market

The global market for diesel and natural gas reciprocating generator sets (gensets) will surpass $18.5 billion in annual revenue by 2026.

Navigant Research forecasts the market to grow at an annual rate of 10.5%.

The use of gensets will increase in efforts to address higher fuel costs, critical loads and to meet the demands of sophisticated customers.

Increases in development of remote sites and larger and more complex projects will require the application of the energy generators.

Adam Forni, senior research analyst at Navigant Research, said: “Gensets are gaining a surge of smart features, thanks to improved controls and software, and demands from customers that they provide more services.

“While many older gensets just waited for the grid to go down, smart gensets are increasingly interactive—with human operators, with other distributed energy resources, and with the grid itself.”

Over the past years, technological advancements and customer demands including the inclusion of features such as enhanced maintenance, microgrid interactivity and demand response, have created more revenue streams for vendors within the market

Vendors are embracing the new value streams to compete against the falling prices of solar and energy storage.

 

Image credit: Management Innovation