SAN JOSE, Calif. — The global market for residential generators is projected to reach $11.3 billion by the year 2018, according to a new report by Global Industry Analysts Inc. Increasing dependence on electronic devices is driving demand in the developed markets. Growing urbanization, industrialization, and electrification, and rising disposable incomes, are increasing penetration of generators in the developing markets.

Globally, the residential generators market is witnessing growth primarily due to an unprecedented increase in consumer demand for electricity in the residential sector, said Global Industry Analysts. National grids in many countries worldwide are taking on increasing pressure due to growing electrification and urbanization. The result is the rise in the frequency and number of electricity grid failures leading to power outages. Such energy shortages are prevalent in more than 80 countries globally, indicative of the seriousness of the problem. The situation has been triggering demand for standby power and thereby for generators, both for commercial and residential usage. While power outages and changing lifestyles are growth drivers, the growing affordability of generators is becoming a major factor pushing consumers towards purchasing generators.

Technological developments with the promise of enhancing the fuel efficiency and operation of gensets also go a long way in increasing sales. The residential standby generators market is expected to provide huge growth opportunities in the future. Despite high growth in the recent past, the market is relatively unsaturated and is expected to witness rapid growth in the future as well. Present day generators are also more environmentally friendly due to the incorporation of technologies such as electronic governors and automatic voltage regulation. Presently, a few smart generators are even capable of being monitored through the Internet.