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Saudi diesel genset market set for further growth

December 12, 2015

After recording 'a healthy growth rate' between 2010 and 2014, Saudi Arabia's diesel genset market is predicted to grow at a CAGR of 13.55 per cent to 2021, according to a new report from analysis firm 6Wresearch.

The nation leads the world in construction mega-projects and the demand for diesel gensets is tied to continuing growth in public infrastructure, industry and the retail and hospitality sectors. Increasing demand for backup and auxiliary power in remote locations will also contribute to growth.

Avishrant Mani, senior research analyst with 6Wresearch, said: "During the forecast period, 85 mega projects - each worth more than $1 billion - are lined up, which are expected to be completed by 2030 and will spur the growth of gensets in the coming years.

"Further, rising numbers of tourists have resulted in the construction of new hotels and malls, which are depending heavily on diesel gensets. Additionally, these provide a backup power source in case of any power failure."

One major trend the firm has seen is the growth of the rental genset market. "Real estate companies deploy gensets on a rental basis at construction sites to reduce the burden of high purchasing cost," Mani said.

The major players in Saudi Arabia's diesel genset market include Saudi Diesel Equipment, Cummins, Caterpillar, Himoinsa Power, Atlas Copco and Kirloskar.

Media Source: Decentralized Energy

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