Saudi diesel genset market to see 2.9% growth
The market for diesel gensets in Saudi Arabia is projected to exhibit a compound annual growth (CAGR) of 2.9 per cent during 2016-2021, on account of rising demand for electricity from various end user sectors
The market for diesel gensets in Saudi Arabia is projected to exhibit a compound annual growth (CAGR) of 2.9 per cent during 2016-2021, on account of rising demand for electricity from various end user sectors, a report said.
Saudi Arabia diesel gensets market was dominated by northern and central region, as both the region cumulatively accounted for highest volume shares in 2015, added the report titled "Saudi Arabia Diesel Gensets Market By Rating, By End User Competition Forecast & Opportunities, 2021" released by ReportLinker, an award-winning market research solution.
The regions are anticipated to continue to dominate the market through 2021, owing to favourable government support that are fuelling infrastructural development activities in these region, particularly in cities like Riyadh and Jeddah.
Saudi Arabia diesel genets market grew at a moderate pace during 2011-2015, owing to growing construction activities, expansion of public infrastructure, coupled with rising retail and hospitality sectors in the country.
Moreover, Saudi Arabia faced economic slowdown during 2014-2015, on account of fall in global crude oil prices. However, prices of crude oil prices across the world is estimated to recover by end of 2017, thereby driving Saudi Arabia's economy in the coming years, due to favourable government policies supporting establishments of new projects.
According to Ministry of Water and Electricity, Saudi Arabia's peak electricity is projected to reach 90,000MW by 2022. Thus, increasing demand for electricity is further expected to fuel demand for diesel gensets in the country in the coming years.
Saudi Arabia is one of the fastest growing nations that utilize diesel gensets to power infrastructure of various sectors, especially in oil & gas sector.