Power Rental Market Insights: USD 23.5 Bn by 2034

Overview

New York, NY – June 17, 2025 – The Global Power Rental Market is experiencing strong growth, driven by rising demand for reliable and flexible power solutions across various industries. Valued at USD 11.5 billion in 2024, the market is projected to reach USD 23.5 billion by 2034, growing at a CAGR of 7.4% from 2025 to 2034.

In 2024, Diesel-Powered Solutions commanded a 67.2% share of the Power Rental Market’s fuel type segment, maintaining their stronghold due to their unmatched reliability and rapid deployment capabilities. Generators led the Power Rental Market’s equipment segment in 2024, capturing a 72.3% share. Their dominance stems from their versatility, portability, and quick setup, making them essential for diverse applications like construction.

The 501–2,500 kW power range held a leading 43.7% share of the Power Rental Market in 2024, driven by its suitability for medium to large-scale operations like mining, industrial facilities, and infrastructure projects. The Construction Sector led the Power Rental Market’s end-use segment in 2024, accounting for a 34.1% share. This reflects the sector’s heavy reliance on temporary power for operating tools, machinery, and lighting in areas with limited or unreliable grid access.

Key Takeaways

• Global Power Rental Market is expected to be worth around USD 23.5 billion by 2034, up from USD 11.5 billion in 2024, and grow at a CAGR of 7.4% from 2025 to 2034.
• Diesel fuel dominates the Power Rental Market with a significant share of 67.2% in 2024.
• Generators lead the equipment segment, accounting for a dominant 72.3% market share in power rental.
• Power ratings between 501–2,500 kW captured a 43.7% share, addressing mid-to-large scale energy needs.
• The construction sector emerged as the top end-use industry, holding a strong 34.1% market share.
• North America reached a market value of USD 5.3 billion in 2024.

How Growth is Impacting the Economy

• The Power Rental Market’s robust growth significantly boosts global economies by enabling uninterrupted operations across key sectors. Particularly in North America and the Asia Pacific, where construction and industrial projects drive job creation and economic output. Temporary power solutions support critical operations in remote areas, enhancing productivity in mining, oil & gas, and manufacturing.
• In developing regions, rental power mitigates grid unreliability, fostering business continuity and attracting foreign investments. The market’s expansion also spurs innovation in fuel-efficient equipment, reducing operational costs and environmental impact. This growth creates opportunities for rental companies, stimulates local economies through service contracts, and supports disaster recovery efforts, ensuring resilience and economic stability in outage-prone areas.

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Strategies for Businesses

• Businesses in the Power Rental Market should prioritize fleet diversification, incorporating hybrid and eco-friendly generators to meet rising sustainability demands. Expanding into emerging markets like Asia Pacific, where construction and energy needs are surging, can drive revenue growth.
• Leveraging digital tools for predictive maintenance and real-time monitoring enhances operational efficiency and customer satisfaction. Forming strategic partnerships with construction and event management firms ensures steady demand. Additionally, offering flexible rental plans tailored to short-term and long-term needs can attract a broader client base, while investing in training for rapid deployment strengthens competitive positioning in this dynamic market.

Report Scope

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Key Market Segments

By Fuel Type Analysis

• In 2024, Diesel-Powered Solutions commanded a 67.2% share of the Power Rental Market’s fuel type segment, maintaining their stronghold due to their unmatched reliability and rapid deployment capabilities. Diesel generators are favored across industries like construction, mining, and oil and gas, particularly in remote areas with weak or no grid infrastructure. Their high power output and durability make them ideal for heavy-duty applications, including emergency power restoration post-natural disasters and large-scale events.
• Despite growing environmental concerns, diesel’s dominance persists due to its cost-effectiveness, widespread fuel availability, and lower rental costs compared to alternatives. The ease of integrating diesel generators into existing logistics and maintenance systems further enhances their appeal. While greener options are gaining attention, diesel remains the go-to choice in regions with limited access to cleaner energy, solidifying its market leadership.

By Equipment Analysis

• Generators led the Power Rental Market’s equipment segment in 2024, capturing a 72.3% share. Their dominance stems from their versatility, portability, and quick setup, making them essential for diverse applications like construction, emergency response, and outdoor events. Generators provide reliable, grid-independent power, ensuring uninterrupted operations in planned or emergency scenarios.
• Their ability to perform under varied environmental and load conditions cements their position as the backbone of rental power solutions. Rental companies prioritize maintaining large fleets of diesel and hybrid generators to meet diverse client needs, reflecting their critical role in addressing short-term power demands, especially in outage-prone or off-grid regions.

By Power Rating Analysis

• The 501–2,500 kW power range held a leading 43.7% share of the Power Rental Market in 2024, driven by its suitability for medium to large-scale operations like mining, industrial facilities, and infrastructure projects. This range offers a balance of high power output and cost-effective temporary deployment, making it ideal for both continuous and standby applications.
• Its versatility supports energy-intensive operations while maintaining affordability, appealing to industries requiring reliable power in challenging environments. The segment’s dominance reflects its high utilization across diverse geographies, particularly in areas with ongoing development, where scalable and dependable power is essential.

By End-use Analysis

• The Construction Sector led the Power Rental Market’s end-use segment in 2024, accounting for a 34.1% share. This reflects the sector’s heavy reliance on temporary power for operating tools, machinery, and lighting in areas with limited or unreliable grid access. Construction projects, from urban developments to infrastructure initiatives, depend on rented generators for their flexibility and mobility across project phases.
• The segment’s strong demand is driven by global urbanization and government-funded infrastructure, with mid-range power equipment being particularly favored for its reliability and quick deployment. The construction industry’s need for uninterrupted power ensures its continued dominance in the power rental market.

Regional Analysis

• In 2024, North America solidified its leadership in the global Power Rental Market, capturing a 46.7% share and generating USD 5.3 billion in market value. This dominance is fueled by extensive infrastructure modernization, frequent power disruptions, and robust demand from the construction and oil & gas industries. The U.S. and Canada consistently utilize rental power solutions for industrial, commercial, and emergency needs. Europe maintained stable demand, driven by backup power requirements during grid maintenance and energy transition initiatives, though its market size trailed North America.
• The Asia Pacific region exhibited strong growth, propelled by booming construction and rising energy needs in developing nations, yet it fell short of North America’s market value. The Middle East & Africa saw significant adoption of power rental services, particularly in regions with unreliable grids and active development projects. Latin America experienced steady growth, supported by power instability and construction activity. North America’s commanding share and revenue underscored its pivotal role in advancing the global Power Rental Market, maintaining a clear edge over other regions in temporary power solutions deployment in 2024.

Recent Developments

1. Aggreko

• Aggreko has expanded its hybrid power solutions, combining solar, battery storage, and diesel generators to reduce emissions. The company recently deployed a 60MW temporary power plant in Africa to support grid stability. Aggreko also introduced HVO (Hydrotreated Vegetable Oil)-compatible generators for cleaner energy. They continue to focus on sustainability with their “Greener Upgrades” initiative.

2. APR Energy

• APR Energy has been integrating fast-track gas turbine solutions for rapid power deployment. They recently supplied 150MW of temporary power to an Asian utility to address energy shortages. The company emphasizes modular, mobile power plants with lower emissions. Mitsubishi’s acquisition has strengthened its global reach in rental power.

3. Atlas Copco

• Atlas Copco launched its QIS and QES generator series, designed for fuel efficiency and low noise. The company has also introduced battery-energy storage systems (BESS) alongside diesel gensets for hybrid applications. They recently provided emergency power solutions in Europe during grid instability. Atlas Copco continues to invest in IoT-enabled remote monitoring for rental power.

4. Caterpillar Inc.

• Caterpillar expanded its Cat XQP rental generator line, offering higher efficiency and lower emissions. They recently partnered with a data center provider to deliver 100MW of backup power. Cat also introduced hydrogen-ready generators for future fuel flexibility. Their digital monitoring platform, Cat Connect, enhances rental fleet management.

5. Cummins Inc.

• Cummins introduced its new Tier 4 Final mobile generators with reduced emissions. They recently supplied 200MW of temporary power for a South American mining project. Cummins also expanded its energy storage and hybrid power rental solutions, integrating solar with diesel generators. Their PowerCommand Cloud enables real-time fleet tracking.

Conclusion

The Power Rental Market is growing fast due to rising demand for flexible, temporary energy solutions. Companies like Aggreko, APR Energy, and Caterpillar are focusing on hybrid power to cut emissions and improve efficiency. Digital monitoring (IoT, remote tracking) is becoming standard, helping customers manage power needs in real time. Emerging markets in Africa, Asia, and South America are driving demand, especially for mining, events, and emergency power. Meanwhile, stricter emissions rules are pushing rental companies to offer cleaner fuels like HVO and hydrogen-ready generators.

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