Monday, 30 December 2019
The Global Diesel Genset Market
How large is the global market for diesel gensets? According to a recent report it’s as large as $17.35 billion. And huge as this market already is, it is only expected to grow.
The largest markets are Asia Pacific, Europe, Middle East and Africa followed by North, South and Central America. It can be said that the reasons for demand include low initial prices, increasing power demand and an inadequate grid network.
The challenges faced by the market include increasingly stringent emission norms, discovery of shale gas reserves and use of substitutes. The top players in the international market are Rolls Royce, Caterpillar, Cummins and others. In India, Mahindra has built a solid reputation in this sector.
A. Expected Growth:
The global diesel generators market is expected to grow to an aggregate market value of $115.1 billion in the period 2018-2022. The factors driving this rise are healthy industrial growth, rapid urbanization and increase in per capita income. The rise in disposable income has also spiked the need for power backup devices.
The other reasons for the surge in demand include power deficits, advanced technology, and ready diesel availability. Diesel generators are by far the most preferred power backup - In 2017, more than 80% of the global generators market were diesel generators.
B. Top countries according to demand:
In 2022, China is expected to be leading the way in terms of market volume for diesel generators - followed by US and India. China’s share is estimated to be 19.50% in 2022. The main reasons for this are that China’s grid has not yet reached quite a few of the rural areas. The Chinese government is also promoting economic growth which will positively affect the market.
C. Sectors with high demand for diesel generators:
The commercial sector accounted for 39.8% of the diesel gensets market share in 2014. This was followed by the Hospitality sector. Natural disasters like hurricanes boost the demand in coastal areas. The Telecom, IT and retail sectors are also witnessing a surge in demand.
D. Demand according to power:
In 2014, low power gensets with an output power of 0-350 kVA accounted for 49% of the global diesel generator market.
The demand for High-power gensets is expected to rise and diesel-fueled high power gensets are cheaper than natural gas-fueled gensets, in terms of operating costs.
To conclude, as you can see from the above facts, the market for diesel generators is huge and the prospects for sustained growth are very high indeed.
For further guidance or information on diesel/gas gensets visit our website at www.mahindrapowerol.com/ or call us at 1-800-419-1999
Reference: - power-technology.com