NAICS 22 - Utilities
The Sector as a Whole
The Utilities sector comprises establishments engaged in the provision of the following utility services: electric power, natural gas, steam supply, water supply, and sewage removal. Within this sector, the specific activities associated with the utility services provided vary by utility: electric power includes generation, transmission, and distribution; natural gas includes distribution; steam supply includes provision and/or distribution; water supply includes treatment and distribution; and sewage removal includes collection, treatment, and disposal of waste through sewer systems and sewage treatment facilities.
Excluded from this sector are establishments primarily engaged in waste management services classified in Subsector 562, Waste Management and Remediation Services. These establishments also collect, treat, and dispose of waste materials; however, they do not use sewer systems or sewage treatment facilities.
Industry trends:
The Utilities sector (NAICS 22) is experiencing significant transformation driven by advancements in technology and evolving regulatory landscapes. One of the most prominent trends is the rapid adoption of smart grid technologies, which enhance efficiency, reliability, and sustainability of electricity distribution. These systems leverage advanced sensors, communication networks, and data analytics to optimize energy usage and manage demand in real-time. As a result, utilities are increasingly investing in digital infrastructure to support this transition.
Renewable energy sources such as wind, solar, and hydro are becoming more prevalent in utility portfolios, driven by decreasing costs and favorable government policies aimed at reducing carbon emissions. This shift towards greener energy is necessitating substantial investment in energy storage solutions and grid modernization to accommodate variable power generation from renewables. Additionally, there is a growing emphasis on decentralized energy resources and microgrids, which empower communities and businesses to generate and manage their own energy locally, enhancing resilience against outages.
Looking ahead, the sector is expected to witness further integration of artificial intelligence and machine learning applications to predict maintenance needs, optimize grid operations, and personalize customer energy usage experiences. Regulatory bodies are likely to continue pushing for stricter environmental standards and renewable energy targets, compelling utilities to innovate and diversify their energy mix further. The convergence of these trends indicates a continued move towards a more digital, sustainable, and customer-centric utility industry in the near future.
This industry is comprised of:
This report includes the ability to segment your Industry by:
- Region
- Employees
- Net Sales
- Company Age
- Total Assets
- Ownership Type
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