Pipeline Monitoring System Market To Generate Revenue worth $26.2 Billion by 2030

The pipeline monitoring system market valued USD 15.8 billion in 2023, which is expected to witness a CAGR of 7.7% during 2024–2030, reaching USD 26.2 billion by 2030. It is attributed to the rise in the length of the pipeline infrastructure used to distribute and move oil and gas, increase in the focus on monitoring these pipelines, and growth in the demand for metallic pipes. Corrosion, structural imperfections, and environmental threats cause breaches in old pipeline systems, which also fuels the expansion.

Market Is Driven by Expansion of Pipeline Infrastructure

The global demand for oil and gas is on the rise, which is impelling E&P companies to expand their pipeline networks. Sophisticated monitoring systems are required in new pipelines and for the maintenance of the already existing pipelines. Businesses are working on highly efficient facilities to increase hydrocarbon production and decrease the costs associated with operations. Constructing pipeline infrastructure needs a large investment, and oil & gas companies need to set up surveillance devices across the whole system to ensure their investment is being maximized.

The oil & gas sector is also witnessing a rise in the number of terrorist and cyberattacks, which has prompted companies to boost their investments in infrastructure and network surveillance across the world. This problem is especially severe for companies based in the Middle East and Europe, which have vast hydrocarbon reserves and account for a significant portion of the global oil & gas production.

Leak Detection Category Generates Highest Revenue

The leak detection category generated the highest revenue, of USD 7 billion, in the market in 2023. The reliability and security, along with the functional efficiency, of the pipeline infrastructure in the oil & gas, chemicals, and water distribution sectors are considerably reliant on leak detection technology.

Systems for the detection of leaks or ruptures in pipelines are important to maintain optimum operational efficiency. Various advanced technologies are used in these systems, such as mass balance systems, pressure sensors, infrared sensors, acoustic sensors, and fiber-optic cables. These technologies work separately or collectively to monitor pipelines and rapidly detect signs of leakage and other problems.

Furthermore, modern leak detection systems provide the precise location of the leak source. This capability facilitates immediate action by helping in rapid issue identification and limiting any adverse outcomes.

The precision, sensitivity, and response of these systems are constantly being enhanced by the advances in sensor technologies and data analytics. this will further help companies maintain the security and integrity of the pipeline infrastructure across the world.

North America Holds Largest Share in Market

Currently, North America is leading the market, and it will have a share of 40% in 2030. The enlargement of oil & gas exploration & production activities has fueled the demand for pipeline monitoring systems. The number of pipelines is increasing in the U.S. and Canada, due to which oil & gas organizations, government bodies, and environmental organizations are putting efforts to prevent unfortunate events, such as oil spills and gas leaks.

The market is also prospering due to the presence of many small and medium-sized companies in the region that offer services and solutions related to pipeline monitoring to major market players, such as Emerson Electric Co., Rockwell Automation Inc., and Honeywell International Inc. The U.S. is the larger market in the region, and Canada is growing significantly.

Some of the major market players are Siemens AG, Honeywell International Inc., Huawei Technologies Co. Ltd., ABB Ltd., Emerson Electric Co., Schneider Electric SE, General Electric Company, ORBCOMM Inc., TransCanada PipeLines Limited, PSI Software SE, BAE Systems, and Xylem Inc.