Power rental is renting of generator that operates on gas, diesel, or any other fuel for power generation applications. Generator renting is highly utilized in commercial and industrial applications by virtue of continuous power supply needs. Leading generator manufacturers are Yamaha, Himoinsa, Ashok Leyland, Kirloskar Oil Engines, Mitsubishi, Atlas Copco, Rapid Power Generation, Briggs & Stratton Corporation, Supernova Genset, Cummins, Wärtsilä, John Deere, Sterling Generators, Greaves Cotton, and Powerica.
The global power rental market revenue was valued at >USD 14 Billion in 2019. This can be attributed to the increasing infrastructure and manufacturing activities in developing and developed economies.
The global Power Rental market worth US$ 17.3 Bn by 2032, growing at a CAGR of 5.6%
.jpg "The Global Power Rental Market 2022-2032 (USD Billion)")
Increasing smart government spending to strengthen manufacturing industry in India and China is expected to drive power rental market over the coming years. Moreover, inadequate electricity supply in rural part of many emerging economies, ageing infrastructure, need for continuous industrial operational analytics is expected to further add power rental market growth. However, uncertain crude oil prices, slowdown in economies, and stringent government regulations regarding carbonate emission is expected to be the major market challenges over the forecast period. Increasing number of diesel and gas power plants in India, China, Brazil, Argentina, and Southeast Asia is projected to open new avenues for the industry in foreseeable future.
Power Rental Market Scope
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2024-2032 |
| Study Period | 2018-2032 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2032 | US$ 17.3 Bn |
| Growth Rate | CAGR of 5.6% during 2022-2032 |
| Segment Covered | By Equipment, By Rental Type, Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and Africa |
| Key Players Profiled | Herc Rentals Inc., Atlas Copco, APR Energy Ltd., Generac Holdings, United Rentals Inc., Caterpillar Inc., Aggreko Plc, Ashtead Group Plc, Cummins Inc., Wacker Nuson, Kohler Co., Soenergy International, Bredenoord, Allmand Brothers Inc., Multiquip, Inc. |
Key Segment Of The Power Rental Market
By Equipment, (USD Billion)
• Generators
• Load Banks
• Transformers
• Others
By Rental Type, (USD Billion)
• Retail Rental
• Project Rental
By Fuel Type, (USD Billion)
• Diesel
• Natural Gas
• Others (Dual Fuel, Hybrid, and HFO)
By Application, (USD Billion)
• Peak Shaving
• Standby Power
• Base Load/ Continuous Load
By Power rating, (USD Billion)
• Up to 50 kw
• 51 –500 KW
• 501–2500 KW
• Above 2500 KW
By End-User, (USD Billion)
• Utilities
• Oil & gas
• Events
• Construction
• Mining
• Manufacturing
• Telecom & Datacentre
• Others (Shipping, Hospitals, and Military)
Regional Overview, (USD Billion)
North America
• US
• Canada
Europe
• Germany
• France
• UK
• Rest of Europe
Asia Pacific
• China
• India
• Japan
• Rest of Asia Pacific
South America
• Mexico
• Brazil
• Rest of South America
Middle East and South Africa
Frequently Asked Questions (FAQ) :
The application of the power rental market Peak Shaving, Standby Power, Base Load.
The major contenders in the global market are Herc Rentals Inc., Atlas Copco, APR Energy Ltd., Generac Holdings, United Rentals Inc., Caterpillar Inc., Aggreko Plc, Ashtead Group Plc, Cummins Inc., Wacker Nuson, Kohler Co., Soenergy International, Bredenoord, Allmand Brothers Inc., Multiquip, Inc.
The power rental market is growing at a CAGR of 5.6% over the forecast period.
Lack of electricity access in rural part of developing economies such as in India, China, Southeast Asia, and Brazil is expected to open new avenues for power rental industry over the coming years. According to Energy Access Outlook, more than 10% of the world population is still facing electricity shortage problems. Increasing electricity demand in urban part followed by rising electricity blackout problems in African and Asian countries are further expected to add market growth. According to Energy Access Outlook, more than 90% of the global population in urban area had adequate supply of electricity. However, only 70% of the global population in rural area had sufficient electricity supply. Poor infrastructure followed by increasing government initiative to strengthen manufacturing industry is expected to open new avenues for power rental industry in African countries.
Fuel Type Segment
Based on the fuel type, the market is segmented into diesel, gas, and others. The diesel fuel segment leads the market growth in 2019 and it is anticipated to hold its position during the forecast years. The market growth of this segment is mainly attributed to the growing adoption of diesel generators in manufacturing, oil & gas, and mining industry. However, stringent government regulations in North America and Europe concerning reducing carbon emission is expected to lower is growth in coming years.
Application Segment
In terms of the application, the market is segmented into peak shaving, standby power, and base load. In 2019, standby power accumulated the major market share and it is expected to do so over the forecast years. Ability to operate within seconds of the power outage followed by electrical back up system is expected to increase its market concentration in coming years. Moreover, increasing adoption in hospital, schools, and other commercial buildings will add segment market growth.
End User Segment
In terms of the end user, the market is segmented into Utilities, Oil & Gas, Construction, Mining, Manufacturing, and Others. Utility end user segment is expected to be the fastest growing segment for power rental industry over the coming years. Poor transmission network followed by lack of continuous power supply in Asia and African countries are expected to open new avenues for power rental in utility application. Large number of diesel and gas power plants in Asia and Africa are expected to encourage utility companies for rental generators in order to fulfill power demand.
The North America region dominated the overall market in 2019 and it is projected to keep its position during the forecast years 2018-2028. The market growth in this region is mostly ascribed to the ageing energy grid infrastructure due to natural calamities in the United States, causing continuous electricity outage. Additionally, recovery in manufacturing and construction industry over the past few years in U.S. and Canada is further expected to add market growth in coming years.
.png "North America Power Rental Market, 2018-2028 (USD Billion)")
The major players of the global power rental market are Caterpillar, Atlas Copco, Cummins, United Rentals, Ashtead Group, Aggreko, APR Energy, Bredenoord Exploitatiemij B.V., Kohler, and Rental Solutions & Services. Moreover, the market comprises several other prominent players in the power rental market that are Herc Holdings, Generac Power Systems, Wacker Neuson SE, Wärtsilä Corporation, Speedy Hire, Smart Energy Solutions, Soenergy International, and Multiquip. The power rental market consists of well-established global as well as local players. In addition, the previously recognized market players are coming up with new and advanced strategic solutions and services to stay competitive in the global market.