An Ever-Increasing Demand for Diesel Generators in Saudi Arabia

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Saudi Arabia Diesel Generator Market

Due to extreme weather conditions, natural disasters, or electrical grid failure, power outages are becoming highly common across different corners of the world, including Saudi Arabia. Ever-increased use of technology & electronic devices that rely on electricity has pushed the need for an uninterrupted power supply. As a result, diesel generators are becoming increasingly crucial across the country, especially in hospitals, data centers, fuel stations, communication towers, & transportation operations, etc., to ensure a continuous power supply for seamless operations as well as public safety. These machines come in handy at times of power outages & emergencies and also take off the burden from power grids during peak load hours.

In light of their increasing demand, a research study by MarkNtel Advisors has cited that the Saudi Arabia Diesel Generator Market is set to record around 5% CAGR during 2021-26. The rise in construction activities associated with water treatment plants, hotels, government buildings, etc., coupled with numerous ongoing & upcoming urban city development projects across the country, would drive the industry in the coming years. The active efforts of the Saudi government toward diversifying the economy away from the oil & gas sector are demonstrating an increasing number of construction projects across the country, i.e., amplifying the demand for diesel generators to deliver an uninterrupted power supply for the smooth running of operations.

Key Application Areas of Diesel Generators

Being affordable, durable, low maintenance, & highly efficient, diesel generators are a go-to when it comes to ensuring a 24*7 power supply. Below are some prominent areas of application for these machines, where their demand is continuously rising. Have a look:

  • Commercial Sector

Saudi Arabia is witnessing continuous developments in the commercial domain with the increasing establishment of businesses and healthcare infrastructure developments, coupled with the increasing number of hotels, malls, resorts, & corporate centers, among others, to boost the tourism industry. As a result, the demand for diesel generators is rapidly rising in the country, primarily as a backup power source to tackle power interruptions caused due to voltage fluctuations & electrical outages.

  • Power Stations

One of the largest consumers of diesel generators is thermal or nuclear power stations that require these machines as an emergency backup power source for the plant’s critical auxiliary equipment like hydraulic units, battery chargers, fans, cooling pumps, etc. Moreover, in the case of hydropower plants, DGs provide emergency power to the spillway gates in order to prevent the water from flowing from the top of the dam during flood conditions.

  • Construction Activities

Diesel generators are among the integral equipment required in the building & construction sector. In line with Saudi Vision 2030, the government is massively investing in infrastructural developments and smart city projects, i.e., stimulating the demand for these generators to ensure uninterrupted power supply for the construction equipment & machinery.

  • Communication Towers

Sectors involved in mission-critical activities, such as hospitals, police, defense, etc., are highly dependent on communication towers for information & data exchange. A power outage situation can cause disruptions to such operations, and results could be severe. Hence, these towers require diesel generators for an uninterrupted power supply to ensure a continuous communication channel for those running critical operations.

Summing Up

Diesel generators are being used extensively across many industries either as an emergency backup or as the primary source of electricity supply. Consequently, there are growing requirements to combat environmental concerns associated with their usage, i.e., leading to numerous technological advancements in these machines. Across many other parts of the world, clean generators with extremely low emissions are gaining ground, owing to the mounting focus on achieving sustainable & reliable power generation sources during electrical grid failures. Hence, these aspects are creating new avenues for the Saudi Arabia Diesel Generator Market to witness lucrative prospects in the coming years.

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