Shore Power Market: Current Analysis and Forecast (2024-2032)

Shore power is an emissions control measure used in ports that connects ships to the local land-side power grid, rather than utilizing the ship's engines at berth. Shore power has been implemented at around 35 cruise berths at 14 ports globally. The number of ports worldwide implementing shore power is rising due to the increasing global response to climate change. In addition, environmental and local community impacts, specifically reducing air emissions within the local region and minimizing noise from cruise ships, further drive the adoption of shore power at ports.

Based on the component, the shore power market is segmented into cable & accessories, frequency converters, transformers, switchgear, and others. Amongst these, Frequency converters hold a significant share of the shore power market ensuring compatibility between a vessel's electrical system and the shore power supply. These devices convert the frequency of electricity from the shore grid to match the frequency required by the ship's onboard systems, facilitating seamless power transfer, and reducing reliance on diesel generators, thereby cutting emissions and operational costs. The growth of frequency converters in the shore power market is driven by stringent environmental regulations to reduce port emissions, increased adoption of green port initiatives, and the growing focus on sustainability within the maritime industry.

Based on the installation, the shore power market is bifurcated into shipside and shoreside. Shipside installation is capturing a considerable share in the shore power market due to its critical role in enabling vessels to connect to shore-based electrical power. This installation involves equipping ships with the necessary infrastructure to receive and utilize shore power, significantly reducing the need for onboard diesel generators, thereby lowering emissions and operational costs. Further, advancements in shore power technology, such as automated connection systems and more efficient power management solutions, make shipside installations more attractive and feasible. The increasing global trade and the expansion of port facilities also necessitate the adoption of shore power solutions, further boosting the market for shipside installations.

Based on connection, the shore power market is categorized into retrofit and new installation. New installations of shore power are catering to an extensive share of existing ships compared to retrofitting due to several key factors. Factors such as the growing emphasis on environmental sustainability and compliance with stringent international regulations, such as those set by the International Maritime Organization (IMO), are driving the demand for shore power systems in new ship designs. These regulations aim to reduce emissions and improve air quality in port areas, making shore power an attractive solution for new buildings to meet these standards from the outset.

For a better understanding of the market adoption of the shore power industry, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, France, Spain, Italy, Sweden, Rest of Europe), Asia-Pacific (China, India, Japan, and Rest of Asia-Pacific), Rest of World. The Asia Pacific region caters for the highest share of the shore power market and is expected to grow at a significant rate in the coming years as well. It is owing to factors such as extensive maritime activities, characterized by numerous bustling ports and a high volume of shipping traffic, which create substantial demand for shore power solutions. Major ports in countries like China, Japan, South Korea, and Singapore are leading global trade hubs that increasingly prioritize sustainable practices to reduce emissions and improve air quality.

Some of the major players operating in the market include ABB, Wartsila, Siemens, Schneider Electric SE, Smart Plug Systems, Cochran Marine, Blueday Technology, Hitachi Energy Ltd., VINCI Energies SA, and Ensmart Power Ltd.