Market Forecast By Types (Diesel Genset Rental, Gas Genset Rental), By KVA Rating (Diesel Genset (Below 100 KVA, 100.1-350 KVA, 350.1-750 KVA, 750.1-1000 KVA, Above 1000 KVA), Gas Genset (Below 100 KVA, 100.1-375 KVA, 375.1-1000 KVA, Above 1000 KVA)), By Applications (Standby Genset Rental, Prime/ Continuous Genset Rental), By Prime Applications (Peak Load, Base Load), By Verticals (Utilities, Oil & Gas, Construction, Manufacturing, Quarrying & Mining, Commercial, Others (Agriculture, Municipal Work, And Events)) And Competitive Landscape
Product Code: ETC160015 | Publication Date: Jan 2025 | Updated Date: Jan 2025 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 70 | No. of Figures: 35 | No. of Tables: 5 | |
Report Name | UAE Genset Rental Market |
CAGR | 6% |
Growing Sector | Construction |
Forecast Period | 2025-2031 |
The UAE Genset Rental Market report thoroughly covers the market by Type, by KVA rating, by application, by verticals and by prime application. The market report provides an unbiased and detailed analysis of the ongoing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
The UAE genset rental market has experienced significant growth in recent years, driven by the country's rapid industrialization and urbanization. As infrastructure projects continue to expand, including preparations for global events such as Expo 2020 Dubai, the demand for temporary power solutions has remained robust. The market is characterized by a diverse range of gensets, varying in power output and size, tailored to meet the specific needs of sectors such as construction, oil and gas, and events. Additionally, technological advancements and the integration of eco-friendly practices have led rental providers to offer gensets that are both efficient and environmentally conscious. This trend towards sustainability reflects broader global commitments and highlights the market's adaptability to change.
According to 6Wresearch, UAE Genset Rental Market size is projected to witness a CAGR of 6% during the forecast period of 2025-2031. the nation's ongoing infrastructure development. As the UAE continues to invest in large-scale construction projects and urban expansion, the demand for reliable power sources increases, making genset rentals a cost-effective solution for temporary power needs. Additionally, the rise in the number of events and exhibitions hosted in the UAE, such as Expo 2020 Dubai, further boosts the demand for genset rentals to ensure uninterrupted power supply in venues that are not directly connected to the main grid.
the high competition among rental service providers, which can lead to price wars and reduced profit margins. Moreover, the push towards sustainable and eco-friendly energy solutions poses a potential threat to the genset market, as businesses and government entities might shift their focus toward greener alternatives. Furthermore, economic fluctuations and changing oil prices in the region can impact the overall growth and stability of the market. Addressing these challenges requires innovation, strategic partnerships, and adapting to emerging trends in renewable energy solutions.
The UAE genset rental market has seen significant growth due to the country's robust infrastructure development and the need for reliable power solutions. Several leading players dominate this competitive landscape, providing a range of generators to meet the diverse needs of industries, construction sites, and events. Notable companies in this market include Aggreko, Altaaqa Global, and Byrne Equipment Rental. Aggreko is renowned for its large-scale, temporary power solutions and has a strong presence in the region. Altaaqa Global offers innovative rental power solutions with a focus on sustainability and operational efficiency. Byrne Equipment Rental provides a comprehensive portfolio of gensets, supporting both short-term and long-term energy requirements.
The UAE genset rental market has witnessed significant growth, largely driven by robust government initiatives aiming to bolster infrastructure and economic diversification. The UAE government has been actively investing in large-scale projects to enhance the nation's infrastructure, including the expansion of transportation networks, energy facilities, and urban development plans. These initiatives have necessitated substantial and reliable power solutions, thus boosting the demand for genset rentals. Additionally, the government's focus on developing sustainable energy sources, combined with the need for temporary power during transitions, has further propelled the genset rental industry.
The UAE genset rental market is poised for significant growth in the coming years, driven by key factors such as rapid urbanization, an expanding construction sector, and increasing demand for reliable power supply. As infrastructure development continues to surge across the region, the need for flexible and cost-effective power solutions is expected to rise, favoring the rental model. Furthermore, technological advancements in genset efficiencies and the integration of sustainable practices are likely to play a pivotal role in shaping the future landscape of this market. The focus on renewable alternatives and hybrid genset systems is anticipated to gain momentum, aligning with global environmental goals and local initiatives for sustainable energy solutions.
According to Ravi Bhandari, Research Head, 6Wresearch, the diesel genset rental market in the UAE is experiencing significant growth, driven by the region's rapid infrastructure development and the need for reliable backup power solutions. Companies across various industries, including construction, oil and gas, and events, rely on diesel generator sets to ensure uninterrupted power supply, especially during peak demand periods or in areas with unstable electricity grids. The rental market provides a cost-effective and flexible solution for businesses needing temporary power, allowing them to scale up or down based on project requirements without the hassle of maintenance and ownership costs.
In the UAE genset rental market, diesel gensets above 1000 KVA play a crucial role in supporting large-scale projects and industries with significant power demands. These high-capacity units are essential for sectors such as heavy industry, large-scale construction projects, and major public events where substantial power supplies are critical. The availability of diesel gensets capable of generating output above 1000 KVA provides businesses with the flexibility to manage their power requirements effectively, especially in remote areas or during events of severe power outages. Rental companies are equipped with a diverse range of these high-capacity gensets, ensuring that clients have access to the most reliable and efficient power solutions available.
In the UAE genset rental market, both prime and continuous genset rentals play an integral role in meeting diverse client needs across various industries. Prime power is typically used for applications where the genset provides the primary source of power, often in remote locations or during extended periods of power outages. This type of rental is paramount for construction sites, mining operations, and critical infrastructure projects that require reliable, uninterrupted power. On the other hand, continuous genset rentals are essential for operations that demand electricity over longer, sustained periods without a break. This is particularly important for industries like telecommunications and manufacturing that rely on constant power to maintain their operations smoothly.
Base load genset rentals in the UAE are crucial for industries that require a steady and constant power supply to support their core operations. These gensets are designed to handle a continuous power demand effectively and efficiently, with minimal fluctuations, ensuring stability and reliability in various industrial settings. In sectors such as oil and gas, manufacturing, and large-scale data centers, where power consistency is paramount, base load genset rentals provide an essential solution to maintain uninterrupted operations. The ability to run for extended periods without compromising performance makes them an indispensable part of the power infrastructure.
The quarrying and mining sectors are significant contributors to the UAE's economy, necessitating a reliable power supply to ensure efficient and sustainable operations. In this context, genset rentals play a pivotal role in meeting the energy demands of these industries, as they often operate in remote locations devoid of established electrical infrastructure. The need for mobile and robust power solutions makes gensets an excellent option, providing the necessary electricity to run heavy machinery and equipment essential for extracting and processing minerals. Moreover, these gensets must offer resilience against the harsh environmental conditions typical of quarrying and mining sites. Rental companies in the UAE are focusing on tailoring their genset offerings to cater specifically to the unique needs of these sectors, providing solutions that emphasize both reliability and adaptability.
The report offers a comprehensive study of the subsequent market segments:
1. Executive Summary |
2. Introduction |
2.1 Report Description |
2.2 Key Highlights of the Report |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3. UAE Genset Rental Market Overview |
3.1 UAE Genset Rental Market Revenues, 2021-2031F |
3.2 UAE Genset Rental Market Industry Life Cycle |
3.3 UAE Genset Rental Market Porter’s Five Forces Model |
3.4 UAE Genset Rental Market Ecosystem |
3.5 UAE Genset Rental Market Revenue Share, By Types, 2021 & 2031F |
3.6 UAE Genset Rental Market Revenue Share, By Applications, 2021 & 2031F |
4. UAE Genset Rental Market Dynamics |
4.1. Impact Analysis |
4.2. Market Drivers |
4.3. Market Restraints |
5. UAE Genset Rental Market Trends |
6. UAE Genset Rental Market Overview |
6.1 UAE Genset Rental Market Revenues |
6.2 UAE Genset Rental Market Revenue Share and Revenues, By Types |
6.3 UAE Genset Rental Market Revenue Share and Revenues, By Applications |
7. UAE Genset Rental Market Opportunity Assessment |
7.1 UAE Genset Rental Market Opportunity Assessment, 2031F |
8. UAE Genset Rental Market Competitive Landscape |
8.1 UAE Genset Rental Market Revenue Share, By Company, 2021 |
8.2 UAE Genset Rental Market Competitive Benchmarking, 2021 |
8.3 UAE Genset Rental Market Competitive Benchmarking, on Technical Parameters, 2021 |
9. Company Profiles |
9.1 Aggreko PLC |
9.2 Atlas Copco |
9.3 Caterpillar Inc. |
9.4 Cummins Inc. |
9.5 Aksa Power Generation |
9.6 Teksan |
9.7 APR Energy |
9.8 Himoinsa S.L. |
9.9 United Rentals Inc. |
9.10 AGCO Corporation |
10. Key Strategic Recommendations |
11. Disclaimer |
Market Forecast By Types (Diesel Genset Rental, Gas Genset Rental), By KVA Rating (Diesel Genset (Below 100 KVA, 100.1-350 KVA, 350.1-750 KVA, 750.1-1000 KVA, Above 1000 KVA), Gas Genset (Below 100 KVA, 100.1-375 KVA, 375.1-1000 KVA, Above 1000 KVA)), By Applications (Standby Genset Rental, Prime/ Continuous Genset Rental), By Prime Applications (Peak Load, Base Load), By Verticals (Utilities, Oil & Gas, Construction, Manufacturing, Quarrying & Mining, Commercial, Others (Agriculture, Municipal Work, And Events)) And Competitive Landscape
Product Code: ETC160015 | Publication Date: Feb 2022 | Product Type: Market Research Report | |
Publisher: 6Wresearch | No. of Pages: 80 | No. of Figures: 12 | No. of Tables: 4 |
UAE Genset Rental Market report comprehensively covers the market by Types, KVA ratings, Applications, Prime Applications, and Verticals. The UAE Genset Rental market outlook report provides an unbiased and detailed analysis of the UAE Genset Rental market trends, opportunities, high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
Despite the decline in crude oil prices and volatile economy, the UAE Genset rental market revenues grew moderately during the historic period on account of growing manufacturing and construction activities in the country. Moreover, a decline in market revenues is expected in 2020 due to the lockdown imposed in the country as a preventive measure to contain the spread of pandemic COVID-19, which resulted in a halt of economic activity across the country. However, the market is expected to show some signs of recovery with the resumption of business operations in the second half of 2020. However, the Covid-19 pandemic had slowed down the market in terms of the supply of the product during 2020. While on the other hand, the demand-side also fell victim to the slowdown due to the market being closed during the lockdown period. Currently, the market has recovered gradually and is likely to witness growth over the coming years.
According to 6Wresearch, UAE Genset Rental Market size is expected to grow at a CAGR of 14.5% during 2020-2026. The restart of several ongoing construction projects after the pandemic is contained, including the Burj Jumeira, Ain Dubai, Dubai Creek Tower, Hatta Pumped Hydro-electric Power Plant, along with other developments across the country in the oil & gas and utility sector, would boost the demand for Genset rental over the coming years as rented gensets provide flexibility in power rating requirements with negligible maintenance and installation costs. Hence, the Genset rental market revenues would grow at a substantial rate during the forecast period.
Diesel gensets dominated the Genset rental market revenues in UAE in 2019 and would continue to retain their dominant position during the forecast period as well, due to cheap availability of diesel in the country. However, on account of stricter implementation of emission norms, the demand for gas gensets is anticipated to rise over the coming years.
The report provides a detailed analysis of the following market segments: