Due to the power outages that take place across countries, generators have become critical for power backup. The high demand for a secure and continuous supply of power has contributed to an increase in generator sales worldwide. For smooth operations, all commercial operations rely on generator backup, and this is only expected to increase on the back of rapid industrialization. Also residential areas rely on generators on a large scale for power backups.
Over the years, power demand has risen in both emerging and developed economies. Increasing investment in the development of hydrocarbons from traditional and non-conventional bulk reserves has favoured the global market. For example, in June 2020, the BP World Energy 2020 Statistical Analysis announced that total primary energy consumption in 2019 was 583.9 exajoules, up from 576.23 exajoules in 2018, with an increase of over 1.3 percent year-on-year, Fact.MR emphasis
Usually, mining and oil & gas discovery takes place at remote areas. Due to the extremely ignitable existence of extracted materials, human life at such locations is under constant threat; thus, correct lighting and power is a key necessity during such operations. Driven by growing investment, the U.S., Australia, and many African countries are experiencing notable growth in the mining and oil & gas industries. New mining is expected to start in the coming years in China, Australia, and Asian countries.
In the global market for generators, North America is a dominant player. The need for an undisturbed power supply across the continent has been generated by growing urbanisation and industrialization. Developing countries will also provide stakeholders in the generator industry with lucrative growth opportunities, owing to the growing gap between demand and power supply across these countries.
Gas generator sales revenue is expected to increase due to customer inclination towards energy security, fossil fuel use independence, and strict emission-based regulations. In addition, rapid LNG infrastructure growth, powered by mega O&G exploration projects embraced by several governments, would benefit the expansion of the industry.
The diesel generator demand for telecommunications is poised to grow at a healthy CAGR of over 5 percent through 2030. For operations, telecommunications, radio, and even television signals use medium towers, which has exaggerated demand for backup generators. Medium towers are being built by developing countries such as India and China to cater to their high populations and vast geography.