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GLOBAL MARKET ESTIMATES

RESEARCH & CONSULTANTS

Underground utility locator market is projected to grow at a CAGR of 6.2% from 2017 to 2025

Ankita Roy, Treesha Banerjee and Liza Dsouza from Global Market Estimates throw the spotlight on the
growing market for underground utility locators

Introduction

Utility locators help in tracing & labeling public utilities that are located underground. They follow
electric currents that pass through lines beneath the surface. Each line transmits a different signal.
The locators are designed accordingly to receive that signal which further helps in identifying the exact
location of an underground utility. The utility locators market is broadly classified into electromagnetic
induction, ground penetrating radar, acoustic locating, magnetic locators, wires & markers, and
others.

The underground utility locator market is projected to grow at a CAGR of 6.2% from 2017 to 2025
on account of growing infrastructure development and construction activities in developing
economies. Stringent rules & regulations regarding excavation procedures, permissions before
digging, and employee & public safety are some of the factors that are projected to augment market
growth.

Development of new technologies and methods for efficient & economic utility locates is anticipated
to foster demand for utility locator services & products. Requirement of skilled labor to handle &
interpret utility locating devices is expected to drive the demand for services offered by companies
instead of directly purchasing devices.

Regulatory Landscape

Several mishaps have been caused on account of damage to pipelines and other utilities during
excavations. Governments have imposed stringent laws, regulations, and standards to prevent such
events and ensure a safe excavation procedure. The One Call systems implemented by some states
allow excavators to avail services for accurately locating underground utilities. Some of the countries
using the One call system are Australia, Canada, the U.S., and the UK.

Countries have also established color coding systems that help identify existing underground utilities
such as electricity, gas, water, communication lines, fire services, sewage, oils & flammable liquids,

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GLOBAL MARKET ESTIMATES

RESEARCH & CONSULTANTS

and steam among others. In March 2005, the Federal Communications Commission (FCC) announced
the use of 811, which is a national call-before-you-dig phone number. The U.S. has more than 62 One
Call centers that connect an excavator directly to the local utility service provider.

Excavators are required to comply with federal & state/provincial occupational safety & health
requirements to protect employees & surrounding areas from injury. According to these regulations
training must be provided to excavators to avoid unsafe conditions and eliminate any hazards.

The Dig Safe Law in Massachusetts requires an excavator to call Dig Safe, Inc., a communication
network that notifies utility companies about planned excavation projects. The Department of Public
Utilities has the authority to investigate, conduct hearings and issue statutory civil penalties for
violations of the Dig Safe Law. Civil penalties under the Dig Safe Law are USD 1,000 for the first offense,
and not less than USD 5,000, nor more than USD 10,000, for any subsequent offense within 12
consecutive months.

Competitive Landscape

Every country with strong regulations has large number of players providing instant location and
excavation services. Some of the prominent players profiled in our report include USIC, Ditch Witch,
3M Company, Tracer Electronics, Subsite Electronics, Vermer Corporation, The Utility Locators Inc.,
and Maverick Inspection among others.

Acquisitions, expansions, and product innovations formed the major strategy adopted by most of the
players in the utility locator market. In November 2016, USIC acquired Blood Hound Inc., this strategic
initiative will help the company expand its U.S. capabilities in existing private locates and SUE service
lines. In April 2015, USIC acquired Premier Utility Services, combined the companies handle over 900
clients and 57 million locates in the U.S. and Canada.

However, in August 2017, Partners Group decided to acquire USIC. Following the completion of the
acquisition the following value creation initiatives are expected

Investments in technology & data management

Expanding service offerings in adjacent markets
Organic growth through select acquisitions

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GLOBAL MARKET ESTIMATES

RESEARCH & CONSULTANTS

In September 2017, Vermeer Corporation acquired McLaughlin Group, Inc.; the acquisition will help
Vermeer develop comprehensive solutions to the utility locator market. In July 2017, Subsite
Electronics acquired assets of RS Technical Services (RTS) inorder to expand their remote inspection
& monitoring camera capabilities. The report also covers new product developments, technological
advancements, collaborations, and expansions undertaken by key market players.

Future Outlook

The growth of the utility locator market is directly proportional to infrastructural development and
construction activities. The growing demand for repairs & renovations in the construction sector and
increasing investments in smart cities is anticipated to augment market growth. Technological
advancements such as drone mapping allow companies to reduce time and cost in locating
underground utilities.

North America has a mature utility locator market with several companies offering specialized services
and equipment. The Asia Pacific market is projected to grow at a high CAGR from 2017 to 2025.
Development of roads, railways, natural gas pipelines and other real estate activities is expected to
drive growth in the Asia Pacific region.

The report segments the Underground Utility Locator Market on the basis of:

By Product:

Electromagnetic Induction
Radio Detection
Acoustic Locating
Ground Penetrating Radar
Magnetic locators
Wires & Markers, and Others

By Services:

Vacuum Evacuation
Specialty Services
Private Utility Locating
Leak Detection, and Others

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GLOBAL MARKET ESTIMATES

RESEARCH & CONSULTANTS
By Application:

Telecommunication
Electricity
Water
Natural Gas
Sewage
Oil & Gas Pipelines
Transportation, and Others

By Region:

North America
Europe
Asia Pacific
Central & South America
Middle East & Africa

* This article contains text from the Underground Utility Locator Market Analysis Forecast to 2025
report prepared by Global Market Estimates. For more information or to buy the report, please
visit: https://www.globalmarketestimates.com/underground-utility-locator-market/

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