Generator Sets Market Size

Generator Sets Market size is expected to surpass USD 82 billion by the end of 2035, growing at a CAGR of 8% during the forecast period, i.e., 2023-2035. In the year 2022, the industry size of generator sets was over USD 39 billion. The growth of the market can be attributed to growing urbanization which is further estimated to boost the demand for more electricity. However, the demand of electricity is also being increasing in rural area. In the year 2020, about 12% of the world's population lacked access to electricity. Moreover, it is a fact that most rural areas lack some of the amenities that their urban counterparts do. In the case of grid-supplied electricity, this is more apparent. There are still some village homes without access to the grid. Hence, the preference for generator sets is growing.

However, when compared to urban area the need for electricity is relatively less in rural area. In rural India, about 89% of electrified families use less than 100 units a month. Still, there are some households in this rural area which requires large amount of energy. Affluent people with big farmhouses could be found in rural locations, and these homes also require generators to power their lighting, appliances, and other gadgets including air conditioners, air coolers, freezers, and entertainment systems. Hence, there are several different generators in the generator sets market that are appropriate for homes with various power needs. For rural residences, the majority of generator manufacturers are providing low rating (up to 5 KVA) generators. Small home generators that run on fuels including diesel, kerosene, gasoline, and gas are also made available from them. Hence, this factor is estimated to boost the market growth over the forecast period.