Smart Water Grid Market Size, Share & Industry Analysis By Technology (Smart Infrastructure, Control & Automation, ICT & Analytical Software, and Design & Engineering), By Application (Residential, Commercial, and Utility), and Regional Forecast till 2032

The global smart water grid market is expanding owing to the increasing need to improve water system efficiency and water quality. These grids comprise urban water infrastructure enhanced by utilizing numerous interconnected devices that are proficient in collecting and sharing data with both other devices and data centers. It incorporates the use of IoT devices, such as sensors connected to a network, to efficiently monitor and manage the water supply system.

Smart Water Grid Market Driver

Emergence of Smart Cities to Propel Market Growth

The emerging trend of building smart cities across the globe is creating business opportunities for the smart water grid market. With the development of smart cities, IoT and information and communications technologies are being utilized to address the issues and enhance the quality of life through the more effective use of scarce resources. A network of smart water grids is implemented along water distribution pipes to fulfill the rising water demand from developing smart cities and safeguard secure access to clean water resources.

Smart Water Grid Market Restraint

Requirement of High Initial Investment to Limit Market Growth

The high initial investment requirement for a smart water grid is one of the factors limiting  the market. The implementation of these grid solutions necessitates a huge investment to commence the activities. This limits the deployment of technology in low and middle-income economies. Additionally, regular maintenance and operations costs further increase the overall cost requirements and  hinder market growth.

Smart Water Grid Market Opportunity

Stringent Government Regulations to Offer New Growth Opportunities

Globally, governments and regulatory authorities are implementing strict regulations and water conservation goals to encourage sustainable water management practices. Smart water grids can assist in fulfilling these regulatory obligations by offering tools and technologies for efficient water usage, leakage detection, and water quality monitoring. The rapid developments in technologies are propelling the development of advanced and connected water management systems.

Segmentation

Key Insights

The report covers the following key insights:

• Recent Advancements in Smart Water Grid
• Key Industry Trends
• Regulatory Landscape for Smart Water Grid
• Key Industry Developments (Mergers, Acquisitions, and Partnerships)
• Impact of COVID-19 on the Market

Analysis By Technology

Based on technology, the market is divided into smart infrastructure, control & automation, ICT & analytical software, and design & engineering.

ICT & analytical software can utilize historical data and usage trends to predict upcoming water demand. It helps in efficient resource planning and adjusts supply to meet requirements. For instance, Xylem offers Xylem Vue, an integrated software and analytics platform that helps utilities undertake digital transformation, operate more efficiently, and deliver water more effectively and affordably.

Analysis By Application

Based on application, the market is divided into residential, commercial, and utility.

Smart water grids can monitor and control water usage in commercial buildings, ensuring efficient use and reducing waste. This consists of adjusting water flow and pressure based on real-time demand and usage patterns. Advanced sensors and analytics assist in the detection of leaks or pipe bursts, minimizing water loss and reducing maintenance costs.

Regional Analysis

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Based on region, the market has been studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

North America has a significant share in the global smart water grid market. The region’s competence in adopting and implementing advanced technologies in a variety of resources, including water, government support, and active participation from market players in the research & development of technologies, is anticipated to support the regional market growth. In October 2024, the U.S. Environmental Protection Agency announced USD 3.6 billion in new funding under the Biden-Harris Administration’s Bipartisan Infrastructure Law for water infrastructure advancement along with ~USD 2.6 billion announced earlier, this USD 6.2 billion in investments for the Financial Year 2025 aim to aid communities across the nation in upgrading water infrastructure that is vital in protecting native freshwater resources and safely managing wastewater.   

The Asia Pacific market is anticipated to grow over the forecast period owing to rapid urbanization. The increasing population in economies such as China, India, and others lead to higher water demand and stress on existing infrastructure, driving the need for smart grid solutions to optimize water distribution and management. The added need for sustainable solutions to manage water resources is also anticipated to support market development in regions such as Europe and others.

Key Players Covered

The global smart water grid market is fragmented in terms of the number of providers. Various market initiatives, R&D activities, and others, are anticipated to drive market growth. For instance, in May 2023, a Professor from the University of Melbourne’s Faculty of Science was awarded more than USD 3.5 million from an Australian Research Council (ARC) Laureate Industry Fellowship to identify and resolve challenges faced by the urban water industry. The project aims to study the use of a smart-grid network that could help consumers reduce their water demand – by harnessing urban stormwater – as well as incentivizing the release of water to drought-affected streams and mitigating flood risk by drawing down water storages prior to large storms.

The report includes the profiles of the following key players:

• Siemens (Germany)
• Schneider Electric (France)
• Itron Inc. (U.S.)
• Xylem (U.S.)
• Badger Meter, Inc. (U.S.)
• Arqiva (U.K.)
• ICT Group (Netherlands)
• Aclara (U.S.)
• Neptune Technology Group (U.S.)
• Honeywell International Inc (U.S.)

Key Industry Developments

• In September 2023, Siemens secured a new contract with Northumbrian Water Group (NWG) and deployed EnergyIP® MDM X, part of the Siemens Xcelerator portfolio. This would help NWG enhance its ability to identify and lower household water leaks by linking over one million smart water meters to the Siemens data management platform by 2030.
• In November 2022, Landis+Gyr introduced the W270 and W370 smart meters that can provide data in terms of volume as well as additional information on water temperatures, statistical values, alarms, and events.