Fluctuation in power supply to the grid amid rising renewable penetration has been increasing the need for black-start generators. Analysts expect this market will grow at a rate of 3.8%, up from an estimated $1.24 billion this year to $1.50 billion by 2021.
The three most commonly used types of black-start generators are diesel, gas, and hybrid. Diesel generators have the quickest response, easier fuel sourcing, lowest running cost, and longer running life, which is why they are projected to hold over 90% of the market during the forecast period.
Gas and hybrid generators, however, are preferred in countries with well-developed gas distribution network such as the United States, Canada and the UK.
Black-start capacity vital for supply security
The power industry is the major buyer of black-start generators and is a key enabler for stable and secure power supply at times of rapid demand growth of supply fluctuations, e.g. through intermittent supply from renewables.
High urbanization and industrialization in emerging economies such as China, India, Indonesia, and Saudi Arabia has resulted in rising electricity demand, thereby driving the black-start generator market.
Developed economies such as Germany, the US and Canada have a high power plant retirement rate and are also investing in constructing new power plants, which will further add demand for black-start capacity.
MarketsandMarkets’ latest analysis lists key operational and upcoming power black-start generator projects across the globe and estimates the installation cost of black-start generator in various regions. It also looks at changes in the energy mix of selected countries as well as on-going T&D infrastructure spending.