Executive Hire News › Archives › October 2009 › Market Report: Temporary Power: Powerful opportunities
Market Report: Temporary Power : Powerful opportunities
The increasing demand for reliable sources of electricity is creating a market that hirers are well placed to serve.
Although the economic climate is certainly challenging, power generation products offering innovative features with practical benefits are enabling hirers to win more business. That is the upbeat view of Chris Archer, MD of supplier BGG UK Ltd, who reports that “we are going like a train at the moment and our sales are up significantly compared to last year, with hire being an important market. Demand is particularly strong for generators of 300kVA capacity and above, with specialised qualities such as low noise, long-run fuel tanks, and with load-sharing capabilities enabling several units to be linked together.
“At the smaller end, 20kVA generators remain popular because they are used in welfare cabins and site accommodation, although demand for machines of 100-135kVA capacity, which are typically used to provide power on construction sites, has reduced because of the decline in house building.
“Much of the demand for the larger sets is due to the strains being placed on the National Grid and people’s requirements for backup power. Moreover, end users in markets like construction, utilities and events need reliable supplies. Generators with load-sharing capabilities can provide more power in a flexible manner. A hirer with, say, several 500kVA sets could link two to provide 1000kVA, or four giving 2000kVA. Sophisticated electronics inside the machines and in the control panels give other benefits. Systems can be configured so that certain units go into standby mode when less power is required, and that the one with the most fuel starts back up first. Previously, users would have had to automatically specify a single, large capacity machine, but this arrangement is more versatile, fuel efficient and environmentally friendly.”
Balloo Hire Centres, which has four depots in Northern Ireland, has made a substantial investment in the power generation equipment market. “We are pleased with our progress in this area of activity and hopefully it will continue to do well for us,” MD Paul Lavery told EHN. “To date we have built up a strong fleet of mainly MacGen generators up to 500kVA, plus a range of long-run fuel tanks, as well as a large range of testing equipment, distribution and cabling.
“We have recruited a number of experienced and skilled people to help grow the operation and, although the market is very competitive, we are confident that, by having good products and good people in our operation, we will further develop this specialist arm of the business.”
Phil Winnington, Sales & Marketing Director of Seddons (Plant & Engineers) Ltd, Honda’s leading Power Equipment dealer in the UK, believes hirers are ideally placed to meet growing demand for smaller portable generators. “The national media have recently reported that the UK could see power cuts this winter on a scale not seen since the 1970s, owing to a widening gap between demand and supply. The average household now uses much more electronic equipment, from computers and laptops, to mobile phones and iPods, and they want to keep them charged and working. Compact generators with inverter technology give cleaner, spike-free power suitable for sensitive equipment, and the latest models feature reduced levels of noise and emissions.
“More people are choosing to work from home, and many live in remote areas that have a less reliable mains electricity supply. They need to keep working if power cuts occur, and a small generator can be hired as a backup. In addition, statistics show that more holidaymakers are taking camping breaks in this country, and that sales of motor homes are increasing. When they are away from base, people again need a reliable power source for equipment and appliances. This represents another ideal market opportunity for hirers seeking additional revenue streams.” • |
