Dublin, June 30, 2023 (GLOBE NEWSWIRE) -- The "North America Power Rental Market - Strategic Assessment & Forecast 2023-2029" report has been added to ResearchAndMarkets.com's offering.
The North America power rental market is expected to reach a value of $6.01 billion by 2029 from $4.49 billion in 2022, growing at a CAGR of 4.24% during 2022-2029.
In 2022, United Rentals announced that it had entered into a definitive agreement to acquire the assets of family-owned Ahern Rentals Inc. for approximately USD 2.0 billion.
The Federal Government of Canada took measures to advance investment tax credit for hydrogen, storage, and net-zero technologies according to a commitment made in April 2022 as of hydrogen in its Fall Economic Statement in November 2022 which shall drive investments toward clean energy sources.
Under the Rural Energy for America Program (REAP), the U.S. Department of Agriculture (USDA) will provide USD 285 million in grants and loans for 844 critical infrastructure development projects in rural areas across 46 states. These projects will enable rural communities to acquire renewable energy systems and energy-efficient farm equipment.
The DOE of State and Community Energy Programs (SCEP) attempts to disburse USD 8.8 billion in refunds from the Inflation Reduction Act to Tribes and states for home energy efficiency and electrification projects.
The U.S. Department of Transportation has published a Notice of Funding Opportunity (NOFO) for USD 1.5 billion in grant funding through the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) discretionary grant program for 2023. The popular program helps communities nationwide carry out projects with significant local or regional impact. In 2022, RAISE funded 166 projects in all 50 states.
Canada announced a USD 964 million program in 2022 to assist smart renewable energy and grid modernization projects that would reduce emissions by investing in clean energy technologies such as wind, solar, storage, hydro, geothermal, and tidal. Several wind farm & solar projects are progressing in regions such as Quebec, Ontario & Alberta, which is expected to trigger the demand for power equipment rental.
Governments Focus on Electrification in Rural and Indigenous Communities to Boost the Demand for Power Rental Equipment
Canada's Smart Renewables and Electrification Pathways (SREPs) Program allocated USD 1.56 billion towards smart renewable energy and electrical grid modernization projects. These projects shall gradually reduce greenhouse gas emissions with increased renewable capacity, which will further support Canada's energy transition towards a net zero economy by 2050, also attaining 100% net zero electricity by 2035.
Focusing on clean power, the Canadian federal government launched the 2030 Emission reduction plan in assurance to support local power solutions and community-driven projects, which are intended to enhance the resilience of energy commodities for forthcoming generations. This plan will increase the number of projects and contribute to the North America power rental market.
Under the Rural program, the U.S. government will invest nearly USD 2 billion in infrastructure development programs across rural areas until 2026. Such infrastructure investments will enhance highways, bridges, and tunnels and address highway safety issues. Also, such projects will boost access to agricultural, commercial, energy, or freight facilities that support the economy and offer flexible transportation services to rural regions, as announced in December 2022.
Applications for funding worth USD 10 billion were submitted to the Department of Energy, significantly more than the funding amount of just USD 300 million for 2022.
Demand for Leasing Power Equipment Backed by Restoring Power Occurred Due to Natural Calamities in Various Regions of North America
A severe storm occurred in Quebec between December 23 and December 25, 2022, and the breezes were 110km/hr in major parts of the province. The effect caused around 7,500 outages and affected about 640,000 people. The storm left 380,000 homes without electricity, and it took around 63 hours to restore 85% of the electricity. Harsh climatic conditions and the need for electricity are raising the demand for rental power generation equipment in the North America power rental market.
In 2020, extreme weather events accounted for 1.33 billion outage hours 2020, up 70% since 2019. According to the U.S. Department of Energy, outages cost the U.S. economy USD 150 billion annually. Market surveys of eight economic sectors, including batch manufacturing, healthcare/hospitals, continuous manufacturing, digital economy, government/education, grocery/food stores, and retail, found that a four-hour power disruption costs individual businesses an average of USD 10,000 to USD 20,000.
The U.S. Environmental Protection Agency has granted its first certification to Caterpillar's fast reaction natural-gas generator sets for emergency and non-emergency situations. They can also be ordered with different emissions-reduction technologies that reduce NOx levels to as little as 0.5 g/bhp-hr without after-treatment. As customers concentrate on their environmental, social, and governance goals, natural-gas generator sets are becoming more and more appealing to standby power solutions.
KEY QUESTIONS ANSWERED:
- How big is the North America power rental market?
- What is the growth rate of the North America power rental market?
- What are some significant trends in the North America power rental market?
- Which fuel type is projected to dominate the North America power rental market?
- Which are the key vendors in the North America power rental industry?
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 174 |
| Forecast Period | 2022 - 2029 |
| Estimated Market Value (USD) in 2022 | $4498.9 Million |
| Forecasted Market Value (USD) by 2029 | $6018.2 Million |
| Compound Annual Growth Rate | 4.2% |
| Regions Covered | North America |
Prominent Vendors
- United Rentals
- Sunbelt Rentals
- Herc Rentals
- Aggreko
- Caterpillar
- Atlas Copco
- Cummins Inc.,
- KOHLER
Other Prominent Vendors
- Generac
- APR Energy
- H&E Equipment Services
- Sunstate Equipment
- Home Depot Rental
Segmentation By Fuel
- Natural Gas
- Diesel
- Others (Propane, Hydrogen, Renewable Sources)
Segmentation By Power Rating
- < 75KVA
- -375KVA
- 5-1,000KVA
- Above 1,000 KVA
Segmentation By Equipment
- Generators
- Load Banks
- Transformers
- Others
Segmentation By End-User
- Construction
- Retail
- Oil & Gas
- Mining
- Events
- Utilities
- IT & Data Center
- Manufacturing
- Others
Segmentation By Application
- Standby
- Continuous
- Peak Shaving
For more information about this report visit https://www.researchandmarkets.com/r/6be5yp
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