Demand for Uninterrupted Power Drives Southeast Asian Generator Sets Market
"Besides remote area electrification, the rapidly growing infrastructure to accommodate commercial and industrial developments in major cities maintains a steady, though rather slow market growth," says Frost and Sullivan Research Analyst Suchitra Sriram. "With companies investing in generator sets to avert unexpected financial losses and inefficient performance due to power outages, demand for diesel powered generators is sustained despite rising fuel costs."
The development of excellent power transmission and distribution lines across some of the Southeast Asian countries such as Singapore, Malaysia and Thailand, along with economical electricity rates in Malaysia, are challenging the growth of the generator sets market.
The influx of low-cost imported products is also a major cause for concern in this mature market, with reputed brands unable to compete with the imported packages on the price front. It is highly challenging for industry players to device competent policies to market equipment and retain their existing customer base.
Emerging renewable energy technologies (RETs) also prove to be a restraint to the uptake of the conventional generator set. The environment- friendly nature of RETs, coupled with negligible operational and maintenance expenses, are the driving factors that attract customers to migrate to this new technology.
However, RETs are not a viable option in remote and inaccessible areas due to high investment costs. Hence, generator sets, which are easy to install and operate, continue to be the preferred mode of power supply here, just as they are with large industrial and commercial establishments.
"Although the industrial and commercial end-user segments continue to promote new equipment sales, dealers can garner larger market shares by aggressively marketing their products, offering value-added services, customer service, spare parts sales, consultancy, and technology upgrades when needed," suggests Sriram.
Related News

Ex-SpaceX engineers in race to build first commercial electric speedboat
LOS ANGELES - A team of former SpaceX rocket engineers have joined the race to build the first commercial electric speedboat.
The Arc Boat company announced it had raised $4.25m (£3m) in seed funding to start work on a 24ft 475-horsepower craft that will cost about $300,000.
The LA-based company, which is backed by venture capital firm Andreessen Horowitz (an early backer of Facebook and Airbnb), said the first model of the Arc One boat would be available for sale by the end of the year.
Mitch Lee, Arc’s chief executive, said he wanted to build electric boats because of the impact conventional…