are variable and decentralized, requiring intelligent switchgear, digital transformers, and adaptive control systems to ensure grid stability. According to the International Energy Agency (IEA), renewable energy is expected to account for 50% of global electricity generation by 2040, making flexible MV/LV equipment more critical than ever.

Several countries have introduced subsidies and regulations to promote microgrids and distributed power systems. These smaller, independent networks rely heavily on medium and low voltage equipment to integrate solar panels, battery storage, and wind turbines.

Industry analysts note that manufacturers focusing on smart, modular, and environmentally friendly electrical solutions are well-positioned to benefit from the rapid shift to renewable-driven grids.