Market Overview

The domestic market size for plant operation and maintenance (O&M) services geared to manufacturing was estimated as 1,032,200 million yen in FY2022, 101.2% of the previous fiscal year. FY2022 saw increase in the cases for periodic repair works and daily maintenances, as well as repairing of utility facilities when compared to the preceding fiscal year and saw a tendency of recovery in the works that had been postponed during the corona crisis, which encouraged the market expansion.
The market for FY2023 is likely to attain 1,032,300 million yen, 100.1% of the previous fiscal year, as the cases for maintenance tasks, that used to face investment suspension during the corona crisis, are to reoccur, in addition to the daily maintenances.

Noteworthy Topics

Remote Monitoring Technology Expands Applicable Facilities and Equipment

Remote monitoring technology enables the monitoring of plant facilities and equipment from remote locations by means of sensors and cameras, which contributes to real-time confirmation of operational statuses and to early detection of any defect. This can be manpower shortage measures, as the technology can automate the conventional method of people patrolling the plant premises.
Applications of remote monitoring technology in plant facilities and equipment are expanding, as remote monitoring devices (sensors, cameras, etc.) have advanced to improve the monitoring functions, and as it worked as the labor shortage measures. The technology has been applied to the facilities and equipment for electricity, heat sources, heat treatment, etc.
Some major O&M service providers such as field engineering companies in electrical manufacturers are planning to enhance the maintenance services that include remote monitoring services. Therefore, applications of remote monitoring technology in plant O&M services are likely to expand furthermore.

Future Outlook

The domestic plant O&M service market size for manufacturing is projected to reach 1,040,500 million yen for FY2024, and 1,045,400 million yen for FY2025.
Hereafter, it is expected for plant owners to gradually increase the entrusting of plant inspection and maintenance tasks to companies specializing in them, because of increased necessity in inspections and repairing due to increased aging (due to long-hour plant operations), deterioration of equipment and constructions, and shortage of engineers.
Although streamlining of steel, oil, and coal plants taking place in some fields, which is possible for the absolute numbers of plants needed for maintenance tasks may be reduced due to shakeout of production facilities, the owners of the plants chosen to continue the operation are likely to keep on making necessary investments for stable operation, from the aspect of their product supply responsibilities and for resilience.

Research Outline