About Power Rental
Rental power is used to meet peak load demand, base load supply or as a standby. The need to provide uninterrupted power is a major factor driving the growth of the power rental market; as using power rentals is more economical than maintaining a reserve plant, the demand for rental power has risen over time. The demand for rental power is expected to increase on account of growing public infrastructure construction, the increasing industrial base, and supply of power to remote areas. The oil and gas sector is a major end-user of rental generators and deploys them across the entire value chain; this is because most of the oil refineries and sites are located in remote areas where grid power is inaccessible.
Technavio’s analysts forecast the global power rental market to grow at a CAGR of 4.92% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the global power rental market for 2016-2020. To calculate the market size, Technavio considers the revenue generated from the application of power rental across major end-user industries like utilities, oil and gas, and industria;l sector.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Power Rental Market 2016-2020
Technavio recognizes the following companies as the key players in the global power rental market: Aggreko, APR Energy, Atlas Copco, Energyst, Himoinsa, and United Rentals.
Other Prominent Vendors in the market are: Altaaqa Global, Ashtead, Bryne Equipment Rental, Cummins, Hertz Equipment Rental, Kohler Power, and Sewatama.
Commenting on the report, an analyst from Technavio’s team said: “Increase in use of gas generators for rental power will be a key trend for market growth. Environmental reforms and stringent government regulations to reduce emissions have led to new technology being developed where generators involve less fuel consumption while increasing the power output. A recent trend has been the shift to gas power generators. The use of gas produces cleaner power than diesel as it is more efficient, produces 30% fewer emissions and less noise than diesel generators. Gas is comparatively cleaner than other non-renewable fuels and is also relatively cheaper to operate than a diesel generator.”
According to the report, one of the key drivers for market growth will be increasing demand for rental power. Urbanization and a growing population have created an increasing strain on power utilities to meet the power demand. Though governments of various countries have invested in building new power plants as long-term energy sources, shortage of power supply is preventing power companies from meeting the immediate demand. The surge in residential and commercial infrastructure development is resulting in peak-hour supply constraints. These factors have compelled power companies to rely on temporary power generation sources to cater to the growing power demand.
Further, the report states that one of the key challenges for the market will be stringent emission standards. In response to the growing environmental concerns across the world, the US EPA has imposed several regulations regarding hazardous emissions. Local authorities in the Americas have also established general standards in response to the EPA's policies. The US EPA focuses on cleaner standards by targeting diesel fuels and encouraging the use of new diesel engines. These regulations cover the use of fuels such as low sulfur and ultra-low sulfur diesel fuels for engine efficiency.
Aggreko, APR Energy, Atlas Copco, Energyst, Himoinsa, United Rentals, Altaaqa Global, Ashtead, Bryne Equipment Rental, Cummins, Hertz Equipment Rental, Kohler Power, Sewatama.
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