Enjoy complimentary customisation on priority with our Enterprise License!
The power rental market size is estimated to grow at a CAGR of 5.78% between 2022 and 2027. The market size is forecast to increase by USD 3,402.81 million. The growth of the market depends on several factors such as the increasing infrastructure-related activities, rapid industrialization, and the increase in cases of power outages.
To learn more about this report, View Report Sample
The adoption of hybrid power generators is a key trend in the market. These generators provide power from dual sources, such as gas and diesel, or a combination of batteries and help charge systems, generators, and renewable energy connections. They are also cost-efficient and fuel-efficient compared to conventional generators. The most used version of the hybrid generator is the gas and diesel power generator which switches gas as a fuel and emits 85% fewer emissions than a diesel generator and is less costly as well.
In addition, solar-diesel hybrid power systems are commonly provided by Aggreko Plc, a key vendor in the power rental market. Hence, it is likely to see further competitors following suit and offering similar products which will further increase the global power rental market growth during the forecast period.
The utility segment is estimated to witness significant growth during the forecast period. This segment is likely to maintain dominance in the global power rental market compared to other end users. This is due to the increasing requirements for scalable rental equipment which can overcome problems related to voltage drop and expansion, and power outages.
Get a glance at the market contribution of various segments View the PDF Sample
It is also positively impacted by the increasing awareness of outsourcing power equipment. Rented power generation is also necessary for thermal power plants and other alternatives to it, such as small power grids that have unreliable power supplies. This has increased its demand in utility and manufacturing sectors and hence this segment of the global power rental market is likely to witness growth during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
APAC is estimated to contribute 34% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. Another region offering significant growth opportunities to vendors is North America. As there are many hotels, shopping malls, and retail outlets in the region, the demand for reliable electricity automatically increases. Additionally, due to a demand-supply energy imbalance, there is a rise in demand for power rental systems which temporary power. Other potential sources for market expansion are during events and fairs, backup applications, maintenance periods, and the oil and mining industries which will all individually boost the market growth during the forecast period.
In 2020, the COVID-19 outbreak and resulting lockdowns brought a halt to production activities in various end industries of the rental power generation market such as manufacturing, construction, and more. However, the resumption of activities post large-scale vaccine drives in the first half of 2021 and the increasing recognition of the benefits of outsourcing power rental systems are contributing to the gradual growth of the regional rental power generation market during the forecast period.
Increasing infrastructure-related activities are driving market growth. The growing number of global infrastructural activities is increasing the demand for continuous power supply. Some activities such as road and highway construction require uninterrupted power supply, and if not interrupted, it can cause construction equipment damage. The high operating costs associated with these activities can result in huge losses. Thus, the demand for power rental products will grow which in turn will boost the growth of the market.
Additionally, higher levels of development of offshore and onshore oil and gas projects are also one main source for rental power generation. For instance, in 2021, the Alaska LNG project, which includes an offshore pipeline, was set up in a remote area with a harsh climate and geographical terrain. This necessitated rental power solutions, displaying an example of another sector that will boost the growth of the global power rental market during the forecast period.
Stringent emission standards for oil-dependent industries are challenging market growth. EPA sets several strict regulations to limit carbon dioxide and other harmful emissions because of electricity production in North America, Europe, and the Asia-Pacific region. They also set permissible noise limits to ensure that diesel generators during operations do not cross a maximum threshold.
Additionally, rules and regulations vary from region to region and there are measures like canopies, shear mounts, and flexible elbows that rental power generation companies can utilize to reduce emissions and adhere to standards and regulations. These regulations are increasingly focusing on engine efficiency by encouraging the usage of low-sulfur and ultra-low-sulfur diesel fuels. Hence, these factors are likely to pose a hindrance to the market growth during the forecast period.
The market research report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Power Rental Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
ATLAS Corp. - The company offers rental power generation solutions through its subsidiary APR Energy.
The research report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The power rental market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
Power Rental Market Scope |
|
Report Coverage |
Details |
Page number |
163 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 5.78% |
Market growth 2023-2027 |
USD 3402.81 million |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
5.36 |
Regional analysis |
North America, APAC, Europe, Middle East and Africa, and South America |
Performing market contribution |
APAC at 34% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Aggreko Plc, Ashtead Group Plc, Atlas Copco AB, ATLAS Corp., Bredenoord, Capstone Green Energy Corp., Caterpillar Inc., Cummins Inc., Doosan Corp., Generac Holdings Inc., Herc Holdings Inc., HSS ProService Ltd., Inmesol SL, Kohler Co., L.M. Generating Power Co. Ltd., Modern Hiring Service, Perennial Technologies, Trinity Construction Enterprises Inc., United Rentals Inc., and Yanmar Holdings Co. Ltd. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by End-user
7 Market Segmentation by Application
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.