Shore Power Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Shore Power Market size was estimated at USD 2,250 million in 2023 and is projected to reach USD 4,139.5 million in 2030 at a CAGR of 9.10 % during the forecast period 2024-2030.

Shore power refers to the provision of electrical power to vessels while they are docked at port, eliminating the need for ships to run their onboard generators. This technology enables vessels to plug into the electrical grid on land and power their systems without relying on fuel-driven generators. The primary purpose of shore power is to reduce emissions, improve air quality, and minimize noise pollution in port areas, which are often located near urban centres. As environmental regulations around the world tighten, shore power is increasingly seen as a key solution for achieving compliance with stricter emission standards, particularly in regions with heavy maritime traffic.

The scope of the shore power market extends across various types of vessels, including container ships, cruise ships, tankers, and ferries, all of which can benefit from this technology. It encompasses the infrastructure required to supply power, such as shore-side power generation equipment, transmission systems, and the specialized connectors needed for ships to link up with the land-based electrical grid. The market also includes the development of new ports and retrofitting existing ones to accommodate shore power capabilities. As more nations adopt policies aimed at reducing maritime emissions, the scope of shore power infrastructure is expected to expand globally, with a focus on improving port facilities, particularly in major shipping hubs.

Several trends are shaping the growth of the shore power market. Increasing regulatory pressure, particularly in Europe, North America, and parts of Asia, is one of the key drivers of this market. The International Maritime Organization’s (IMO) adoption of stricter sulphur content regulations, along with regional initiatives such as the EU’s Emission Control Areas (ECAs), is encouraging the maritime industry to adopt cleaner energy solutions. Additionally, the growing adoption of renewable energy sources, such as wind and solar, in port areas to power shore systems is another emerging trend. Technological advancements in energy storage and grid management are also making shore power systems more efficient and cost-effective.

Key drivers for the shore power market include rising concerns over environmental impact, public health, and the cost of fuel consumption. Ports are increasingly pressured to adopt green technologies due to growing awareness of the detrimental effects of ship emissions on local air quality. Governments are offering incentives, tax breaks, and grants to encourage the implementation of shore power systems, particularly in environmentally sensitive areas. Furthermore, as shipping companies look for ways to optimize operational costs and reduce fuel usage, shore power presents an appealing alternative to traditional methods of powering vessels while in port. As these drivers continue to build momentum, the shore power market is expected to grow significantly in the coming years.

Delvens Industry Expert's Standpoint

Experts in the Shore Power Market highlight several key trends driving growth and innovation. The shore power market involves providing electrical power to ships while docked, allowing them to shut down their onboard generators and reduce emissions, noise, and air pollution in port areas. With increasing environmental regulations and a growing push for greener shipping practices, the market is expanding across various types of vessels and ports, supported by infrastructure developments such as specialized connectors and grid integration. Key drivers include stricter emission standards, rising fuel costs, and the global shift towards cleaner energy solutions. As ports adopt shore power technology and renewable energy sources, this market is set to grow, driven by regulatory pressures, public health concerns, and technological advancements.

Market Portfolio

Key Findings

• The shoreside segment dominated the market in 2023, holding a share of approximately 85.95%, and is projected to experience strong growth in the coming years. Increasingly stringent regulations from organizations like the IMO, including the establishment of emission control areas (ECAs), are driving ports to adopt shore power as a cleaner alternative to the onboard generators typically used by docked ships. These generators emit harmful pollutants, such as sulphur and nitrogen oxides, which contribute to significant air quality problems, particularly in port cities. Shoreside power provides an effective solution, enabling ships to connect to land-based electrical grids and drastically reduce emissions while docked.

• The retrofit segment is expected to see the highest growth in the coming years. Several factors are driving this growth. First, technological advancements have made retrofitting processes more efficient and affordable. Second, stricter environmental regulations are encouraging ship owners to consider retrofitting as a viable way to meet emission standards. Additionally, government subsidies and financial incentives for shore power retrofits are making these upgrades increasingly appealing to ship owners.

• The frequency converters segment is expected to experience strong growth over the forecast period. Ships typically operate on electrical systems with different frequencies and voltages than land-based grids, and frequency converters serve as the crucial link, converting incoming grid power to the ship's specific requirements, ensuring a safe and efficient connection. Advances in power electronics are driving the development of more efficient and compact frequency converters, leading to reduced system costs and fostering greater adoption within the shore power market.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. Asia-Pacific region is projected to hold the largest market share. Factors such as Stricter environmental regulations, government incentives and subsidies, rising fuel costs, growing demand for clean energy solutions, technological advancements in power systems, increasing adoption of renewable energy, expansion of port infrastructure, public awareness of air quality and health impacts, investments in green technologies by shipping companies, demand for energy-efficient maritime operations, global shipping decarbonization initiatives, have triggered the Shore Power Market in the region.

Regional Analysis

Asia-Pacific to Dominate the Market

Asia Pacific holds the largest share of the global shore power market, driven by high maritime traffic, significant growth in port infrastructure, and stringent emission regulations for ships. Key countries in the region, including China, Japan, and South Korea, have been at the forefront of shore power investments in major ports to address air pollution concerns and comply with international environmental standards. This growth is supported by a robust shipping industry that handles a substantial portion of global cargo, alongside proactive government initiatives promoting green port solutions. Additionally, the increasing number of retrofitting projects across Asia Pacific, aligned with the region's sustainability goals, further strengthens its leadership in this sector.

Competitive Landscape

• General Electric Company
• Siemens
• Schneider Electric
• ABB
• Cavotec SA
• Eaton
• Vinci Energies
• Wärtsilä
• Hitachi Energy Ltd.
• Danfoss
• Wabtec Corporation
• Powercon A/S
• ESL Power Systems, Inc.
• Igus
• Blue Day Technology
• Watts Marine
• AC Power Corp.
• SmartPlug
• Piller Power Systems
• Power Systems International
• Manta Marine Technologies
• Conntek Integrated Solutions Inc (U.S.A)
• Patton & Cooke Co.
• Ratio Electric B.V.
• Sydney Marine Electricals

Recent Developments

• In September 2024, Siemens announced its intention to acquire Trayer Engineering Corporation, a California-based company recognized for its expertise in designing and manufacturing medium voltage secondary distribution switchgear. This acquisition is aimed at enhancing Siemens’ capabilities in providing advanced solutions for both outdoor and underground power distribution applications, particularly in the growing sector of shore power and energy management systems.

• In August 2024, the Germany-based cruise operator Phoenix Reisen undertook a significant upgrade of its 205-meter, 835-passenger vessel, MS Amera. The ship was fitted with ABB’s Onboard DC Grid™ power system and shore connection technology. This modernization aims to enhance the vessel's operational efficiency, safety, and sustainability by reducing emissions, making it more compliant with environmental standards while improving overall performance during port stays.

• In April 2024, Cavotec SA secured a major contract worth approximately USD 5 million with a leading global shipping company to supply shore power solutions. The deal highlights the growing demand for clean energy alternatives in the maritime industry, as shipping companies continue to adopt green technologies to meet environmental regulations and reduce their carbon footprint.

• In September 2023, Wärtsilä received an order to deliver an integrated hybrid propulsion system for two new hybrid Roll-on/Roll-off (RoRo) vessels being built for Stena RoRo at the China Merchants Jinling shipyard. This order further demonstrates Wärtsilä’s leadership in the development of sustainable maritime technologies, as hybrid systems are increasingly being favored for their energy efficiency and reduced environmental impact.

• In March 2024, GE Vernova signed a contract with ST Engineering Marine Limited to provide its advanced Ship’s Electric Grid technology for the Republic of Singapore Navy's six new Multi-Role Combat Vessels (MRCVs). This contract highlights the growing importance of electrification and energy-efficient power systems in both military and commercial naval vessels.

• In February 2024, the HAROPA port in France selected a consortium comprising subsidiaries of VINCI Energies and VINCI Construction to develop a high-voltage power supply system for cruise ships at the Pointe de Floride terminal. This initiative is part of a broader effort to reduce emissions in the region by enabling ships to connect to shore power while docked, further underscoring the global trend towards sustainable port and maritime infrastructure.

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