Press release
United States Flexible AC Transmission System (FACTS) Market 2031 | Growth Drivers, Key Players & Investment Opportunities
Market Size and GrowthThe global flexible AC transmission system market is growing at a CAGR during the forecast period (2022-2029).
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Key Development:
United States: Recent FACTS & Grid Technology Developments
✅ In November 2025, the U.S. Federal Energy Regulatory Commission (FERC) approved over $53 billion in transmission investments, highlighting enhanced adoption of power flow control technologies including Flexible AC Transmission Systems (FACTS) to optimize grid routing and reduce line congestion.
✅ In October 2025, North American energy infrastructure reports noted that FACTS solutions are increasingly prioritized as part of grid modernization programs to support renewable integration and enhance reliability in aging AC networks across key U.S. regions.
✅ In September 2025, investment trends showed U.S. utilities accelerating deployment of advanced FACTS devices such as STATCOM and SVC units to boost controllability of power flows amid rising renewable penetration and distributed energy resource adoption.
✅ In August 2025, industry insight highlighted Siemens Energy and Hitachi Energy expansions of FACTS offerings in the U.S., focusing on dynamic reactive power control and voltage stabilization products to support large AC grid networks.
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Japan: Recent FACTS & Grid Technology Developments
✅ In July 2025, NEDO (New Energy and Industrial Technology Development Organization) launched two new flexibility technology R&D themes that include enhanced grid control techniques relevant to FACTS, aiming to reduce grid integration costs and support renewable energy growth.
✅ In July 2025, under the "Japan Connect & Manage 2.0" initiative, Japan began development of advanced grid flexibility systems, involving distributed energy resources (DER) and high-voltage grid technologies complementary to FACTS concepts for congestion mitigation.
✅ In June 2025, Japanese utilities and research partners advanced feasibility studies on dynamic AC grid stabilization techniques, focusing on reactive power control and flexible transmission performance to support large-scale renewable connections.
✅ In May 2025, government and industry stakeholders in Japan announced collaboration on next-generation grid flexibility solutions, integrating DER coordination and flexible AC transmission system principles to maintain system stability with higher renewable shares.
Key Players:
=> Hitachi Energy Ltd., Siemens, General Electric, Mitsubishi Electric Corporation, Infineon Technologies AG, NR Electric Co., Ltd., Hyosung Heavy Industries, American Superconductor, CG Power & Industrial Solutions Ltd. and Liaoning Rongxin Xingye Power Technology Co., Ltd.
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Key Segments:
By Configuration
Series - 30% share, widely used for voltage stabilization in high-voltage transmission systems.
Shunted - 35% share, primarily adopted for reactive power compensation and load balancing.
Combined - 35% share, integrated solutions combining series and shunt compensation for advanced power flow control.
By Product
Static Var Compensator (SVC) - 30% share, high adoption in utilities for reactive power management and voltage support.
Thyristor Controlled Series Capacitor (TCSC) - 20% share, mainly used in transmission networks to improve stability and reduce line losses.
Static Synchronous Compensator (STATCOM) - 25% share, increasingly deployed for renewables integration and fast voltage regulation.
Unified Power Flow Controller (UPFC) - 25% share, preferred for complex power flow control and smart grid applications.
By Voltage
132 kV to 220 kV - 25% share, used in medium-voltage industrial and utility applications.
220 kV to 660 kV - 50% share, dominates due to high-voltage transmission requirements.
Above 660 kV - 25% share, limited adoption in ultra-high voltage networks for specialized industrial and utility use.
By End-User
Utilities - 35% share, major segment driving adoption for grid stability and reactive power management.
Renewables - 15% share, growing adoption to integrate wind and solar into power networks.
Smart Grid - 10% share, used for advanced power flow control and voltage optimization.
Railways - 10% share, for electrified rail power quality and reliability.
Metals and Mining - 15% share, supports large industrial loads and reactive power compensation.
Oil and Gas - 15% share, for power quality improvement in refineries and offshore platforms.
By Region
North America - 25% Share
Strong adoption in utilities and renewable integration, supported by grid modernization initiatives.
Europe - 25% Share
High deployment in smart grids and renewable-heavy networks, driven by EU decarbonization policies.
Asia Pacific - 30% Share
Fastest-growing market due to increasing power demand, industrialization, and renewable energy expansion.
Latin America - 10% Share
Moderate adoption in utilities and industrial sectors; investment in grid modernization is ongoing.
Middle East & Africa - 10% Share
Emerging adoption in utilities, oil & gas, and industrial sectors, with scope for growth in smart grid deployment.
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