Microgrid as a Service Market

Microgrid as a Service Market Outlook (2025 to 2035)

The global microgrid as a service market is analyzed to reach a worth of US$ 2.62 billion in 2025 and further expand at a CAGR of 9.7% through 2035 to touch a size of US$ 6.6 billion by the end of 2035.

The microgrid as a service industry analysis states that governments from several countries are utilizing different types of incentives to push people to switch to renewable energy and distributed energy solutions. Increasing number of grants, tax incentives, and subsidies for distributed and microgrid systems installation not only provides financial support to municipalities and businesses but also reduces the financial risks significantly. Adoption is further driven by policies meant to lower carbon emissions, encourage energy efficiency, and raise energy security.

A key microgrid as a service market trend is quick advancements in energy management systems (EMSs) and smart grid technology. Due to this, they are now simpler to monitor, control, and maximize microgrid operation. Real-time data analytics, automation, and predictive algorithms are changing energy generation, storage, and distribution in terms of their management. Therefore, these technologies are improving the performance and reliability of microgrids as a service, thus making them more attractive to companies and communities looking for an efficient and integrated energy solution.

Key Market Growth Drivers :

• As per the microgrid as a service industry analysis, adoption of renewable energy sources, such as solar, wind, and geothermal is increasing as several countries are making efforts to fight climate change. Microgrids are becoming crucial for incorporating renewable energy in the grid because they provide localized generation and lessen dependency on fossil fuels.
• Microgrid as a service offers communities and companies an affordable option for deploying microgrid systems. This requires low upfront capital expenditures.
• In several cities, a high number of aging infrastructure, extreme weather events, and natural disasters are constantly happening, which ends up with power outages and grief instability. Microgrid solutions are gaining popularity in such areas because of their ability to function independently.
• The microgrid as a service market size expanding continuously as it is particularly appealing for crucial infrastructures that are not able to handle downtime, such as data centers and hospitals.
• Dependability of areas that are vulnerable to grid instability is increasing demand for microgrid services as they have independent power supply and energy resilience features, subsequently resulting in cost savings.
• Organizations pay for the services they use and avoid making a large initial investment in microgrid infrastructure by using this service. Microgrid as a service is contributing to long-term cost reductions by gradually lowering peak demand fees and energy consumption. The broad use of microgrids as service systems is encouraged by these financial benefits.

Report Attribute	Detail
Microgrid as a Service Market Size (2025E)	US$ 2.62 Billion
Forecasted Market Value (2035F)	US$ 6.6 Billion
Global Market Growth Rate (2025 to 2035)	9.7% CAGR
North America Market Value (2025E)	US$ 694.62 Million
East Asia Market Growth Rate (2025 to 2035)	10.2% CAGR
Grid-Connected Segment Value (2035F)	US$ 4.61 Billion
Utility Segment Value (2035F)	US$ 1.99 Billion
Key Companies Profiled	Siemens; Schneider Electric; General Electric (GE); Honeywell; ABB; Enel X; S&C Electric Company; Microgrid Solar; Eaton; Tesla; NEXTracker; Bloom Energy; GridPoint.

Which Market Opportunities are Microgrid as a Service Providers Leveraging?

“Rising Utilization of Energy Storage Technologies and Urbanization in Several Areas Driving Market Growth”

Increasing adoption of energy storage technologies, including batteries is driving the microgrid as a service market growth as they are more effective and cost-efficient solution. Energy storage systems allow for better load management, energy arbitrage, and backup power during outages. Here, microgrids as a service solution offer integrated energy storage with enhanced capabilities, ensuring continuous power supply even when renewable generation is intermittent.

Growing urbanization in several areas is also creating bullish sentiments for microgrid as a service industry outlook. Rising number of people shifting into cities is driving the need for decentralized energy solutions, especially in areas where the grid is at maximum capacity. Microgrids are extremely flexible solutions for meeting the exceeding energy demand of urban society.

What’s Limiting Adoption of Microgrids as a Service All Over the World?

“High Dependability on Latest Technologies Negatively Influencing Market Expansion”

Technologies that are integrated into microgrids are energy storage systems, advanced energy management systems (EMS), renewable energy sources, and others. The interconnected system sometimes becomes too complex to manage when adding new energy technologies to the already existing ones, especially in areas where the infrastructure is outdated. Technical issues with grid synchronization, energy generation optimization, real-data management, and others in less technologically advanced areas are limiting the market growth.

For microgrids as service providers, advancements and availability of the latest technologies, such as storage systems, smart meters, sensors, and others are extremely crucial. Slow development or non-commercialization of these technologies limits market expansion.

Country-wise Insights

The East Asia region is approximated to hold 32.5% of the global microgrid as a service market share in 2025 due to rising urbanization, energy demand, and the need for greener solutions. China and Japan both are the leading countries in the market.

What is the Microgrid as a Service Industry Outlook in the United States?

“Growing Demand for Energy Resilience in Disaster-Prone States”

Attribute	United States
Market Value (2025E)	US$ 478.62 Million
Growth Rate (2025 to 2035)	10.7% CAGR
Projected Value (2035F)	US$ 1.34 Billion

The market outlook in the United States is positive due to the growing requirement for energy resilience, particularly in areas, including California, Texas, and Florida as they are prone to natural disasters. Adoption of microgrids as service systems is driven by the need for dependable backup power in crucial infrastructures, such as data centers, military installations, hospitals, and others.

Other than this, support from state and federal regulations regarding renewable energy, such as tax breaks for wind and solar energy installation is further raising microgrid integration. The United States is also making a significant investment in smart technology, which is helping the microgrids as a service by improving energy management and promoting decentralization.

Which Trends are Positively Influencing the Market for Microgrid as a Service in Japan?

“Japan's Leadership in Microgrid Adoption Post-Fukushima Disaster”

Attribute	Japan
Market Value (2025E)	US$ 196.79 Million
Growth Rate (2025 to 2035)	10.8% CAGR
Projected Value (2035F)	US$ 549.02 Million

Since the 2011 Fukushima accident and other natural disasters, Japan has placed a strong emphasis on energy resilience. Due to this, the utilization of microgrids for energy security and backup power is high in the region. The necessity to support energy independence and provide backup power for vital infrastructure is driving the microgrid as a service market growth in Japan.

The government is encouraging the utilization of renewable energy in microgrid systems. This is part of Japan’s efforts to achieve carbon neutrality. In rural and isolated locations with unstable main grid infrastructure, these solutions are becoming more popular in Japan.

Category-wise Insights

Based on service type, the software as a service holds a leading position with a significant market share because of its capacity to offer scalable, adaptable, and reasonably priced energy management solutions. SaaS platforms make it possible to monitor, analyze, and manage microgrid operations in real-time, which promotes effective energy distribution and the incorporation of renewable energy sources.

Why Type of Microgrid as Service Gaining Attention Globally?

“Strong Preference Due to Ability to Enhance Reliability and Stability of Power Grids”

Attribute	Grid-Connected
Segment Value (2025E)	US$ 1.75 Billion
Growth Rate (2025 to 2035)	10.6% CAGR
Projected Value (2035F)	US$ 4.61 Billion

The grid-connect type accounts for a significant global market share because of its ability to improve the stability as well as reliability of the overall power grid. A flexible and effective energy solution is provided by grid-connected microgrids, which combine renewable energy sources, such as wind and solar with the main grid. Due to this, the adoption of grid-connected microgrids as a service is high compared to remote/islanded type.

Bidirectional energy flow is possible with this type of microgrid as it surplus energy to be recycled back into the grid and generates income through energy sales or credits. Grid-connected microgrids facilitate grid upgrading, lessen dependency on centralized power plants, and provide a more reliable energy supply in the event of grid outages.

Which Vertical Segment is Analyzed to Hold a Sizable Portion of the Revenue?

“Regulatory Support in Several Countries Driving Utility Investment in Microgrid Technologies”

Attribute	Utility
Segment Value (2025E)	US$ 815.19 Million
Growth Rate (2025 to 2035)	10.6% CAGR
Projected Value (2035F)	US$ 1.99 Billion

Based on vertical, the utility segment holds a sizable portion of the worldwide market revenue due to its crucial role in improving grid resilience and dependability. To better manage energy distribution, incorporate renewable energy sources, and address the issues brought on by aging infrastructure and climate-related disturbances, utilities are widely using microgrid solutions.

Microgrids allow utilities to save operating expenditures, optimize energy management, and supply backup power during blackouts. This market segment is a prominent market driver for microgrids as a service as utilities are further encouraged to engage in these technologies by regulatory support and incentives for the integration of renewable energy.

Competitive Landscape

Key players in the microgrid as a service industry are utilizing advanced technologies, such as energy storage systems, artificial intelligence, and predictive analytics to increase their offerings. To meet a wider range of client needs and optimize income streams, they are offering customized microgrids as service solutions for several industries, including manufacturing, healthcare, and data centers.

• In Jun 2024, Unison Energy LLC, an Energy-as-a-Service (EaaS) platform, offering microgrid solutions in North America, was acquired by Tiger Infrastructure Partners. Tiger's energy transition investments, one of its three main areas, are strengthened by this acquisition. For Tiger Infrastructure Partners Fund III, which closed at US$ 1.25 billion in early 2022, it represents the last of nine investments.

Fact.MR provides detailed information about the price points of key providers of microgrids as a service positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of Microgrid as a Service Market Research

• By Type :

  • Remote/Islanded
  • Grid-connected

• By Service Type :

  • Engineering & Design
  • Monitoring & Control
  • Software as a Service

• By Vertical :

  • Utility
  • Residential & Commercial
  • Industrial

• By Region :

  • North America
  • Western Europe
  • Eastern Europe
  • Latin America
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa