Report Description

Forecast Period

2024-2028

Market Size (2022)

USD 19.03 billion

CAGR (2023-2028)

6.93%

Fastest Growing Segment

501 to 2500 KW

Largest Market

Asia Pacific




Market Overview

Global Power Rental Market has valued at USD 19.03 billion in 2022 and is anticipated to project robust growth in the forecast period with a CAGR of 6.93% through 2028. The surge in construction and infrastructure development activities worldwide is a major driver for the power rental market. Construction sites often require temporary and scalable power solutions, especially in remote or newly developed areas where permanent power infrastructure is not readily available. The power rental market caters to the dynamic power needs of construction projects, offering flexibility and reliability for various applications.

Key Market Drivers

Increasing Frequency of Power Outages

The Global Power Rental Market is being propelled by the escalating frequency of power outages across the world. As our dependence on electricity continues to grow, any disruption in the power supply can have severe consequences for businesses, industries, and households. Factors such as extreme weather events, aging infrastructure, and an expanding global population contribute to the vulnerability of power grids, leading to more frequent and prolonged power outages.

In response to this challenge, businesses are turning to power rental solutions to ensure uninterrupted operations during outages. Industries such as manufacturing, healthcare, and data centers, where a constant and reliable power supply is critical, are particularly inclined towards utilizing rental power solutions. This trend is fostering the growth of the global power rental market, as companies seek flexible and cost-effective alternatives to traditional power sources.

Moreover, the increasing adoption of renewable energy sources, such as solar and wind, has introduced intermittency in power generation. Power rental services provide a bridging solution during periods of low renewable energy production, contributing to grid stability. As the world transitions towards a more sustainable energy future, power rental becomes a vital component to maintain a consistent power supply, thereby driving the expansion of the global power rental market.

Growing Construction and Infrastructure Development Activities

Another significant driver for the Global Power Rental Market is the surge in construction and infrastructure development activities worldwide. Rapid urbanization, population growth, and the need for modern amenities are fueling extensive construction projects, including residential complexes, commercial buildings, and infrastructure such as roads and bridges. These projects demand reliable and temporary power solutions during various phases of construction, from site preparation to project completion.

Power rental services cater to the dynamic power requirements of construction sites, providing a flexible and scalable energy solution. Temporary power needs arise during the early stages of construction, where grid connections may be unavailable, and also during specific construction phases requiring additional power capacity. The construction industry's reliance on power rental services is contributing significantly to the market's growth, as it enables seamless and efficient project execution without disruptions caused by power shortages.

Furthermore, emerging economies with ambitious infrastructure development plans are witnessing a surge in demand for power rental services. Governments and private entities in these regions are increasingly turning to temporary power solutions to meet the escalating energy needs of large-scale construction projects. This trend is expected to sustain the momentum of the global power rental market in the coming years.

Expansion of Events and Entertainment Industry

The global events and entertainment industry is experiencing robust growth, driven by a rising demand for live experiences, concerts, sports events, and festivals. These large-scale events require substantial power resources to support various activities, including lighting, sound systems, broadcasting equipment, and other technical requirements. Organizers face the challenge of providing reliable and temporary power solutions in remote or temporary locations where conventional power infrastructure may be unavailable or insufficient.

Power rental services have become indispensable for the events and entertainment industry, offering on-demand and scalable power solutions tailored to the specific needs of each event. Whether it's a music festival in an open field, a sporting event in a stadium, or a corporate conference in a temporary venue, power rental ensures a seamless and uninterrupted power supply.

The expansion of the events and entertainment industry, coupled with the increasing trend of organizing events in non-traditional locations, is driving the demand for power rental se