The global diesel genset market was on a path of growth after passing through tough times during 2014-2017 due to fall in sales of telecom tower and slowdown in the real estate industry. However, the industry is again witnessing a tough time in the light of COVID-19. The industry is mainly driven by high capital expenditure in industry and high-power deficit. Since, industry has reduced the capital expenditure to sustain in the crisis, which can impact the market of diesel genset as well.

Two types of gensets are available in the market. First one is prime power, which is commonly use in the area where no grid supply is available. Other is backup power which come in action when the electricity supply is disrupt due to several uncertainties. According to our estimate, the backup power diesel genset dominate the market by holding a lion share of around 90%. This show that, even with low-power deficit, the demand for genset would grow.

End users including infrastructure such as road, rail, and metro; commercial such as IT/ITES, data centres, hotels, hospitals, educational; and industry and manufacturing such as oil and gas, automotive, and pharmaceutical are some of the highest demand generators for genset globally. These end users require different power rating genset since application of genset is different in different industries. Telecom and hospitality dominate in the low power rating genset, ranging between 15-75 kva while under 75-375 kva, real estate and large industry captured the considerable market share. In 375-750 kva genset, again large industries such as oil and gas and automotive and hospitality sectors dominates the market while in high range gensets above 750 Kva, IT/ITES sectors enjoys the larger market share.