We’re only months away from 2025 and reflecting on the major shifts that impacted the electrical industry over the past year. 2024 proved to be a time of immense change that positioned the sector for further innovations in the years ahead. Here are the top five trends that helped define 2024.
1. The Rise of Renewables
The past year saw green energy generation surge past expectations. Renewables comprised over 35% of global electricity in 2024 thanks to ongoing cost reductions and countries delivering on climate goals. This motivated a flurry of investment into utility-scale solar and wind farms that required tremendous work from electrical contractors to expand transmission infrastructure and integrate the new projects safely into grids. Residential solar also took off, keeping smaller solar companies busy with installations. The accelerated clean energy transition boosted hiring across the industry.
2. Transportation’s Electrification Milestone
Analyst projections were surpassed when the number of EVs on roads worldwide rose above 15% of new vehicle sales in 2024. Automakers met their ambitious targets. Governments rolled out more EV rebates and charging networks expanded rapidly to accommodate the higher volumes.
The electrical industry played an integral role in this watershed year by building out direct current fast chargers as well as the three-phase alternating current infrastructure needed in homes and public spaces to power the new electric transportation systems. Battery innovation also continued at a furious pace.
3. Digitalization Transforms Operations
In 2024, utilities fully embraced the opportunities of digitalization following early successes with smart meter and distribution automation rollouts. “Utility 5.0” initiatives using AI, cloud computing, blockchain, and edge analytics vastly improved grid monitoring, protection, control, and customer engagement capabilities in innovative ways while enhancing security. Electrical contractors gained new multi-skilled partners adept at advanced system integration. These technologies helped manage two exceptionally hot summers that strained some grids to their limits.
4. Microgrids Enter the Mainstream
Communities and businesses alike adopted microgrid solutions at an accelerated rate in 2024 to hedge against potential outages from more frequent extreme weather or other disruptions. With new state and federal policies supporting greater resiliency and backup power, over 500 new microgrid projects came online – many integrating multiple renewable sources. Electrical professionals provided critical commissioning and maintenance services for the diverse microgrid setups.
5. Reskilling the Workforce Pays Off
While labor shortages remained, electrical firms that invested in extensive training programs reaped the benefits in 2024 with a surge of qualified workers ready to deploy cutting-edge solutions. Continuing education for current staff also allowed established companies to nimbly respond to new project needs. Apprentices learning both conventional and advanced skillsets filled important roles to support the energy transition trends driving industry growth.
In summary, 2024 proved to be a transformative year that established positive momentum for the electrical sector. The trends that emerged position firms well for 2025 if they remain dedicated to innovative practices. Exciting changes are still ahead!
