Switchgear is defined as an assembly of switching and interrupting devices, providing control, metering, protection, and current regulating applications. The primary components of a switchgear include switching and interrupting devices that are used for turning the power on or off, control devices, used for checking and/or regulating the flow of electric current, metering devices, used for measuring the flow of electric current and protective devices, used to protect power service from interruption and prevent or limit damage to equipment.
Primary types of LV switchgear -
Innovation in switchgears is primarily in terms of the aesthetics and customized features offered by the products rather than technological changes in the product, such as improving the product life cycle, tamper-proofing, increasing safety and handling, improving user-interface and focus on multi-functionality and niche functionality. Multinational companies and established manufacturers usually spend more on product improvement and the frequency of updating product features is usually two to three years.
The market for LV switchgear
LT or low voltage (“LV”) electrical equipment is a rapidly evolving industry segment, traditionally driven by demand from the Industrial segment. The LV switchgear market primarily depends on the growth of end-user segments. The segment comprising residential and commercial development are expected to witness positive growth, whereas the segment comprising industries and power utilities are expected to show resilience on account of low capital expenditure and investment in the near term.
The market for LV switchgear is expected to grow at a CAGR of 6.1% during 2016-2020 and is expected to reach ₹ 7,609 crore by 2020. Market players catering to the industrial segment have expanded their product portfolio to include modular switchgear devices increasing their reach to capture the residential market. Further, manufacturers of wires and cables continue to enter the market for modular switchgear devices enabled by sales and distribution synergies.
Key growth drivers
Raw material constitutes around 70% of the aggregate cost of production of LV switchgears and copper, steel and silver are the key raw materials used therein, constituting almost 75% of the total raw material cost. Manufacturing cost includes factory expenses, power and fuel, repair and maintenance.
HPL Portfolio- LV Switchgear
HPL Electric & Power Ltd has further strengthened its switchgear range by bringing a new and upgraded line of its Electrical Operated Switches, AV ATS- Advance Version Automatic load Transfer Switch. The new variant is a highly sophisticated and technologically advanced which is simple and easy to use and has been designed keeping the safety of the customers in mind. In terms of application, AV ATS is relevant for Healthcare, Internet Data Centres, Commercial Buildings, Industrial Buildings, Telecom Central Office, Process Manufacturing, Distribution Power / Load Management, HVAC, Telecommunications and BMS.
At nearly 50% share of the entire market for the manual changeover switches, HPL Electric is one of the oldest manufacturers of LV switchgear in India. Over the years, HPL Electric has increased its presence across switchgear products in the industrial and residential segments. The market for LV switchgear is expected to grow at a CAGR of 6.1% during 2016-2020 and is expected to reach ₹ 7,609 crore by 2020.
At nearly 50% share of the entire market for changeover switches, HPL is one of the oldest manufacturers of LV switchgear in India. They also enjoy significant brand recall and customer loyalty and have increased their presence across other switchgear products in the industrial and residential segments