About the Report
The temporary power market has come to the forefront to bridge the energy demand from semi-permanent sources. Usage of temporary power in the building, construction, and renovation industries is imperative. While temporary power sources save electricity to fit the bill, its installation requires applicable codes, standards, and regulations.
The perks of using temporary power over conventional one are unlimited and well-researched rendering the market highly lucrative for equipment manufacturers, suppliers, and the export & import industry. In a new report, ESOMAR-certified firm Fact.MR provides a thorough analysis of the potential, growth, and scope of the temporary power market.
Historical and Future Outlook
Demand for temporary power has grown exponentially over the last five years owing to burgeoning requirement for high fuel efficiency, improved power output, and reduced operational costs. While steady expansion of the construction industry has catapulted sales, various regulations, initiatives, and governmental investments have further catalyzed temporary power requirements.
As stated by the European Commission (EC), the construction industry contributed approximately 9% of the EU’s GDP in the past, while buildings accounted for the largest share of final energy consumption (40%) from 2015 to 2020. While North America and Europe exhibit high potential, Asia Pacific remains immensely lucrative.
High requirement for cost-effective and efficient power is projected to boost revenue of temporary power manufacturers through 2030. According to Fact.MR, the global temporary power market is set to ascend at over 5% during the forecast period, with construction and building industry set to gain further momentum.
How is Focus on Energy Efficiency Boosting Temporary Power Equipment Sales?
Temporary power has gained popularity among diverse end-user segments such as construction & renovation, mining, utilities, and others as it is very suitable in supplying the required power in a cost-effective, hassle-free way. Rising energy concerns and subsequent initiatives taken by governmental organizations have stimulated the growth of temporary power.
As per the European Commission’s report, in December, 2020, the European Union (EU) has committed to reduce energy consumption by 20% by the year 2020 compared to baseline projections, while for 2030, the EU has the binding target of reducing at least 32.5%.
Furthermore, according to the “Energy Efficiency and Conservation- U.S.” report by the. Energy Information Administration (EIA), there was a historic slowdown in energy efficiency globally in 2018, improving marginally by 1.2% as compared to 2017. This is providing manufacturers and suppliers an opportunity to enhance their presence across the temporary power market.
What % of Revenues are on Account of Demand from Construction Industry?
According to the European Commission (EC), the construction industry is an integral part of the European economy. Rising number of industrial, commercial, and residential buildings construction and renovation is augmenting demand for temporary power, prompting manufacturers and suppliers to offer efficient and cost-effective services and materials. To provide further boost, the “European Construction Sector Observatory (ECSO)” initiative was undertaken by COSME, which regularly carries out comparative assessments on the construction sector in all 27 EU countries and the UK.
As per the Global Statistical Data published in 2020, the construction industry in the South and South-East Asia is highly potential and forecast to grow at over 6% by volume through 2025. In 2015, Japan’s Ministry of Land, Infrastructure, Transport and Tourism announced its new “i-construction” standard for surveying, construction, and other tasks which utilize 3D data. In order to achieve a world-leading “Super Smart Society”, the Japanese Government and construction industry have joined hands.
According to the Office for National Statistics, in Great Britain, construction output grew by 1% in the month-on-month all work series in October 2020 while the ‘new work’ and ‘repair & maintenance’ segments exhibited growth of 0.3% and 2.3% respectively.
Approximately 95% of construction, architecture, and civil engineering firms are micro-enterprises or Small and Medium-sized Enterprises (SMEs), providing stimulus to the temporary power market. According to EC, EU SME value added has grown ~4% in 2019 and ~4.2% in 2020. Despite the possibility of up and downs in the SME sector, they remain as a focal point in shaping the growth and scope of the temporary power suppliers.
According to the Associated General Contractors (AGC) of America, construction industry is a major contributor to the United States economy. As per their data, the industry creates nearly US$ 1.3 trillion worth of structures every year, employing over 680,000 people with over 7 million employees.
While temporary power has all in one solutions for space and time constraints, tight budget, and energy waste, there are a few restraints likely to come in the way of the future growth of the temporary power sources.
For instance, renewable energy plants, which are the key sources of temporary power, has several drawbacks such as fluctuating weather patterns. Thus, power equipment dependent on solar energy would be rendered ineffective on a cloudy day while those running on wind power would be unusable on a non-breezy day.
Additionally, there are sets of rules and codes to be complied with during the installation and uninstallation process of temporary power set-up. And hence, it requires experts’ handling and maintenance.
Moreover, the outbreak of the COVID-19 pandemic has induced a temporary blip across key end-user industries such as mining, building & construction, decelerating growth of the temporary power industry. According to the Construction Institute Organization (CII), in the U.K., over 80% of construction businesses plunged into recession immediately after the pandemic’s outbreak.
However, with the world getting back to the track by adopting the ‘new normal’, the market is recovering fast and forecast to grow exponentially in the coming years.
What’s Driving Growth in the U.S.?
Backed by the rapidly evolving utilities, oil & gas, and mining industry, the temporary power equipment manufacturers are poised for growth in the U.S. As per the U.S. Geological Survey 2020, 23 materials deemed as “critical minerals” were analyzed, while the report stated that U.S. has been growing exponentially in terms of mining industry, being dependent on mineral imports since the 1970s.
Despite the trough in the energy sector due to the pandemic, demand for temporary power is anticipated to exhibit an upward curve owing to the requirement from building & construction, oil & gas, and others in the near future.
As stated in the United States Energy Information Administration’s (EIA) report, U.S. oil production reached 12 million barrels per day (b/d) in December, 2018 and 12.8 million b/d in December, 2019, while the U.S. natural gas gross withdrawals reached 109.4 billion cubic feet per day (Bcf/d) in December, 2018 and 116.8 Bcf/d in December, 2019.
Attributed to these broad trends, the U.S temporary power market is slated to expand significantly across the upcoming forecast period.
Why Germany’s Renewable Energy Sector is Key to Temporary Power Demand?
Germany is set to maintain the lead, owing to the rise in demand for the diesel generator, gas generator, and other temporary power sources. The fast expansion of the building & construction industry is expected to drive the demand for temporary power in Germany, while the events & hospitality, and mining industry will have significant contribution in increasing the market revenue.
According to the European Commission (EC), the construction industry in Germany is segmented into micro, small, and medium. As stated by EC, in Germany, the production in construction registered an overall growth rate of 10.4% between the years 2010 and 2016.
As per the statistics published by the AG Energiebilanzen, in Germany, the contribution of renewables in the energy segment has risen to 35% in 2018 from 29% in both 2015 and 2016. Such investments are providing a fillip to suppliers, and manufacturers of temporary power sources, equipment, and generators across the country.
Why are Temporary Power Manufacturers Eying the UK Market??
While the U.K. is set to remain lucrative for the Europe temporary power manufacturers, the rising investments on the renewable energy sector is expected to further spur the growth of the key market players. According to the Energy UK Organization, renewables account for the production of more than 20% of the UK’s electricity and which has risen steadily to reach close to 30% in 2020.
Furthermore, several regulations and investment schemes are working in favor of the manufacturers in the temporary power industry. For instance, the Feed-in Tariff (FiT) is designated to support small scale renewable installations up to 5MW. Generators are paid a tariff through FiT for every unit of electricity they produce.
Another new scheme named ‘a Feed in Tariff with a Contract for Difference (CfD)’ has been initiated to support and encourage renewable energy production in the United Kingdom, which in turn is expected fuel the sales in the temporary power sector.
France Temporary Power Market Driven by Country’s Construction Industry
France remains highly promising in terms of demand and sales of temporary power, due to the surging demand from the industrial building & construction, utilities, and mining industries. According to the European Commission (EC), in France, the number of enterprises in the broad construction sector in France totaled 8.3 million in 2016, while companies in the narrow construction sector accounted for 60.7% of the total, followed by real estate activities (26.3%), architectural and engineering activities (11.0%) and manufacturing (2.0%).
As stated by the IEA, France has a low-carbon electricity mix owing to its large nuclear fleet, while the country has started a highly ambitious energy transition under the Energy and Climate Change Law 2019. This energy transition includes strategic designing of a national low-carbon footprint, carbon budgets, a carbon price trajectory, and a planning framework for energy investment.
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Market Scenario in Canada
Canada remains a lucrative country in the largest market for temporary power in North America. The growing investment in the various power plants coupled with the high requirement from the utilities industry is expected spur the growth of the temporary power manufacturers in Canada.
As per the North American Industry Classification System (NAICS) Canada Manual, the utility sector in Canada accounts for nearly 2% GDP growth in Canada. As per the report published by The Conference Board of Canada, the Canadian electricity sector is expected to invest US$ 293.8 billion through 2030 to maintain existing assets and meet market growth. As per the report, the expected investments are US$ 195.7 billion in generation, US$ 35.8 billion in transmission, and US$ 62.3 billion in distribution.
Furthermore, the increase in diesel fuel consumption depicts the high requirement of temporary power in Canada. According to the United States Department of Agriculture (USDA) Government, the diesel fuel consumption increased in 2018 and 2019. Despite a few constraints faced due to the pandemic, the market is highly potential in Canada.
How is the Power System Transformation Upscaling Growth in China?
Highly developed utilities and construction industry is spurring growth of the manufacturers of temporary power generators in China. As per the report named “China Power System Transformation Analysis” published by IEA in February, 2019, China’s Power System Transformation has a two-fold objective: to provide a summary of the state of play of power system transformation (PST) in China and a comprehensive discussion of PST internationally. And the second objective is, it presents findings from a detailed power sector modelling exercise for China in 2035.
As per the report named “Infrastructure Investment in China” published by the Reserve Bank of Australia, a significant proportion of investment in China since the early 1990s has been directed towards increasing the amount and improving the quality of infrastructure. As per this data, since 2004 to 2014, investment in infrastructure has accounted for between 25% and 35% of total Fixed Asset Investment (FAI) in China.
Italy Temporary Power Market to Remain in Focus
Italy is expected to witness significant rise in the demand for temporary power owing to the surge in demand from the diverse end-user industries starting from events and hospitality to construction..
As per the report named “Italian Hotel Market” published by the Hospitality Net Organization, Italian hospitality industry has grown at over ~2.5% since the past decade. Despite suffering a setback due to the COVID-19 pandemic, the requirement for hospitality & events segment is expected to aid in the growth of the temporary power equipment suppliers in Italy.
According to the European Commission (EC), the Italian construction sector is a vital part of the national economy, with its gross value added accounting for 18.7% of GDP. As per the report, the housing industry in Italy has been exhibiting significant growth since 2014, with the number of residential sale transactions increasing by 16.3%, from 444,636 in 2015 to 517,164 in 2016. On the other hand, the narrow construction and real estate segments have been a significant part of the Italy construction industry, with a share of 52.9% and 19.7% respectively in 2016.
What’s Attracting the Temporary Power Suppliers to Spain?
The Spanish landscape is grabbing several temporary power manufacturers’ eyeballs in recent year, stimulated by flourishing demand from utilities, oil, and construction industry.
The United Nations Climate Conference (COP25) was organized in Madrid in December, 2019 in order to deal with the creation of carbon market and the commitment to increase the nationally determined contributions as per the Article 6 of the Paris Agreement.
As the country is focusing on increasing the use of renewable energy to fulfil the requirement from diverse end-user industries, the revenue for the temporary power suppliers is expected to grow significantly in the near future.
Why Diesel Generator is Preferred over Others?
Diesel generators are presently highly sought-after sources for temporary power due to their abundance, light-weight, and cost effectiveness. Dual fuel generator, gas generator, solar generator are other key sources for the temporary power.
As per the statistics published by the United States Department of Energy in 2015, nearly 15 countries account for more than 75% of the world’s oil production and hold approximately 93% of its reserves. United States, China, and others being in the list, holds high potential for further growth due to the abundance of the fuels for such generators.
According to the research unit of China National Petroleum Corp (CNPC), China’s total oil demand will top out at around 690 million tonnes a year, or 13.8 million barrels per day (bpd) by 2030. As stated in their report, China’s diesel demand has peaked and the demand for gasoline is forecast to peak by 2025.
This is expected to have a significant contribution in growing the key power source segments of temporary power in the coming years.
Utilities to Emerge as the Primary End-Use Industry
The utilities sector is responsible for providing basic amenities such as water, electricity, natural gas, and others, highly require the supply of temporary power. Hence, it is expected to emerge as the primary application area in the upcoming forecast period.
As per The World Bank’s Data, average per capita electricity consumption globally is 2,782 KWh and is increasing steadily with the growing demand. The EIA’s November, 2020 report states that Japan was the fifth largest energy consumer in the world in 2019, while China became the largest energy consumer in the world.
China’s energy consumption accounts for nearly 18% of the global energy consumption since its consumption surged by 8% since 2009. Also, according to China Electricity Council, total electricity consumption in China rose by 4.5% in 2019, with the residential and services sectors recording the highest growths of 5.7% and 9.5% respectively.
As per the report, electricity consumption in the industrial sector increased by 3.1%, contributing to 48% of the consumption growth and accounted for 68% of the total electricity consumption in China in 2019. With the utilities industry gaining traction, the demand for temporary power is expected to rise exponentially in the coming years.
While the global temporary power market tends to remain moderately fragmented, the growing concern regarding energy consumption remains a key driver to bolster the growth of the manufacturers. In order to sustain in the cut-throat competition, the key players are started with diversifying their products to meet the high demand from the key end-user industries.
- Larson Electronics LLC launched its new range of Power Distribution Panels with KVA Transformers which consists of a power line feed. Load center with breakers, transformer, and outlets in 2020
- Hybrid Power Hire launched its new extensive range of temporary power set up and equipment such as Self Contained Hybrid Power Systems, Nano Series equipment which are available in models from 400VA to 3kVA and with battery capacity from 740 Whrs to 5kWhrs, and others in the last year
- Sudhir Rental Solution launched their new exclusive range of temporary power generators available on rent for cost-effective usage, such as, 30kVA-62.5 kVA Diesel Generator, 365kVA-440kVA Hire Genset, and others in 2020
- Aggreko Plc. launched its new broad range of temporary power equipment and solutions such as Aggreko Industrial Power Generator, Aggreko Loadbanks, Aggreko Electrical Distribution, and others in 2020
- Enerwhere launched its new advanced range of temporary power solutions such as Solar Hybrid Systems, Solar Rooftop Systems, Data Monitoring System to keep track of the power supply and improve it, and others in 2020
Some of the key market players are-
- Larson Electronics LLC
- Cummins, Inc.
- Aggreko Plc.
- Energyst B.V.
- SES Smart Energy Solutions FZCO
- Hybrid Power Hire
- Bennett Engineering LLC
- Sudhir Rental Solution
- Ashtead Group plc.
- Altaaqa Global
- APR Energy
*The list is not exhaustive, and only for representational purposes. Full competitive intelligence with SWOT analysis available in the report
Temporary Power Market Report: Scope
Historical Data Available for
USD Million for value
Key Regions Covered
Key Countries Covered
Key Segments Covered
Key Companies Profiled
Customization & Pricing
Key Questions Answered by the Report
- At what CAGR is the global temporary power market expected to grow?
According to Fact.MR, the global temporary power market is expected to grow at over 5% CAGR (value) during the forecast period between 2020 and 2030
- Which are the top companies in temporary power market?
Some of the top companies in global temporary power market are Larson Electronics LLC, Enerwhere, APR Energy, Altaaqa Global, Hybrid Power Hire, and others
- Which is the primary source of temporary power?
The high demand for diesel generator is fuelling the sales in the global temporary power market. As a result, the key manufacturers are eying this segment to excel further in the coming years
- Which are some lucrative markets for temporary power?
The markets in the United States, Germany, U.K, France, China, and others have emerged lucrative in terms of demand and sales of temporary power
Which is the lucrative demand generator for temporary power?
Utilities segment accounts for significant demand for temporary power globally
- What are some restraints of the temporary power market?
The limitations of the renewable energy power plants is one of the restraining factors to the temporary power equipment manufacturers and suppliers. For instance, the solar power generators are not suitable for using in the cold weather.
Furthermore, the temporary power industry got battered due to the outbreak of the COVID-19 pandemic due to the decline in demand from the key end-user industries such as the construction, utility, mining, and other industries. Additionally, the factors such as the non-operating manufacturing units during the lock down, financial constraints, unavailability of raw materials, and others have further slowed down the growth of the market earlier in 2020.
However, with the commencement of vaccination and adoption to the ‘new normal’, the market is coming back to the track steadily and expected to exhibit impressive growth in the coming years
Enquiry before Buying
- Is the temporary power research conducted by Fact.MR?
Yes, the temporary power report has been compiled by expert analysts of Fact.MR through a combination of primary and secondary research. To know more about how the research was conducted, you can speak to the research analyst
- What research methodology is followed by Fact.MR?
Fact.MR follows a methodology that encompasses the demand side assessment of the market, and triangulates the same through a supply side analysis. This methodology is based on use of standard market structure, methods and definitions.
- Who are the respondents for primary research?
Fact.MR speaks to stakeholders across the spectrum, including C-level executives, distributors, product manufacturers, industry experts. For a full list of primary respondents, please reach out to us.
- What are the sources of secondary research?
Fact.MR conducts extensive secondary research through proprietary databases, paid databases, and information available in the public domain. We refer to industry associations, company press releases, annual reports, investor presentations, and research papers. More information about desk research is available upon request.
- Is a sample of this report available for evaluation?
Yes, you can request a sample and it will be sent to you through an email.
- How can I buy this report?
Fact.MR provides a secure online payment system to buy report seamlessly. You can buy the report securely and safely.
Temporary Power Market by Category
- Diesel Generator
- Gas Generator
- Dual Fuel Generator
- Solar Generator
- Oil & Gas
- Events & Hospitality
- North America
- Latin America
- South Asia
- East Asia
- Middle East & Africa
Fact.MR’s team of energy & mining analysts has analyzed the temporary power market performance for the coming decade. The analysis has been published in Fact.MR’s new report titled “Temporary Power Market: Forecast, Trend, Analysis & Competition Tracking - Global Market Insights 2020 to 2030”. According to the analysis, the temporary power market is expected to witness an impressive growth rate owing to rising adoption of hybrid power solutions, growing reliance on renewable energy resources and increasing global energy demand. The report includes key market insights in the form of drivers, restraints, trends and opportunities that are responsible for transforming the global landscape of the temporary power market.
The report delivers global as well as regional trends in the energy sector with respect to current and future energy demand scenario and supply challenges and their impact on the growth trajectory of the temporary power market. To seamlessly fathom the temporary power market outlook, the report is divided into 16 sophisticated chapters and are discussed below in brief.
Chapter 1 – Executive Summary
The report commences with the executive summary chapter that provides the information regarding market overview, market analysis, and market recommendations based on Fact.MR’s proprietary analysis of wheel of fortune.
Chapter 2 – Market Introduction
This chapter of market introduction provides the information including market definition of the temporary power and market segmentation in the form of market taxonomy.
Chapter 3 – Market Viewpoint
The chapter of market viewpoint includes macroeconomic factors, global economic outlook and their underlying effects on the growth of the temporary power market. The elaborated insights on market dynamics in terms of drivers, restraints, trends and opportunity analysis has been included in the chapter. A list of key oil & gas projects and major events that hold significance in transforming the market are covered in this chapter.
Chapter 4 – Global Market Analysis and Forecast
The chapter delivers analysis of the temporary power market in terms of various market avenues and their relative impact on the forecast. In addition, in-depth discussion on the complete value chain of the temporary power market and overview on the power purchase agreement (PPA) is included in the report.
Chapter 5 - Global Temporary Power Market Analysis by Power Source
From this chapter, segmentation of the temporary power market is discussed elaborately in ensuing chapters. This chapter discusses the market based on the power source in the temporary power market including diesel generator, gas generator, dual fuel generator and solar generator and their respective market sizes in terms of value and volume.
Chapter 6 - Global Temporary Power Market Analysis by End-Use
Based on the end-use type in the temporary power market, the chapter discusses market performance of different end-uses including utilities, oil & gas, mining, construction, manufacturing, events & hospitality and others. Market attractive analysis has been assessed for each end use and their relative market sizes have been analyzed.
Chapter 7 - Global Temporary Power Market Analysis by Region
With the perspective of geographical regions, the temporary power market performance in total of seven regions including North America, Latin America, Western Europe, Eastern Europe, Asia Pacific Excluding China, China, and Middle East and Africa is discussed in-depth in this chapter.
Chapter 8 - North America Market Analysis and Forecast
This chapter delivers the information regarding the performance of temporary power market in the North America region. Country-wise analysis of the U.S. and Canada, and analysis of other segments based in power source type and end-use type are provided to have the overall outlook of the North America temporary power market.
Chapter 9 - Latin America Market Analysis and Forecast
Latin America temporary power market performance based on country-wise analysis of Brazil, Mexico, and rest of Latin America is covered in this chapter. In addition, Latin America market performance is analyzed based on the power source type as well as end-use type in the temporary power market.
Chapter 10 - Western Europe Market Analysis and Forecast
This chapter delivers the analysis on the Western Europe temporary power market. Country-wise analysis of the Germany, Italy, France, Spain, the UK and rest of Western Europe is covered to fathom the overall regional market performance during the forecast period.
Chapter 11 - Eastern Europe Market Analysis and Forecast
Russia, Poland and rest of Eastern Europe are the sub-segments considered for the country-wise analysis of the Eastern Europe temporary power market. Regional analysis of other market segments based on power source type and end-use type in the Eastern Europe region has been covered in this chapters.
Chapter 12 – Asia Pacific Excl. China Market Analysis and Forecast
The chapter provides analysis of the Asia Pacific Excluding China market analysis and forecast. All the market segments including based on power source types, end-use type and country-wise analysis is covered in the chapter to fathom the temporary power market outlook in Asia Pacific Excluding China.
Chapter 13 - China Market Analysis and Forecast
The chapter includes the temporary power market forecast of China based on thorough analysis of historical data and prevailing trends in the country. Considering the individual segments based on the power source type and end-use type, the China temporary power market forecast is discussed in this chapter.
Chapter 14 - Middle East & Africa Market Analysis and Forecast
The temporary power market forecast in the Middle East & Africa region is discussed in terms of historical analysis and current regional trends. Country-wise analysis of Turkey, GCC Countries, South Africa and rest of MEA have been considered to derive the regional performance of the MEA temporary power market.
Chapter 15 - Competition Landscape
This is one of the most insightful section of the report where users can find a comprehensive dashboard view of the leading market players, their market share analysis and in-detail company profiles.
Chapter 16 – Research Methodology
The robust research methodology followed during the course of the market analysis of the temporary power market is briefed in the form of graphical representation as well as market elaborated explanations on every approach taken for the market analysis. The section also provides a comprehensive list of assumption and acronyms used in the report.
Sources- The aforementioned information and derived facts have been screened after a thorough study of multiple resources such as published financial data, quarterly financial statements, 10-K & 10-Q filings, annual reports, local newspapers, company websites, company press releases, published trade data, and other data sources.
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