According to a report available on Alexa Reports, global power rental industry is expected to grow at a CAGR in the forecast period i.e. from 2018-2025. Power rental is defined as renting of generator sets for the power generation that runs on diesel or any other type of fuels. They are mainly used in several commercial and industrial applications. Lack of power supply will eventually boost in the use of power rental equipment.
Increase in power outages, poor transmission, and distribution (T&D) networks, natural disasters are contributing to market growth in the years to come. Another driving factor includes an increase in demand for continuous power. In addition, demand for temporary power supply is increasing across the globe. However, emission regulations for diesel engines, lack or poor transmission network in regions such as Asia Pacific, Africa, and in developing countries is likely to hamper the market in the years to come.
Power rental industry is segmented by fuel type, application, end user and geography. The market is explored by fuel type as gas, diesel, and others. The gas fuel segment led the market and is anticipated to maintain its dominance by 2025. The key factors that could be attributed to the market growth include gas generators are more efficient than diesel generators and help decrease greenhouse gas emissions.
The market is segmented by application as standby power, peak shaving, and base load. The market is segmented by end-user as utilities, construction, oil & gas, shipping, mining, manufacturing, and others. The utility segment led the market and is anticipated to maintain its dominance by 2025. The key factors that could be attributed to the market growth include high demand for power rental solution.
North America is one of the prominent regions and will continue to account for a large share in the market throughout the forecast period, due to technological advancements, aging infrastructure, and increasing power demand. In addition, the growing popularity of hybrid rental power generator will boost the market growth in the years to come.