Shore Power Market Strategic Roadmap: Analysis and Forecasts 2025-2033

Key Insights

The Shore Power Market size was valued at USD 1.40 USD Billion in 2023 and is projected to reach USD 3.20 USD Billion by 2032, exhibiting a CAGR of 12.53 % during the forecast period. Shore power is often referred to as cold ironing or, more formally, as alternative maritime power (AMP), which is a method of supplying a ship with electricity from onshore utilities while the vessel is berthed. This technology enables ships to switch off their auxiliary engines, thus reducing emissions as well as fuel requirements greatly. There are primarily two types: the high voltage shore connection (HVSC) for large vessels, which includes cruise ships, and container ships and the low voltage shore connection (LVSC) for small vessels, which covers fishing boats, ferries e.t.c The features include the design of having standard and common connectors and cables, pro-active monitoring and having compatibility with many other electrical systems in the ship. Shore power is widely used in commercial ports, naval bases, and marinas of sea vessels, ships or boats. The advantages span across the environmental sector, which include fresh air quality, less noise pollution, and decreased rate of greenhouse emission.

Shore Power Trends

• The use of shore power is becoming increasingly common in ports around the world.
• Governments are implementing regulations to encourage the use of shore power.
• The technology is becoming more affordable and efficient.

Driving Forces: What's Propelling the Shore Power Market

• Environmental concerns: Shore power helps reduce air pollution and greenhouse gas emissions by eliminating the use of diesel generators on ships, contributing to a cleaner and healthier environment.
• Regulatory mandates: To address environmental concerns and improve air quality, many ports worldwide are implementing regulations requiring ships to use shore power when at berth. These mandates drive the adoption of shore power systems.
• Cost savings: Shore power can be more cost-effective than using diesel generators in the long run. It eliminates fuel consumption and costly maintenance expenses associated with diesel generators, leading to operational cost reductions.
• Improved efficiency: Shore power systems are more efficient than diesel generators. They deliver a stable and reliable power supply, reducing energy losses and improving the overall efficiency of port operations.

Challenges and Restraints in the Shore Power Market

• High upfront cost: The cost of installing a shore power system can be high.
• Lack of infrastructure: Shore power is not available in all ports.
• Compatibility issues: Shore power systems may not be compatible with all ships.

Emerging Trends in Shore Power

• Wireless shore power: Wireless shore power systems eliminate the need for physical cables.
• Automated shore power: Automated shore power systems reduce the need for human intervention.
• Integrated shore power: Integrated shore power systems combine shore power with other energy sources, such as solar and wind power.

Growth Catalysts in the Shore Power Industry

• Government subsidies: Governments are offering subsidies to encourage the adoption of shore power.
• Technological advancements: Technological advancements are making shore power systems more affordable and efficient.
• Increasing awareness: The public is becoming more aware of the environmental benefits of shore power.
• High consumer awareness: Consumers are becoming increasingly aware of the environmental and health benefits of using shore power.
• Increasing demand: The demand for shore power is increasing due to the rising popularity of electric vehicles and the green energy movement.
• Supportive government policies: Governments are implementing policies that support the use of shore power, such as tax incentives and grants.

Market Segmentation: Shore Power Analysis

By Connection:

• Shoreside
• Shipside (Offshore Support Vessel)

By Installation:

• New installation
• Retrofit

By Component:

• Transformer
• Switchgear
• Cables and Accessories
• Static Frequency Converter
• Others

Leading Players in the Shore Power Market

• ABB (Switzerland)
• Wartsila (Finland)
• Siemens (Germany)
• Schneider Electric SE (France)
• Cavotec (Switzerland)
• ESL Power Systems, Inc. (U.S.)
• SmartPlug System (U.S.)
• Cochran Marine LLC (U.S.)
• Blueday Technology (Norway)
• VINCI Energies SA (France)

Significant Developments in the Shore Power Sector

May 2023: ABB signed an agreement with Finnish shipbuilder Meyer Turku to supply two new Finnish multipurpose patrol vessels with an integrated power and propulsion package, including two Azipod thrusters and an Onboard DC Grid™ electrical system. The 98-meter vessels to be delivered in 2025 and 2026 will replace the departing Tursas and Uisko patrol vessels.

January 2023: Port of San Diego, in collaboration with Cochran Marine LLC, completed a project worth USD 4.4 million with equipment purchase and for construction management, coordination, testing, and commissioning. The mobile cable positioning device can be used with any shoreside electric power system, not just Cochran Marine installations.

September 2022: Wartsila Corporation signed a contract to supply an integrated hybrid propulsion system for two new hybrid ro-ro vessels. The ships would be built at China Merchants Jinling Shipyard (Weihai) Co., Ltd. for the Swedish shipping company Stena RoRo. The ships are the world's first methanol-powered hybrid ro-ro ships and would operate on Stena Line's Irish Sea system.

May 2022: Siemens announced the construction of two new SIHARBOR in Kiel, which will be Europe’s largest shore-power connections and will be operating by the end of year 2023. These two shore power systems supply sustainable power through local power grid systems. Supplying green onshore power saves 12,000 metric tons of CO2 per year. An additional benefit is an end to noise emissions and vibration caused by the ships’ diesel generators.

July 2021: Cavotec was awarded three orders for its innovative shore-power connection systems by global marine equipment manufacturer Samsung Heavy Industries, which is a supplier of clean-tech systems that are playing a key role in the modernization and de-carbonization of the world’s ports. The total financial value of these orders is USD 3.2 million. 

Comprehensive Coverage Shore Power Market Report

• Executive Summary
  • A concise overview of the global shore power market, highlighting its current state and future trajectory.
  • Key findings and strategic insights derived from in-depth market analysis, including critical growth drivers and potential disruptors.
• Market Definition and Scope
  • A clear and precise definition of Shore Power (also known as cold ironing or onshore power supply - OPS) and its significance in reducing emissions and operational costs for vessels.
  • Detailed breakdown of market segments and their respective applications across various maritime sectors, such as container ships, cruise ships, ferries, and offshore support vessels.
  • Clear delineation of the geographical scope of the report, covering key regions and their specific market dynamics.
• Market Size and Forecast
  • Analysis of historical market data, showcasing the evolution of the shore power market over recent years.
  • Comprehensive growth projections and forecasts for the coming years, supported by robust market modeling techniques.
  • Detailed market size estimations by segment and region, providing granular insights into regional penetration and demand.
• Key Market Trends
  • The impact of stringent environmental regulations and international mandates (e.g., IMO 2020, shore power directives) driving adoption.
  • The accelerating adoption of electrification in the maritime industry as a sustainable and cost-effective alternative to onboard power generation.
  • Technological advancements in shore power systems, including grid integration, smart charging, and enhanced safety features.
• Market Segmentation
  • Analysis by Voltage Level: Low voltage, Medium voltage, and High voltage shore power systems.
  • Analysis by Connectivity Type: Cable connection, specialized connectors, and emerging wireless solutions.
  • Analysis by Vessel Type: Categorization based on container vessels, cruise ships, ferries, bulk carriers, offshore vessels, and others.
• Competitive Landscape
  • Identification and profiling of major market players, including leading technology providers, equipment manufacturers, and service providers.
  • In-depth market share analysis of key companies, highlighting their competitive positioning and strategic importance.
  • Analysis of the diverse competitive strategies adopted by market participants, including partnerships, mergers & acquisitions, product innovation, and geographical expansion.
• Industry Analysis
  • Application of Porter's Five Forces Model to assess the competitive intensity and attractiveness of the shore power market.
  • A comprehensive SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis to understand the internal and external factors influencing the market.
  • Detailed value chain analysis, mapping the flow from raw materials and manufacturing to installation, operation, and maintenance of shore power systems.
• Growth Opportunities
  • Identification of emerging markets with high potential for shore power adoption due to environmental pressures and port development initiatives.
  • Leveraging advancements in renewable energy technologies and their integration with shore power infrastructure to create sustainable solutions.
  • Exploring expansion into new applications and niche maritime sectors seeking emission reduction and operational efficiency.
• Emerging Trends
  • The development and potential impact of wireless shore power technologies, offering greater flexibility and convenience.
  • Increased integration of shore power systems with renewable energy sources, such as solar and wind, to enhance sustainability.
  • The adoption of smart grid technology for optimized energy management, load balancing, and efficient grid interaction.
• Challenges and Restraints
  • The significant cost of infrastructure development and installation at ports and terminals.
  • Limited availability of shore power facilities at many ports worldwide, hindering widespread adoption.
  • Technical compatibility issues and standardization challenges between different vessel types and shore power systems.
• Regulatory Landscape
  • Analysis of global regulations and international conventions impacting the maritime industry's transition to cleaner energy solutions.
  • In-depth review of regional and national policies, incentives, and mandates promoting the development and use of shore power.
  • Examination of environmental impact assessments and their role in driving the adoption of shore power as a key mitigation strategy.
• Future Outlook
  • Detailed market growth projections, considering various scenarios and influencing factors.
  • Identification of the key factors driving future growth, including technological innovation, regulatory support, and increasing environmental awareness.
  • A forward-looking perspective on the opportunities and challenges that will shape the shore power market in the coming decade.

Regional Insight

• North America
• Europe
• Asia-Pacific
• South America
• Middle East and Africa

Technology Analysis

• Shore power systems
• Wireless shore power
• Automated shore power
• Integrated shore power

Pestle Analysis

• Political factors
• Economic factors
• Social factors
• Technological factors
• Environmental factors
• Legal factors

Porter's Five Force Analysis

• Threat of new entrants
• Bargaining power of suppliers
• Bargaining power of buyers
• Threat of substitutes
• Industry rivalry

BCG Matrix

• Stars
• Cash cows
• Question marks
• Dogs

Import & Export Analysis

• Import and export data
• Trade patterns
• Tariffs and regulations

Production & Consumption

• Production capacity
• Production output
• Consumption patterns

Regulatory Landscape

• Environmental regulations
• Safety regulations
• Building codes