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Unreliable Power Grid Coupled with Rising Commercial and Industrial Sectors to Spur the Market for Diesel Gensets in Indonesia - 6Wresearch

09 February, 2016

Growing energy demand due to rising population, expanding infrastructure, commercialization, industrialization and urbanization are the key factors spurring diesel genset market in Indonesia. Lack of investments in power sector has led to power shortages and lower electrification ratio in the country. Further, need to provide uninterrupted power supply on account of increasing electricity demand-supply gap have boosted diesel genset market in Indonesia.

According to 6Wresearch, Indonesia Diesel Genset market is forecast to grow at a CAGR of 6.7% during 2016-22. In Indonesia, telecommunication sector is the key demand driver for diesel gensets, where these are used to provide continuous and backup power to telecom towers. Additionally, industrial and residential consumers in remote areas are dependent on diesel gensets due to inadequate electricity transmission network. Diesel gensets dominate the overall Indonesia’s genset market; however, adoption of alternative fuel powered and gas based gensets are expected to surge in the country.

According to Avishrant Mani, Senior Research Analyst, Research and Consulting, 6Wresearch, “Diesel gensets with ratings 5-75 KVA have captured majority of share in Indonesia’s diesel genset market owing to their usage in wide range of applications from residential to large industries”.

“However, medium rating diesel gensets are anticipated to exhibit highest growth rate owing to increasing demand from manufacturing facilities, small businesses, hospitality, hotels, commercial centers and IT/ITeS industry” Avishrant further added.

According to Ravi Bhandari, Research Associate, Research and Consulting, 6Wresearch, “Commercial vertical holds the majority of share in Indonesia diesel genset market and is anticipated to remain the highest revenue generating segment in the forecast period, owing to growing telecommunication, small businesses and data center market in Indonesia”.

“Moreover, government emphasis to attract foreign investments and encourage more private players in infrastructure sector would further boost the demand for diesel gensets for construction activities”, Ravi further added.

The major companies in Indonesia diesel genset market include- Caterpillar, Deutz, Perkins, Yanmar, MTU, Cummins, PT. Dein Prima and others.

“Indonesia Diesel Genset Market (2016-2022)” provides in-depth analysis with 125 figures and 53 tables covered in more than 200 pages. The report estimates and forecast overall Indonesia diesel genset market by revenue, volume, KVA rating of diesel gensets, verticals such as commercial, industrial, residential & construction and their subs-segments, applications such as standby & prime and region. The report also gives the insights on competitive landscape, market share by companies, market trends, price trends, company profiles, market drivers and restraints.

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