Report Overview

South Africa Diesel Generator Market - Industry Trends & Forecast Report, 2029

South Africa diesel generator market size was estimated to be worth USD 107.52 million in 2022. During the forecast period between 2023 and 2029, the South Africa diesel generator market size is projected to grow at a CAGR of 5.60%, reaching a value of USD 157.45 million by 2029. Major growth factors for the South Africa diesel generator market include frequent power interruptions, disrupting economic activities, along with the increasing number of data centers owing to expanding digitization. As a result, the government is significantly investing in power backup options for uninterrupted power supply for continuous economic activities.

South Africa Diesel Generator Market – Overview

A diesel generator produces electricity using an electric generator and a diesel engine. Combining the efficiencies of the diesel engine and alternator, the diesel generator has an efficiency range of 30%–50%. Generators are practical devices that provide electricity during a power outage, preventing the interruption of daily activities or business operations. They have 50% higher energy efficiency than a gasoline generator operating at the same capacity because they burn fuel using compression heat rather than spark ignition.

South Africa Diesel Generator Market

Growth Drivers

Government Initiatives toward Infrastructure Development

South Africa is one of the major emerging economies in the world. The demand for residential and commercial structures is expanding along with the economy's fast urbanization, which increases the need for investment in infrastructure development. The country's demand for a reliable power supply is also being fueled by the expansion of the IT infrastructure and the rising number of data centers there. However, frequent power outages might slow the rate of development. As a result, South Africa is experiencing a sharp increase in demand for diesel generators for emergency power backup systems, driving the expansion of the overall market growth.

Restraints

Growing Preference for Clean Energy

The environmental impact of diesel generators is the major factor restricting its market growth in South Africa. The major concern regarding diesel generators is related to their emissions. Nitrogen oxides (NOx), particulate matter (PM), and carbon monoxide (CO) are among the pollutants that diesel engines emit in greater quantities. The fuel usage of diesel generators is still another issue. Since diesel is a fossil fuel, when it is used, greenhouse gasses are released into the environment. Greenhouse gasses have a significant role in climate change, a serious environmental issue. As a result, both the government and the private players are shifting towards clean energy sources such as solar energy, which may limit the overall South Africa diesel generator market growth.

Impact of COVID-19 on the South Africa Diesel Generator Market

The COVID-19 pandemic disrupted the growth of South Africa diesel generator market. The severe restrictions imposed by the South African government on economic activities, especially the operations of the main end users of diesel generators, had a detrimental effect on the market's expansion. Additionally, supply chain disruptions brought about by lockdowns in many regions of the world slowed the market's expansion. However, a growing remote working culture and the requirement for a constant power supply in data centers are expected to propel the growth of the diesel generator industry in the years following COVID-19.

South Africa Diesel Generator Market

Segmental Coverage

South Africa Diesel Generator Market – By Power Rating

Based on power rating, the South Africa diesel generator market is divided into Up to 100 KVA, 100–350 KVA, 350–750 KVA, 750– 1000 KVA, 1000–2000 KVA, 2000–3000 KVA, Above 3000 KVA. The 1000–2000 KVA power rating segment holds the largest share in the market since it can run continuously for 24 hours or more and only needs refilling every 8 to 12 hours or so. However, up to 100 KVA is projected to grow at a high CAGR during the forecast period owing to its extensive usage in residential and small-scale establishments.

South Africa Diesel Generator Market – By Application

Based on application, the South Africa diesel generator market is segmented into manufacturing, construction, telecom, mining, data centers, tourism, banking, and others. The telecom sector accounts for the highest share of the South Africa diesel generator market. The rising digitization and increasing internet penetration further propel the need for uninterrupted power supply in the telecom industry to keep the cell tower sites powered and in service. Following telecom, the construction industry also covers substantial market growth owing to the rising growth in the sector for the infrastructural development of the country.

Competitive Landscape

Major players operating in the South Africa diesel generator market include Yamaha Motor Co. Ltd, Cummins Inc., Kirloskar Oil Engines Limited, Yanmar Holdings Co., Ltd, Caterpillar Inc., Briggs & Stratton Corporation, Mitsubishi Hitachi Power Systems Ltd, Honda Siel Power Products Limited, Aggreko Ltd, and Kohler Co. These companies employ various strategies to further enhance their market share, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Power Rating

• Up to 100 KVA

• 100–350 KVA

• 350–750 KVA

• 750–1000 KVA

• 1000–2000 KVA

• 2000–3000 KVA

• Above 3000 KVA

By Application

• Manufacturing

• Construction

• Telecom

• Mining

• Data Center

• Tourism

• Banking

• Others

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. South Africa Diesel Generator Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Rapid growth in telecom sector
         2. Government initiatives towards infrastructure development
      2. Restraints
         1. Growing preference for clean energy
         2. Harmful effects of DG Sets
      3. Opportunity
         1. Growing Demand for uninterrupted and reliable power supply
         2. Increase in frequency of power outages
      4. Challenges
         1. Rising usage of hybrid gensets
   3. Application 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. South Africa Diesel Generator Market Overview
   1. Market Application & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
         1. Up to 100 KVA
         2. 100–350 KVA
         3. 350–750 KVA
         4. 750–1000 KVA
         5. 1000–2000 KVA
         6. 2000–3000 KVA
         7. Above 3000 KVA
      2. By Application
         1. Manufacturing
         2. Construction
         3. Telecom
         4. Mining
         5. Data Center
         6. Tourism
         7. Banking
         8. Others
5.  Competitive Landscape
   1. List of Key Players and Their Offerings
   2. South Africa Diesel Generator Company Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Covid-19 on South Africa Diesel Generator Market
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Yamaha Motor Co. Ltd
   2. Cummins Inc
   3. Kirloskar Oil Engines Limited
   4. Yanmar Holdings Co., Ltd
   5. Caterpillar Inc
   6. Briggs & Stratton Corporation
   7. Mitsubishi Hitachi Power Systems Ltd
   8. Honda Siel Power Products Limited
   9. Aggreko Ltd
   10. Kohler Co.
   11. Other Prominent Players
8. Key Strategic Recommendations
9. 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 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       South Africa Diesel Generator Segmentation

Figure 2       South Africa Diesel Generator Market Value Chain Analysis        

Figure 3       Company Market Share Analysis, 2022

Figure 4       South Africa Diesel Generator Market Share, By Power Rating, By Value (USD Million), 2019–2029       

Figure 5       South Africa Diesel Generator Market Share, By Application, By Value, 2019–2029         

List of Tables

Table 1        South Africa Diesel Generator Market Share, By Power Rating, By Value (USD Million), 2019–2029       

Table 2        South Africa Diesel Generator Market Share, By Application, By Value, 2019–2029         

Table 3        Yamaha Motor Co. Ltd Company Overview

Table 4        Yamaha Motor Co. Ltd Financial Overview

Table 5        Cummins Inc Company Overview

Table 6        Cummins Inc Financial Overview

Table 7        Kirloskar Oil Engines Limited Company Overview

Table 8        Kirloskar Oil Engines Limited Financial Overview

Table 9        Yanmar Holdings Co., Ltd Company Overview

Table 10      Yanmar Holdings Co., Ltd Financial Overview

Table 11      Caterpillar Inc, Company Overview

Table 12      Caterpillar Inc, Financial Overview

Table 13      Briggs & Stratton Corporation Company Overview

Table 14      Briggs & Stratton Corporation Financial Overview

Table 15      Mitsubishi Hitachi Power Systems Ltd Company Overview

Table 16      Mitsubishi Hitachi Power Systems Ltd Financial Overview

Table 17      Honda Siel Power Products Limited Company Overview

Table 18      Honda Siel Power Products Limited Financial Overview

Table 19      Aggreko Ltd Company Overview

Table 20      Aggreko Ltd Financial Overview

Table 21      Kohler Co. Company Overview

Table 22      Kohler Co. Financial Overview