Distributed Energy Resource Management System Market Report 2025

This Distributed Energy Resource Management System market report delivers an in-depth analysis of the market’s key characteristics, including size, growth potential, and segmentation. It provides a detailed breakdown of the market across major regions and leading countries, highlighting historical data and future growth projections. The report also examines the competitive landscape, market share insights, emerging trends, and strategic developments shaping the market.

The distributed energy resource management system market size has grown rapidly in recent years. It will grow from $0.55 billion in 2024 to $0.64 billion in 2025 at a compound annual growth rate (CAGR) of 17.3%. The growth in the historic period can be attributed to rise of renewable energy adoption, increase in energy demand, rise in government incentives and regulations, increase in push for grid modernization, and growth in concerns over energy efficiency and sustainability.

The distributed energy resource management system market size is expected to see rapid growth in the next few years. It will grow to $1.2 billion in 2029 at a compound annual growth rate (CAGR) of 17%. The growth in the forecast period can be attributed to increasing adoption of renewable energy sources, rising demand for energy efficiency, growing deployment of smart grids, expanding use of electric vehicles, increasing supportive government policies, and rising need for improved grid resilience and reliability. Major trends in the forecast period include advancements in AI-driven grid optimization, integration of renewable energy sources, adoption of IoT and smart sensors, advancements in virtual power plant (VPP) capabilities, enhanced cybersecurity measures, adoption of blockchain for energy transactions, and adoption of cloud-based platforms for real-time energy management.

The growing adoption of renewable energy sources is anticipated to drive the expansion of the distributed energy resource management system market. Renewable energy sources include naturally occurring resources such as sunlight, wind, water, and organic materials used for energy production. The rise in adoption is driven by increasing environmental concerns, technological advancements, and the need for energy security. Distributed energy resource management systems enhance the integration and performance of renewable energy sources by coordinating and balancing their output with demand, which improves grid stability and efficiency. For example, in February 2024, the World Resources Institute, a US-based non-profit organization, reported that the United States reached a historic milestone in 2023 by installing 31 gigawatts (GW) of solar energy capacity. This marked a notable 55% increase from 2022 and surpassed the previous record set in 2021. Consequently, the increasing adoption of renewable energy sources is fueling the growth of the distributed energy resource management system market.

Major companies in the distributed energy resource management system market are incorporating cloud computing to enhance real-time data processing, improve scalability, and optimize energy management across distributed networks. Cloud computing facilitates centralized data processing, storage, and access, enabling remote monitoring and control of distributed assets. For example, in July 2023, Schneider Electric SE, a France-based energy management firm, partnered with PG&E Corporation, a US-based energy utility company, to launch EcoStruxure DERMS. This cloud-based software platform optimizes distributed energy resources such as solar panels, electric vehicles, and battery storage. Running on Microsoft Azure, the platform allows for real-time data collection and analysis of distributed energy resources, providing grid operators with improved visibility and control over energy assets.

In August 2024, Budderfly Inc., a US-based energy-as-a-service provider, acquired the grid-edge distributed energy resource management system (DERMS) from Sunverge Energy for an undisclosed amount. The Sunverge DERMS platform will enable Budderfly to manage and optimize various energy resources, such as battery storage, solar generation, and electric vehicle (EV) charging infrastructure, especially in small- to mid-sized commercial buildings. Sunverge Energy Inc., a US-based software development company, specializes in offering software-as-a-service solutions for renewable energy.

Major companies operating in the distributed energy resource management system market are Engie SA, Hitachi Ltd., Tesla Inc., Siemens AG, General Electric Company, Oracle Corporation, Schneider Electric SE, Mitsubishi Electric Corporation, Honeywell International Inc., ABB Ltd., LONGi Group, Emerson Electric Co., Doosan Group, Goldwind Science & Technology Co. Ltd., Energy Hub Inc., Generac Holdings Inc., Itron Inc., Enel X, Open Access Technology International Inc., Spirae LLC, Uplight Inc., GreenSmith Energy Management Systems Inc., AutoGrid Systems Inc., Smarter Grid Solutions, Envision Group.

North America was the largest region in the distributed energy resource management system market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the distributed energy resource management system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the distributed energy resource management system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

A distributed energy resource management system (DERMS) is a software solution designed to optimize and control various distributed energy resources, such as solar panels, batteries, and wind turbines. It facilitates the efficient integration of these resources into the grid, enhancing energy reliability and grid stability.

Key components in the DERMS market include Virtual Power Plants (VPPs), management and control systems, analytics, and software services. A Virtual Power Plant (VPP) is a network of distributed energy resources, such as solar panels, wind turbines, and battery storage, managed and operated collectively as a single power plant. Technologies within this field include wind and photovoltaic (PV) distributed energy resources. End-users of DERMS span residential, commercial, industrial sectors, and utilities.

The distributed energy resource management system market research report is one of a series of new reports that provides distributed energy resource management system market statistics, including the distributed energy resource management system industry global market size, regional shares, competitors with distributed energy resource management system market share, detailed distributed energy resource management system market segments, market trends, and opportunities, and any further data you may need to thrive in the distributed energy resource management system industry. These distributed energy resource management system market research reports deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The distributed energy resource management system (DERMS) market consists of revenues earned by entities providing services such as energy resource aggregation, real-time monitoring and control, grid optimization, and energy storage management. The market value includes the value of related goods sold by the service provider or included within the service offering. The distributed energy resource management system (DERMS) market also includes sales of advanced metering infrastructure (AMI), energy storage systems, power conditioning equipment, and grid interface equipment. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 3-5 business days.