Genset Battery Market Size, Share, and Industry Analysis By Type (Lead Acid Batteries, NiCD Batteries, and Others), By Power Output (Up to 25 kVA, 30 to 125 kVA, 125 to 140 kVA, and Others), and By Application (Residential, Commercial, and Industrial), and Regional Forecast, 2024-2032

With growing dependence on electricity for various applications and industries, there is a rising demand for backup power solutions to mitigate the effect of power outages. Genset batteries serve as a crucial component in ensuring uninterrupted power supply during emergencies, driving market growth. Factors such as aging infrastructure, extreme weather events, and grid instability contribute to the frequency and duration of power outages in many regions. As a result, businesses, industries, and critical facilities increasingly rely on gensets with dependable batteries to maintain operations during power disruptions.

Ongoing advancements in battery technology, including improvements in energy density, cycle life, efficiency, and safety, enhance the performance and reliability of genset batteries. Innovative features such as remote monitoring, predictive maintenance, and smart grid integration further drive market adoption. For instance, in January 2023, U.S. manufacturer Ecoflow launched Delta Pro Ultra, a residential plug-and-play power backup system developed for long outages. The system is based on lithium-iron-phosphate (LFP) battery cells with a 10-year.

In April 2023, Generac Industrial Power, part of Generac Power Systems, Inc., announced a new line of Stationary Battery Energy Storage Systems (BESS). Available in lithium iron phosphate (LFP) and nickel-manganese-cobalt battery chemistries, the SBE Series battery systems are designed to pair with Generac gas and diesel generators for full resilience during extended power outages and can also be paired with field equipment. Solar energy systems help reduce both carbon footprint and energy costs. There are two versions of each model. NMC devices have a storage capacity of 500 kWh and power classes of 125, 250, and 500 kW, and 1000 kWh and power classes of 250, 500, and 1000 kW.

Rapid urbanization, population growth, and infrastructure development projects in emerging economies lead to the increased demand for reliable power backup solutions. Genset batteries cater to the needs of urban infrastructure, commercial complexes, residential buildings, and public utilities, contributing to market expansion. Concerns about energy security, resilience, and disaster preparedness prompt governments, businesses, and communities to invest in robust backup power infrastructure. Genset batteries play a critical role in enhancing energy resilience by providing reliable standby power solutions, thereby stimulating market growth.

The COVID-19 pandemic highlighted the importance of reliable backup power solutions, particularly in critical sectors such as healthcare facilities, data centers, telecommunications, and essential industries. This increased awareness has led to a surge in the demand for gensets and genset batteries to ensure uninterrupted power supply during emergencies. The widespread adoption of remote work and digitalization initiatives during the pandemic has driven the demand for data centers, cloud computing, and online services. These sectors require robust backup power infrastructure, including genset batteries, to maintain operations and ensure business continuity, driving market growth.

KEY INSIGHTS

The report covers the following key insights:

• Recent Advancements in the Genset Battery Market


• Key Industry Trends


• Regulatory Landscape for Genset Battery Market


• Key Industry Developments (Mergers, Acquisitions, and Partnerships)


• Impact of COVID-19 on the Market

SEGMENTATION

 ANALYSIS BY TYPE

 Based on type, the market is segmented into lead acid batteries, NiCD batteries, and others. The lead acid batteries segment dominates the market and is expected to grow significantly during the coming years. The batteries are relatively cheap compared to other battery types, such as lithium-ion. This cost-effectiveness makes them an attractive option for genset installations, especially in budget-conscious sectors where upfront costs are a significant consideration. Lead-acid batteries are widely available from numerous manufacturers globally. This widespread availability ensures easy procurement and reduces lead times for genset installations, making them a convenient choice for both OEMs and end-users.

NiCD batteries can operate effectively in a wide range of temperatures, comprising extreme hot and cold conditions. This makes them suitable for genset applications in environments where temperature fluctuations are significant, such as in industrial settings or remote locations.

BY POWER OUTPUT

 Based on power output, the market is classified into up to 25 kVA, 30 KVA to 125 kVA, 125 to 140 kVA, and others. The 30 kVA to 125 kVA segment is projected to dominate the market and grow significantly during the forecast period. The 30 kVA to 125 kVA range of gensets is versatile and can cater to the power needs of a wide array of sectors, including commercial, industrial, and residential. This versatility could contribute to its dominance in the market. With growing urbanization, industrialization, and dependence on electronic devices, the need for reliable backup power solutions has increased.

Gensets in the 30 kVA to 125 kVA range offer an optimal balance between power output and efficiency, making them an attractive choice for backup power generation. Generator sets in the 25 kVA range are suitable for various applications, including small businesses, residential complexes, and others. Their versatility makes them a popular choice across different industries and sectors. 25 kVA gensets typically offer a balance between power output and affordability. They provide sufficient power for many small to medium-sized operations without the higher costs associated with larger capacity gensets.

ANALYSIS BY APPLICATION

 Based on application, the market is classified into residential, commercial, and industrial. The residential segment is expected to dominate the market and grow considerably during the coming years. Residential users are increasingly concerned about power outages due to extreme weather events, aging infrastructure, and grid instability. Genset batteries offer a reliable backup power solution for homeowners to ensure the continuity of essential appliances and devices during outages, driving demand in the residential segment.

The commercial segment is also one of the dominating segments in the genset battery market. Commercial establishments, including offices, retail stores, banks, data centers, and manufacturing facilities, rely heavily on uninterrupted power supply to maintain operations. Genset batteries ensure business continuity during power outages, preventing disruptions, financial losses, and damage to equipment or inventory.

REGIONAL ANALYSIS

 The genset battery market has been studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. The Asia Pacific region is expected to dominate and grow at its highest growth rate during the coming years. The Asia-Pacific region is undergoing rapid urbanization and industrialization, leading to increased demand for reliable backup power solutions. Industries such as manufacturing, construction, telecommunications, and IT services require genset batteries to ensure uninterrupted operations and mitigate the impact of power outages.

Europe is undergoing a significant energy transition, with a focus on reducing carbon emissions and surging the renewable energy share in the energy mix. Genset batteries play a crucial role in supporting renewable energy integration by providing backup power and grid stabilization services during periods of low renewable generation or grid instability.

North America is prone to extreme weather events such as hurricanes, tornadoes, winter storms, and wildfires, which can cause widespread power outages. Genset batteries provide backup power to critical infrastructure, homes, businesses, and emergency response facilities during these events, driving market demand. The grid infrastructure in North America is aging and vulnerable to disruptions, leading to an increased need for backup power solutions. Genset batteries offer a reliable and independent power source to mitigate the impact of grid outages and ensure continuity of operations for businesses and essential services.

KEY PLAYERS COVERED

The report provides the profiles of key players such as Cummins, EnerSys, Exide Industries, Leoch Battery, Amaron, Generac, Kohler, East Penn Manufacturing, Johnsons Control, and Fiamm Energy Technology.

KEY INDUSTRY DEVELOPMENTS

• In February 2024, European logistics company ECS started testing Thermo King’s new E-Coolpac electric battery genset, mounted on a container chassis and powering a reefer unit, on routes between the Netherlands and Belgium.

In September 2021, Himoinsa launched a new series of battery generators that even offer zero emissions and noiseless construction sites. The new EHR Battery Power Generator, which would be released in October 2021, is designed to be used with conventional diesel or gas-powered generators and to connect to the mains and solar panels. The device uses lithium in addition to fluorophosphate batteries, inverters, control boxes, power connections, solar MC4 connectors, and places to cheat the maximum power points