Global Generator Rental for Temporary Power Market Size By Type (Diesel, Gas & HFO & Petrol), By Application (Government & Utilities, Oil & Gas), By Region, And Segment Forecasts, 2023 to 2032

The Global Generator Rental for Temporary Power Market is poised for substantial growth, driven by increasing demand for reliable power solutions across various sectors. In 2023, the market was valued at USD 5.8 billion and is expected to reach USD 9.3 billion by 2031, growing at a CAGR of 6.5% from 2023 to 2031. This growth is primarily fueled by rising infrastructural activities, emergency power requirements, and industrial demand, especially in emerging economies with power grid limitations. Temporary power solutions, including generator rentals, play a critical role in ensuring business continuity and operational efficiency during outages or in remote locations without reliable grid access.

Drivers:

Infrastructural Development: Growing construction and infrastructure projects worldwide demand robust temporary power solutions.

Unstable Power Grids: Many regions continue to experience frequent outages, creating a need for reliable temporary power sources.

Industrialization in Emerging Markets: Rapid industrial growth in developing countries increases the need for rental power services, especially for projects in remote areas.

Restraints:

High Initial Investment Costs: Despite rentals being more cost-effective than outright purchases, high rental costs can deter small-scale enterprises.

Environmental Regulations: Stringent emission regulations and mandates for greener solutions pose challenges for traditional diesel generators.

Opportunities:

Shift Towards Renewable-Based Generators: The rise of green energy solutions like solar-powered generators provides rental businesses with an opportunity to offer environmentally friendly alternatives.

Expansion in Developing Markets: Emerging economies in Asia-Pacific and Latin America offer untapped potential due to infrastructure growth and increased reliance on temporary power solutions.

Market by System Type Insights:

Based on system type, the Diesel Generator Segment leads due to its reliability and widespread availability, especially in remote or underserved areas. However, Hybrid Generators are expected to see the highest growth, driven by demand for energy-efficient and eco-friendly solutions that combine renewable energy sources with traditional diesel backup.

Market by End-Use Insights:

The Construction Segment holds the largest share, benefiting from ongoing infrastructural developments that require temporary power. Meanwhile, the Events Segment is anticipated to grow rapidly, with a surge in outdoor events and gatherings post-pandemic, requiring reliable, short-term power sources.

Market by Regional Insights:

North America dominates the market, driven by a robust infrastructure sector and high demand for temporary power solutions across industries.

Asia-Pacific is expected to witness the fastest growth due to industrial expansion, increased construction activities, and unreliable grid conditions in several emerging economies.

Competitive Scenario:

Key players in the global generator rental market include Aggreko, United Rentals, Caterpillar Inc., Atlas Copco, and Cummins. These companies focus on expanding their rental fleet, adopting cleaner energy technologies, and targeting emerging markets to strengthen their competitive position.

Scope of Work – Global Generator Rental for Temporary Power Market

Key Market Developments:

2023: Aggreko launched a new range of low-emission generators targeting eco-conscious industries.

2024: Caterpillar Inc. announced a partnership with a solar energy provider to develop hybrid rental solutions.

2025: United Rentals expanded its rental network in Asia-Pacific, aiming to capture the rising demand in emerging economies.

FAQs

What is the current market size of the Global Generator Rental for Temporary Power Market?

The market size was valued at USD 5.8 billion in 2023.

What is the major growth driver of the Global Generator Rental for Temporary Power Market?

Growth is mainly driven by infrastructural development and the need for reliable temporary power in areas with unstable power grids.

Which is the largest region during the forecast period in the Global Generator Rental for Temporary Power Market?

North America currently holds the largest market share, with significant growth expected in Asia-Pacific.

Which segment accounted for the largest market share in the Global Generator Rental for Temporary Power Market?

The Diesel Generator Segment led the market due to its widespread usage and reliability.

Who are the key market players in the Global Generator Rental for Temporary Power Market?

Major players include Aggreko, United Rentals, Caterpillar Inc., Atlas Copco, and Cummins.