Report Overview

Africa Diesel Genset Market - Industry Trends & Forecast Report 2028

Africa Diesel Genset Market is expected to grow at a CAGR of 6.4% during the forecast period (2022–2028). The market expansion is due to the commercial sector's high demand for medium- and high-power diesel gensets as well as the expansion of the manufacturing and construction sectors. Macroeconomic progress, increasing capital expenditures (CAPEX) by public and private enterprises, as well as government reforms and incentives to promote foreign and domestic investments in a variety of industries. The well-developed legal, financial, communications, and transport sectors, as well as an open trade policy and a reasonably robust domestic market, are major pillars of Africa's economy. The demand for an uninterrupted power supply is also being fueled by government initiatives to build healthcare facilities and health & wellness centers, revive the power sector, and establish business hubs and industries.

Diesel Genset - Overview

Diesel generators are machines that generate electricity and meet demand during times of grid failure, power outages, emergencies, and so on. These generators are widely used in Africa's various sectors, including residential, mining and quarrying, industrial and construction, oil and gas, and telecommunications, due to benefits including low maintenance costs, durability, safe storage, reliability, easy access to fuel, and higher power output.

Africa Diesel Genset Market Forecast and Trends

Growth Drivers

End-user industries driving demand for diesel generators

Due to stringent regulations, leading companies in the diesel gensets market are constantly having trouble finding next-generation diesel generators. The generators of the future have electronic governors and automatic voltage regulators built in. The generators are more energy-efficient owing to these technologies, which mechanically regulate the speed of the generator engines as needed. Additionally, they include some extra features like remote genset monitoring. These advancements may give diesel gensets a longer lifespan, helping the market to expand. Governments across African nations are concentrating on achieving several development goals, including increasing the time needed to set up the distribution and transmission infrastructure, and achieving a significant improvement in the rate of rural electrification. All these factors are expected boost the further growth of Africa diesel genset market during the forecast period.

Government programs to develop infrastructure

Due to government initiatives, such as the National Transport Master Plan 2050, Vision 2025, and National Development Plan (NDP) 2030, electricity demand is expected to increase in South Africa over the next few years, which is expected to drive the growth of Africa diesel genset market. By 2030, the NDP wants to significantly reduce both poverty and inequality. Additionally, the country performs well among African counterparts in terms of infrastructure for transportation and logistics, as well as trade facilitation. It results in offering lucrative growth opportunities for Africa diesel genset market.

Increasing demand for hybrid, bi-fuel, and inverter generators

In an effort to find alternative energy sources to replace conventional fossil fuels, new and innovative fuel sources are currently being developed. Many OEMs are now offering hybrid generators, which are essentially internal combustion engines with a battery. When the load is high, these hybrid gensets supply power directly to the engine, while when the load is low, the battery supplies power. They reduce generator running time, fuel consumption, and noise. They have several advantages over traditional gensets and are expected to make inroads into mobile gensets, which are primarily used in remote area applications, urban construction sites, and the mining industry.

Restraints

Environmental concerns

Numerous residential, commercial, and industrial uses exist for diesel generators. Burning diesel releases nitrogen oxides, carbon monoxide, and particulates. These emissions damage both the environment and occupants as they are directly released into the atmosphere. Around the world, a number of regulations have been put into place to lessen the air and noise pollution caused by generator sets. As environmental concerns have increased, countries have developed their own set of rules and policies to cut back on air pollution. Depending on the volume of emissions from dangerous gases, such as SOx, NOx, and CO2, countries of Africa have various environmental laws, policies, and subsidy programs.  Ship component manufacturers are focused on the development of marine propulsion systems that comply with various environment regulations formulated by governments across Africa. This presents a significant challenge for emerging and local companies operating in the generator sales market.

Impact of COVID-19 on Africa Diesel Genset Market

COVID-19 pandemic has led to a decline in demand from the power range. This is mainly due to limited mining, industrial, and construction activities in various African countries for non-essential products as a result of the COVID-19 outbreak. The majority of the countries in the region have widely adopted work-from-home policies, which has significantly increased the demand for internet services and video & audio-conferencing equipment from service sector businesses. As a result, demand for diesel generators from datacenters has increased.

Africa Diesel Genset Market - By End User

Based on end user, Africa diesel genset market is segmented into BFSI, Construction, Datacenter, Manufacturing, Mining & Quarrying, Oil & Gas, Residential, Telecom, and Others. The residential segment is expected to generate the most lucrative growth prospects for the diesel generator market in Africa between 2022 and 2028. It is primarily due to the rapid improvement in the economies of various countries, i.e., a growing adoption of home appliances in the residential sector and rising demand for diesel generators for a continuous and stable energy supply. Furthermore, the growing government focus on smart city developments, which is leading to an increase in energy-efficient solutions, is another factor that is augmenting demand for diesel generators as a primary source of power generation and, as a result, driving the market through 2028.

Africa Diesel Genset Market – By Power Rating

Based on power rating, Africa diesel genset market is segmented into Up to 30 kW, 30.1 to 60 kW, 60.1 to 150 kW, 150.1 to 300 kW, 300.1 to 500 kW, 500.1 to 1,000 kW, and Above 1,000 kW. Among these, the segment up to 30.1 to 60 kW is expected to grow at the fastest CAGR during the forecast period. The increased demand for backup power solutions in the residential sector is driving the demand for generators with power ratings of up to 30.1 to 60 kW. Generators with power ratings of up to 30.1 to 60 kW are also used to provide backup power for small-scale commercial activities, such as telecommunications, retail, and others. These generators are also used in recreational vehicles, fire and emergency vehicles, utility and telecom fleets, and other specialty vehicles that require prime power. All these factors boost the growth of Africa diesel genset market during the forecast period (2022–2028).

Africa Diesel Genset Market - By Country

Africa diesel genset market by country is segmented into Algeria, Egypt, Ethiopia, Ghana, Kenya, Nigeria, South Africa, Tanzania, Uganda, and Others. In previous years, South Africa dominated Africa diesel generator market with the largest share. It is primarily due to numerous government investments and favorable policies, resulting in a growing establishment of multinational corporations and start-ups across the country. As a result, the demand for diesel generators is increasing to meet the increasing electricity requirements for these companies' business operations. Nigeria, on the other hand, is expected to dominate the market with the largest share between 2022 and 2028, owing to the easy and abundant availability of fossil fuels, as well as poor infrastructure, which results in lower transmission capabilities and massive energy consumption. As a result, the demand for diesel generators is increasing to meet the increasing needs for electricity. Additionally, the leading players are expected to witness significant growth opportunities to increase their production capacities and drive the overall market growth through 2028 because the majority of the population in the country uses small-capacity diesel generators.

Competitive Landscape

Leading players in Africa diesel genset market include Aggreko PLC., Aksa Power Generation, Atlas Copco AB, Briggs & Stratton Corporation, Caterpillar Inc., Cummins Inc., Deere & Company, Kirloskar Oil Engines Limited, Kohler Co., Mitsubishi Heavy Industries Ltd., MTU Onsite Energy Corporation, and Yanmar Holdings Co., Ltd.

Africa diesel genset market is highly fragmented with the presence of several manufacturing companies. The market leaders retain their supremacy by spending on research and development, incorporating innovative technology into their goods, and releasing upgraded items for customers. They execute various strategies, including strategic alliances, agreements, mergers, and partnerships.

Recent Developments

Scope of the Report

By End User

• BFSI
• Construction
• Datacenter
• Manufacturing
• Mining & Quarrying
• Oil & Gas
• Residential
• Telecom
• Others

By Power Rating

• Up to 30 kW
• 30.1 to 60 kW
• 60.1 to 150 kW
• 150.1 to 300 kW
• 300.1 to 500 kW
• 500.1 to 1,000 kW
• Above 1,000 kW

By Countries

• Algeria
• Egypt
• Ethiopia
• Ghana
• Kenya
• Nigeria
• South Africa
• Tanzania
• Uganda
• Others

1. Research Framework
   1. Research Objective
   2. Market Overview
   3. Market Segmentation
2. Executive Summary
3. Africa Diesel Genset Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Growing demand for reliable power supply
         2. Growth of hybrid renewable energy systems
         3. Increase in blackouts and long power failures in those regions
      2. Restraints
         1. Rise of renewable energy technologies
      3. Opportunities
         1. Growth of industrialization and urbanization
         2. Access to electricity in rural and remote areas
      4. Challenges
         1. High operating and maintenance costs
   3. Technology Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Africa Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
         1. BFSI
         2. Construction
         3. Datacenter
         4. Manufacturing
         5. Mining & Quarrying
         6. Oil & Gas
         7. Residential
         8. Telecom
         9. Others
      2. By Power Rating
         1. Up to 30 kW
         2. 30.1 to 60 kW
         3. 60.1 to 150 kW
         4. 150.1 to 300 kW
         5. 300.1 to 500 kW
         6. 500.1 to 1,000 kW
         7. Above 1,000 kW
      3. By Countries
         1. Algeria
         2. Egypt
         3. Ethiopia
         4. Ghana
         5. Kenya
         6. Nigeria
         7. South Africa
         8. Tanzania
         9. Uganda
         10. Others
5. Algeria Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
      2. By Power Rating
6. Egypt Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
      2. By Power Rating
7. Ethiopia Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
      2. By Power Rating
8. Ghana Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
      2. By Power Rating
9. Kenya Diesel Genset Market Overview
   1. Market Size & Forecast, 2018–2028
      1. By Value (USD Million)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By End User
      2. By Power Rating
10. Nigeria Diesel Genset Market Overview
    1. Market Size & Forecast, 2018–2028
       1. By Value (USD Million)
       2. By Volume (Thousand Units)
    2. Market Share & Forecast
       1. By End User
       2. By Power Rating
11. South Africa Diesel Genset Market Overview
    1. Market Size & Forecast, 2018–2028
       1. By Value (USD Million)
       2. By Volume (Thousand Units)
    2. Market Share & Forecast
       1. By End User
       2. By Power Rating
12. Tanzania Diesel Genset Market Overview
    1. Market Size & Forecast, 2018–2028
       1. By Value (USD Million)
       2. By Volume (Thousand Units)
    2. Market Share & Forecast
       1. By End User
       2. By Power Rating
13. Uganda Diesel Genset Market Overview
    1. Market Size & Forecast, 2018–2028
       1. By Value (USD Million)
       2. By Volume (Thousand Units)
    2. Market Share & Forecast
       1. By End User
       2. By Power Rating
14. Rest of Africa Diesel Genset Market Overview
    1. Market Size & Forecast, 2018–2028
       1. By Value (USD Million)
       2. By Volume (Thousand Units)
    2. Market Share & Forecast
       1. By End User
       2. By Power Rating
15. Competitive Landscape
    1. List of Key Players and Their Offerings
    2. Africa Diesel Genset Company Market Share Analysis, 2021
    3. Competitive Benchmarking, By Operating Parameters
    4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
16. Impact of Covid-19 on Africa Diesel Genset Market
17. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT)
    1. Aggreko PLC.
    2. Aksa Power Generation
    3. Atlas Copco AB
    4. Briggs & Stratton Corporation
    5. Caterpillar Inc.
    6. Cummins Inc.
    7. Deere & Company
    8. Kirloskar Oil Engines Limited
    9. Kohler Co.
    10. Mitsubishi Heavy Industries Ltd.
    11. MTU Onsite Energy Corporation
    12. Yanmar Holdings Co., Ltd.
    13. Other Prominent Players
18. Key Strategic Recommendations
19. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3. Market Breakdown & Data Triangulation
       1. Secondary Research
       2. Primary Research
    4. Breakdown of Primary Research Respondents, By Region
    5. Assumptions & Limitations

*Financial information of case of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List Of Figures

Figure 1        Africa Diesel Genset Market Segmentation

Figure 2        Africa Diesel Genset Market Value Chain Analysis

Figure 3        Company Market Share Analysis, 2021

Figure 4        Africa Diesel Genset Market Size, By Value (USD Million), 2018–2028

Figure 5        Africa Diesel Genset Market Share, By End User, By Value, 2018–2028

Figure 6        Africa Diesel Genset Market Share, By Power Rating, By Value, 2018–2028

Figure 7        Africa Diesel Genset Market Share, By Countries, By Value, 2018–2028

Figure 5        Algeria Diesel Genset Market Share, By End User, By Value, 2018–2028         

Figure 6        Algeria Diesel Genset Market Share, By Power Rating, By Value, 2018–2028   

Figure 7        Egypt Diesel Genset Market Share, By End User, By Value, 2018–2028 

Figure 8        Egypt Diesel Genset Market Share, By Power Rating, By Value, 2018–2028     

Figure 9        Ethiopia Diesel Genset Market Share, By End User, By Value, 2018–2028       

Figure 10       Ethiopia Diesel Genset Market Share, By Power Rating, By Value, 2018–2028  

Figure 11       Ghana Diesel Genset Market Share, By End User, By Value, 2018–2028

Figure 12       Ghana Diesel Genset Market Share, By Power Rating, By Value, 2018–2028    

Figure 13       Kenya Diesel Genset Market Share, By End User, By Value, 2018–2028

Figure 14       Kenya Diesel Genset Market Share, By Power Rating, By Value, 2018–2028    

Figure 15       Nigeria Diesel Genset Market Share, By End User, By Value, 2018–2028         

Figure 16       Nigeria Diesel Genset Market Share, By Power Rating, By Value, 2018–2028   

Figure 17       South Africa Diesel Genset Market Share, By End User, By Value, 2018–2028  

Figure 18       South Africa Diesel Genset Market Share, By Power Rating, By Value, 2018–2028      

Figure 19       Tanzania Diesel Genset Market Share, By End User, By Value, 2018–2028      

Figure 20       Tanzania Diesel Genset Market Share, By Power Rating, By Value, 2018–2028

Figure 21       Uganda Diesel Genset Market Share, By End User, By Value, 2018–2028        

Figure 22       Uganda Diesel Genset Market Share, By Power Rating, By Value, 2018–2028

Figure 23       Others Diesel Genset Market Share, By End User, By Value, 2018–2028         

Figure 24       Others Diesel Genset Market Share, By Power Rating, By Value, 2018–2028

List Of Tables

Table 1         Africa Diesel Genset Market Size, By Type, By Value, 2018–2028

Table 2         Africa Diesel Genset Market Size, By Application, By Value, 2018–2028

Table 3         Africa Diesel Genset Market Size, By Source, By Value, 2018–2028

Table 4         Algeria Diesel Genset Market Size, By End User, By Value, 2018–2028  

Table 5         Algeria Diesel Genset Market Size, By Power Rating, By Value, 2018–2028     

Table 6         Egypt Diesel Genset Market Size, By End User, By Value, 2018–2029   

Table 7         Egypt Diesel Genset Market Size, By Power Rating, By Value, 2018–2028       

Table 8         Ethiopia Diesel Genset Market Size, By End User, By Value, 2018–2028

Table 9         Ethiopia Diesel Genset Market Size, By Power Rating, By Value, 2018–2028    

Table 10        Ghana Diesel Genset Market Size, By End User, By Value, 2018–2028  

Table 11        Ghana Diesel Genset Market Size, By Power Rating, By Value, 2018–2028      

Table 12        Kenya Diesel Genset Market Size, By End User, By Value, 2018–2032  

Table 13        Kenya Diesel Genset Market Size, By Power Rating, By Value, 2018–2032      

Table 14        Nigeria Diesel Genset Market Size, By End User, By Value, 2018–2028 

Table 15        Nigeria Diesel Genset Market Size, By Power Rating, By Value, 2018–2028     

Table 16        South Africa Diesel Genset Market Size, By End User, By Value, 2018–2028    

Table 17        South Africa Diesel Genset Market Size, By Power Rating, By Value, 2018–2028        

Table 18        Tanzania Diesel Genset Market Size, By End User, By Value, 2018–2028        

Table 19        Tanzania Diesel Genset Market Size, By Power Rating, By Value, 2018–2028   

Table 20        Uganda Diesel Genset Market Size, By End User, By Value, 2018–2028 

Table 21        Uganda Diesel Genset Market Size, By Power Rating, By Value, 2018–2028     

Table 22        Others Diesel Genset Market Size, By End User, By Value, 2018–2028  

Table 23        Others Diesel Genset Market Size, By Power Rating, By Value, 2018–2028

Table 24        Aggreko PLC. Company Overview

Table 25        Aggreko PLC. Financial Overview

Table 26        Aksa Power Generation Company Overview

Table 27        Aksa Power Generation Financial Overview

Table 28        Atlas Copco AB Company Overview

Table 29        Atlas Copco AB Financial Overview

Table 30        Briggs & Stratton Corporation Company Overview

Table 31        Briggs & Stratton Corporation Financial Overview

Table 32        Caterpillar Inc. Company Overview

Table 33        Caterpillar Inc. Financial Overview

Table 34        Cummins Inc. Company Overview

Table 35        Cummins Inc. Financial Overview

Table 36        Deere & Company Company Overview

Table 37        Deere & Company Financial Overview

Table 38        Kirloskar Oil Engines Limited Company Overview

Table 39        Kirloskar Oil Engines Limited Financial Overview

Table 40        Kohler Co. Company Overview

Table 41        Kohler Co. Financial Overview

Table 42        Mitsubishi Heavy Industries Ltd. Company Overview

Table 43        Mitsubishi Heavy Industries Ltd. Financial Overview

Table 44        MTU Onsite Energy Corporation Company Overview

Table 45        MTU Onsite Energy Corporation Financial Overview

Table 46        Yanmar Holdings Co., Ltd. Company Overview

Table 47        Yanmar Holdings Co., Ltd. Financial Overview