Electric Generator Market

Electric Generator Market By Type (Gas Generator, Diesel Generator, CKD Generator) By Application (Stand By, Peak Shaving, Continuous) By End-User (Mining, Oil & Gas, Construction, Residential, Marine, Manufacturing, Pharmaceuticals, Commercial, Other) - Global Industry Analysis, Market Size, Share, Growth, Trends, Regional Analysis, and Forecast 2023-2031

Energy & Power | April 2023 | Report ID: EMR0069 | Pages: 217

The global electric generator market size was valued at USD 28.6 billion in 2022 and is expected to hit around USD 52.95 billion by 2031, growing at a CAGR of 6.49% between 2023 and 2031.

The market for electric generators is diverse, and generators are used in various applications, including residential, commercial, and industrial settings. In addition to traditional generators that are powered by engines or turbines, the market for electric generators also includes renewable energy solutions, such as wind and solar generators.

The electric generator market is expected to grow due to various factors such as the increasing demand for reliable and uninterrupted power supply in different industries, the growing adoption of renewable energy sources, and the need for backup power solutions. Additionally, advancements in generator technology and a focus on energy efficiency and environmental sustainability are also expected to drive the market growth.

The demand for electric generators is also driven by the need for uninterrupted and reliable power supply in critical infrastructure and facilities such as hospitals, data centers, and telecommunications networks. These facilities require a continuous power supply, and electric generators serve as a backup power source in case of power outages or disruptions. Additionally, the increasing adoption of renewable energy sources such as wind and solar power has led to a growing demand for electric generators to convert the intermittent power generated by these sources into stable and reliable electricity.

The COVID-19 pandemic has had both positive and negative impacts on the electric generator market. On the one hand, the increased demand for backup power solutions due to the pandemic has driven market growth. On the other hand, disruptions in the supply chain and manufacturing have caused a slowdown in the market. Additionally, declining demand for generators in some sectors, such as commercial and industrial applications, due to lockdowns and scaled-back operations, has further affected the market. However, as the world recovers from the pandemic and economies reopen, the electric generator market is expected to grow steadily, driven by the increasing demand for reliable and efficient power supply solutions.

Electric Generator Market REPORT SCOPE & SEGMENTATION

Report Attribute

Details

Estimated Market Value (2022)

28.6 Bn

Projected Market Value (2031)

52.95 Bn

Base Year

2022

Forecast Years

2023 - 2031

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Type, By End-User, By Application & Region

Segments Covered

By Type, By End-User, By Application & By Region

Forecast Units

Value (USD Billion), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2023 to 2031

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.

 

Market Drivers:

Natural disasters and extreme weather events can cause power outages, which can be costly and disruptive to businesses and households. Electric generators can provide a reliable backup power source during these emergencies, ensuring that critical operations continue uninterrupted. The increasing occurrence of natural disasters and extreme weather events, coupled with the growing demand for uninterrupted power supply, is expected to drive the demand for electric generators in the future.

Renewable energy sources such as wind and solar power can be intermittent, meaning that their power generation can be unpredictable and subject to fluctuations based on factors such as weather conditions. This intermittency can lead to power outages, particularly during adverse weather conditions such as storms, which is why backup power solutions such as electric generators are needed to ensure uninterrupted power supply. Despite this challenge, the increasing adoption of renewable energy sources is expected to drive the demand for electric generators as backup power solutions.

hybrid power systems combining renewable energy sources with backup power solutions such as electric generators can provide an optimal balance between energy efficiency and reliability. These systems can overcome the intermittent nature of renewable energy sources by integrating them with a backup power source such as an electric generator, ensuring a continuous and reliable power supply. Hybrid power systems can also reduce the carbon footprint of the power generation system by utilizing renewable energy sources, leading to a more sustainable and environmentally friendly energy solution.

Market Challenges:

The high cost of electric generators can be a significant barrier to entry for many consumers, particularly in developing countries with limited electricity access. Moreover, the operating costs of electric generators can also be high, as they require fuel to operate and need regular maintenance to ensure they function correctly. The ongoing expenses associated with operating an electric generator, such as fuel and maintenance costs, can also make it challenging for some consumers to justify the investment in an electric generator.

The initial price of electric generators can be offset by their long lifespan and the potential cost savings from reliable power supply. Furthermore, advancements in technology, such as more efficient engines and improved manufacturing processes, can help reduce production costs, making electric generators more accessible and affordable to a wider range of consumers. As a result, the market is expected to grow as the cost of electric generators becomes more affordable, and consumers recognize their long-term benefits.

Segments Analysis:

By Type Insights:

the gas generator market is expected to grow at a faster rate due to the increasing adoption of natural gas as a fuel source. Natural gas is a cleaner and more environmentally friendly fuel source than diesel, and it also offers cost savings in terms of fuel expenses. The CKD generator segment is also expected to grow due to its cost-effectiveness and flexibility in customization. CKD generators are assembled from pre-manufactured components, making them less expensive than fully assembled generators and allowing for customization to meet specific power needs.

By Application Insights:

Stand-by generators are commonly used as backup power in the event of a power outage or grid failure. They can be found in residential, commercial, and industrial settings. Peak shaving generators are typically used by businesses to reduce their energy costs during peak demand periods. These generators can help reduce the strain on the grid and lower electricity bills for businesses. Continuous generators, also known as prime power generators, are used as a primary power source in off-grid locations or areas with unreliable grid power. They are commonly found in remote areas, such as mining sites and oil rigs, and can provide a reliable and uninterrupted power supply.

By End-User Insights:

The demand for electric generators in the construction sector is primarily driven by the need for reliable and uninterrupted power supply on construction sites. The mining and oil & gas sectors require electric generators to power their operations in remote and challenging environments where grid power is unavailable. The residential and commercial sectors require backup power solutions to ensure uninterrupted power supply during power outages or grid failures. The marine sector requires electric generators to power boats and ships. As industries continue to expand and demand for electricity increases, the market for electric generators is expected to grow in various end-user segments.

Regional Analysis:

Additionally, the increasing adoption of renewable energy sources such as wind and solar power in North America is also expected to drive the demand for electric generators, as backup power solutions are needed to ensure uninterrupted power supply during periods of low or no renewable energy generation.Furthermore, the aging power infrastructure in North America also contributes to the demand for electric generators, as power outages due to equipment failure or natural disasters can occur more frequently. The need for backup power solutions is thus becoming increasingly important to ensure the reliability and resiliency of the power grid.

In addition, the increasing demand for uninterrupted power supply in various industries and the growing number of construction activities in the region also drive the growth of the electric generator market in Europe. The construction industry requires a reliable power source, particularly in remote areas, and electric generators provide an effective solution. The growth in the manufacturing and pharmaceutical industries also contributes to the market's growth in Europe.

Recent Developments:

  • In February 2021: - Generac Power Systems announced the acquisition of Enbala Power Networks, a leading distributed energy optimization and control solutions provider for the utility and commercial markets.
  • In June 2022: - Cummins Inc. launched a new 1MW twin-pack rental generator, the C1000D6RE, which delivers a competitive rental power solution for various applications throughout North America.

Competitive Landscape

The Global Electric Generator Market Some of the major companies include: -

Key Market Players:

  • Aggreko
  • Atlas CopCo.
  • Caterpillar Inc.
  • FG Wilson
  • Kirloskar Electric Co. Ltd.
  • Cummins Inc.
  • Rolls-Royce
  • Wärtsilä
  • Yanmar Co. Ltd.
  • Briggs & Stratton

Electric Generator Market Report Segmentation

ATTRIBUTE

DETAILS

By Type

  • Gas Generator
  • Diesel Generator
  • CKD Generator

By End-User

  • Mining, Oil & Gas
  • Construction
  • Residential
  • Marine
  • Manufacturing
  • Pharmaceuticals
  • Commercial
  • Other

By Application

  • Stand By
  • Peak Shaving
  • Continuous

By Geography

  • North America (USA and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request

Pricing

  • Available upon request

 

Key Benefits of the Report

  • This study presents an analytical depiction of the Electric Generator industry along with current trends and future estimations to determine the imminent investment pockets.
  • The report presents information related to market key drivers, restraints, and opportunities, along with detailed analysis of the Electric Generator Market share.
  • The current market is quantitatively analyzed to highlight the Electric Generator Market's growth scenario.
  • Porter's five forces research demonstrates the market power of suppliers and buyers.
  • The report provides a detailed Electric Generator market analysis based on competitive intensity and how the competition will take shape in the coming years.

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

The global electric generator market size will reach at USD 52.95 billion by 2031 from valued USD 28.6 billion in 2022.
The global electric generator market is representing a 6.49% CAGR between 2023 and 2031.
The major key players operating in the electric generator market are Aggreko, Atlas Cop Co., Caterpillar Inc., FG Wilson, Kirloskar Electric Co. Ltd., Cummins Inc., Rolls-Royce, Wartsila, Yanmar Co. Ltd., Briggs & Stratton and Others.
The market driving factors of the electric generator market are the increasing demand for reliable power supply to brighten the market prospect, growing adoption of renewable energy sources, and increasing need for backup power solutions.
North America region will lead the global electric generator market during the forecast period 2023 to 2031.