Power Rental Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2023-2030 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)

The global power rental market has experienced a significant increase in demand as various industries resort to cost-cutting measures amidst the COVID-19 outbreak. Renting power equipment has emerged as a more profitable alternative to purchasing and installing it, leading to higher profits in a short span of time. According to the analyst, the easy availability of power rental options has made it particularly popular in regions with limited grid infrastructure. Furthermore, the affordability of rental services is expected to be a key driver for market growth. Preliminary findings reveal that renting a 20 kW diesel generator costs between USD 100 and USD 150 per day, compared to the purchase cost of USD 2,500 to USD 3,000. As the benefits of power rentals outweigh the cons, analysts anticipate an unprecedented rise in the global power rental market between 2021 and 2025.

Diesel-Powered Generators Remain in High Demand

The upcoming report suggests that the demand for diesel-powered generators is expected to remain the highest between 2021 and 2025. Industries such as mining and manufacturing are driving the growth of these generators. Additionally, the affordability of diesel fuel is expected to contribute to market expansion in the coming years. The American Petroleum Institute states that the demand for diesel will remain strong as the global economy recovers in the post-pandemic world. The underdeveloped infrastructure for LPG and gas also emphasizes the significant attention diesel-powered generators are expected to receive in the foreseeable future.

Rental Companies Benefit from Changing Perspectives on Energy Consumption

The growing efforts to achieve decarbonization by 2050 are expected to generate a high demand for power rentals in the next five years. Research indicates that the U.S. administration plans to invest approximately US$2 trillion in achieving net-zero emissions in the power and utilities segment by 2035. Furthermore, the increasing shift towards electrification and electric vehicle sales is expected to drive investment in charging ports. Technology companies are also expected to enter the power rental market by investing in battery-related technologies. All of these factors are anticipated to augment the rental power market during the forecast period.

Asia Pacific Dominates Global Power Rental Market with China's Leading Role

Analysts predict that Asia Pacific will lead the global power rental market between 2021 and 2025, driven by the substantial demand for power in countries like India and China due to rapid urbanization and industrialization. Growing construction and building activities, manufacturing contracts, and the emergence of the IT sector are all expected to contribute to this demand. Initial findings suggest that power rental demand in Chinese provinces has surpassed that of Germany, indicating a shift in consumption patterns.

Key Players and Oligopolistic Competitive Landscape

Key players operating in the global power rental market include APR Energy, Aggreko, Al Faris, Hertz System, Inc., Atlas Copco AB, United Rentals Inc., Caterpillar, Ashtead Group plc, Cummins Inc., Herc Rentals Inc., Newburn Power Rental Ltd., Sudhir Power Ltd., and JASSIM TRANSPORT & STEVEDORING CO. K.S.C.C. The competitive landscape in the global power rental market is oligopolistic in nature. During the forecast years, companies are expected to focus on strategic alliances to expand their market presence.