News: Microelectronics
28 July 2025
CSA Catapult highlights solid-state transformers for a more flexible and intelligent energy grid
Solid-state transformers (SSTs) that use power electronics and high-frequency components to convert and control electricity are extremely useful for integrating renewable energy sources and energy storage systems into the grid, as well as managing surges and disturbances, reducing the likelihood of blackouts. In April, a major blackout occurred across Spain and Portugal, disrupting power for more than 10 hours and causing economic losses of an estimated $1.6bn.
Energy grids can be made smarter, more reliable and less prone to blackouts by using compound semiconductors such as silicon carbide (SiC) and gallium nitride (GaN), which are the material of choice for this application as they can handle higher voltages, operate at higher frequencies, and perform better at higher temperatures, notes a new report by UK-based Compound Semiconductor Applications (CSA) Catapult.
Established in 2018 by government agency Innovate UK, CSA Catapult is a not-for-profit center of excellence with labs and offices across the UK that specializes in the measurement, characterization, integration and validation of compound semiconductor technology spanning power electronics, advanced packaging, radio frequency and microwave, and photonics applications.
The new report reckons that, due to its expertise in power electronics and compound semiconductors, the UK is well placed to lead in solid-state transformer technology.
Even though SSTs are still a nascent technology, the market is projected to grow at a double-digit compound annual growth rate (CAGR) through to 2030. Similarly, the market for SiC power devices is expected to grow at a CAGR of more than 20% over the same period. The total global investment in power grid technology was projected to peak at nearly $400bn in 2024, while global spending on renewables hit a record $735bn in 2023.
In the UK alone, there are over 500,000 substations that could benefit from new SST upgrades. Between 2020 and 2023, over 100,000 traditional dielectric transformers were sold in the UK, generating over £90m in revenue.
Compared with traditional transformers, SSTs are much smaller and lighter, better at regulating voltage, and more flexible — they can also convert between AC and DC electricity and help to send electricity back into the grid. Outside of the energy grid, SSTs can also be used to manage power in EV chargers, data centers, and electric rail, marine and aerospace applications.
SSTs can modernize EV charging by providing compact, efficient systems that support high-power, ultrafast charging solutions and a seamless link into renewable energy sources.
Global companies are already developing SiC-based SSTs that can achieve up to 96.5% efficiency and reduce carbon footprint by 40%, weighing up to 70% less.
The report estimates that 300,000–800,000 EV chargers could be installed in the UK by 2030, providing a market opportunity of between £570m and over £4.5bn.
To overcome the hurdles facing the commercial development of SSTs, the report calls for more coordination between academia, industry and government, improved funding and regulatory frameworks, and the development of large-scale pilot projects to test the technology in the real world.
“As the energy landscape evolves and we introduce more renewables into the grid, SSTs have the potential to modernize our infrastructure and transform the way we move electricity around the system,” says CSA Catapult’s chief technology officer Nick Singh. “Their ability to integrate seamlessly with distributed energy resources, bidirectional power flow, and real-time monitoring will place them at the heart of smart grids and create a whole host of new and advanced applications,” he adds. “The UK is in a strong position to take this technology forward with a flourishing power electronics and compound semiconductor ecosystem that is needed to take this technology from concept into real-world applications.”
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