Green UPS market: Vague definition – good prospects

With worldwide increasing concern of environment, energy-saving is not only a matter of cost-savings but also a social responsibility. With the advent of cloud computing, significant impact will be there on the IT industry. As power and cooling consumes maximum energy in the datacenters, IT companies are disposed to understand the financial benefits of adopting green UPS systems for energy efficiency.

What a green UPS is exactly, remains a question of definition. One thing is certain: Conventional line-interactive UPS designs can have efficiencies as low as 85% under full load because the electrical current passes through a transformer, even when the utility power is normal. Energy is wasted in the transformer section leading to the generation of  heat, ultimately resulting in higher operating costs.

In contrast, modern UPS design – such as the transformerless UPS’ by ABB – achieves far higher efficiency. And it even has lower “Total Cost of Ownership” (TCO). TCO accounts for the acquittal, operational and maintenance cost of an equipment.

While that is still no precise definition, but it already shows where the market develops in the future. A forthcoming report (“Green UPS Market: Global Industry Analysis and Opportunity Assessment 2015 – 2025”) predicts strong growth for green UPS:

“The global green UPS Market is expected to register a double-digit CAGR for the forecast period, 2015 to 2025. As of 2015, North America and  Europe accounted for the largest share in the global green UPS market in terms of market revenue. Asia Pacific, led by China and India are projected to expand at a fastest growth rate and will contribute to the global green UPS market value exhibiting a robust CAGR during the forecast period.”

Conclusion: Although the definition is still vague, the direction is clear.

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