Press Release

Power Rental Market to Burgeoning with the Swelling Construction Activities

The GCC Power Rental market is projected to grow at a CAGR of around 13.67% during the forecast period of 2023-28, cites MarkNtel Advisors in the recent research report. The factors responsible for the market growth are the expanding demand for temporary power supply, owing to the rising construction activities across the GCC region. The absence of the national grid throughout the summer & peak time puts strain on the grids in the major GCC nations, like Saudi Arabia & the UAE, among others. Therefore, power renting solutions play a significant role in the GCC region to meet the high & growing demand for electricity during the historical period.

The government's initiatives towards the diversification of various industries, including manufacturing, healthcare, hospitality, and education, have boosted the country's economic outlook & helped to draw FDI & government investment in real estate. This has further augmented the demand to help with operational activities during the construction phase. Moreover, the surging adoption of renewable sources is due to the rising government pressure to limit their dependence on fossil fuels. This positively generates the requirement for these rental solutions to support the integration of renewable plants into the power grid.

Thus, the government in the GCC regions has launched various programs to support the growth of renewable energy sources to meet the energy demand, further projected to upscale the requirement in the forecast period, states the research report “GCC Power Rental Market Analysis, 2023.”

Generators to Hold Considerable Share in the Market

Based on the Equipment type, the market is further bifurcated into, Generators, Loadbanks, and Transformers. Among them, Generators acquired a major share in the GCC Power Rental market during the historical years. The market growth imputes to the growing requirements for generators for interrupted power supply in a large number of industries such as oil & gas, construction, etc. Also, with the rising number of construction activities across the GCC regions to diversify its revenue & minimize dependence on oil & gas, the government is highly investing & encouraging infrastructural development, including the construction of hotels, commercial buildings, etc.

In addition, the Abu Dhabi 2030 Vision, Saudi Vision 2030, which aims to boost the tourism industry, encouraged the construction of hotels, malls, public infrastructures, tourist attraction places, and other commercial infrastructures. Hence, the construction of these infrastructures would generate considerable demand for diesel generators in the upcoming years.

Saudi Arabia to Witness Substantial Growth

Of all the countries, Saudi Arabia captured notable growth in the GCC Power Rental market during 2018-22 due to the growing demand in the oil & gas industry, manufacturing units, commercial, and other sectors. The presence of a huge oil reserve & the ongoing exploration process to discover new oil wells has driven the demand in the country. Also, the unavailability of a national grid in the country led to an upscaling demand to fulfill the high requirement for electricity to supply power to the whole country in the coming years.

Moreover, National Transformation Program (NTP) 2020, Saudi Arabia has seen significant growth in the investment & commercial sectors. The NTP 2020 aims to strengthen public-private partnerships, create jobs, and reduce import dependency. Thus, the surge in investment by private companies backed by government rules & regulations has led to the establishment of numerous commercial projects such as hotels, corporate offices, retail stores, etc. Hence, these infrastructures have led to a surge in generating the requirements for power rental for enhancing the continuous supply of power for operational activities in the forthcoming years.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market players, including (ENERGIA, Aggreko, Byrne Equipment Rental, Sudhir Rental, Altaaqa Global, Hertz Dayim Equipment Rental, Energy Equipment Rental Co., Atlas Copco Rental, Saudi Diesel Equipment Company (SDEC), Modern Energy Pvt. Ltd., Rental Solutions & Services, others.) are looking forward to strengthening their market position.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the region?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping across various countries?
6. How has the buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2018-28?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?