Australia Diesel Generator Market

Australia Diesel Generator Market Insights Forecasts to 2035

• The Australia Diesel Generator Market Size Was Estimated at USD 561.4 Million in 2024
• The Market Size is Expected to Grow at a CAGR of Around 7.05% from 2025 to 2035
• The Australia Diesel Generator Market Size is Expected to Reach USD 1188.2 Million by 2035

According to a research report published by Decisions Advisors, The Australia Diesel Generator Market Size is Anticipated to Reach USD 1188.2 Million by 2035, growing at a CAGR of 7.05% from 2025 to 2035. The diesel generator market in Australia is driven by the growing need for dependable backup power, the frequency of extreme weather events, the expansion of off-grid energy requirements, the growth of mining and construction activities, and heightened concerns about grid reliability and energy security.

Market Overview

The generator market describes the field related to generating/producing, distributing, and servicing electric generators, which are machines that turn mechanical energy into electricity for backup or continuous energy supply. There are also multiple generators within the generator market according to multiple fuel types (diesel, gas, hybrid, renewable), different power ratings, phase (single-phase or three-phase), and within industrial or commercial, residential, and infrastructure applications. The Australian diesel generator market is an important provider of standby and off-grid power for mining, remote communities, construction sites, telecom, and commercial sites. Market growth is supported by Australia’s large mining sector, an increase in grid instability as a result of renewable integration, and increasing needs for temporary power applications. Government energy programs and off-grid incentives that encourage businesses to adopt more efficient gensets or hybrid systems that utilize solar and battery storage establish incentives to reduce fuel use and emissions. Technological developments in remote monitoring, predictive maintenance, and compatibility of gensets with low-carbon fuels further the market development. As Australia maintains a more stringent emissions expectation across the country, there are opportunities for rental power markets to grow, with hybrid retrofits and replacements.

Report Coverage

This research report categorizes the market for the Australia diesel generator market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Australia diesel generator market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Australia diesel generator market.

Driving Factors

The diesel generator market in Australia is driven by the demand for dependable power in remote mining and resource extraction areas, where there is less reliable grid access. The rise of renewable energy and grid instability also adds to the reliance of commercial and industrial enterprises on diesel backup generators. Increasing activities related to construction, telecom towers in remote areas, and the need for emergency standby power systems during natural disasters promote the presence of diesel generators in Australia.

Restraining Factors

The diesel generator market in Australia is mostly constrained by rising environmental regulations, adoption of hybrid renewable battery systems, high diesel fuel costs, and a demand for carbon emission reduction that restricts demand for traditional diesel generators and restricts long-term market growth.

Market Segmentation

The Australia diesel generator market share is classified into power rating and end user.

• The 0-100 kVA segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period.  

The Australia diesel generator market is segmented by power rating into 0-100 kVA, 100-350 kVA, 350-1000 kVA, and above 1000 kVA. Among these, the 0-100 kVA segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. This is due to its high demand from the residential and commercial sectors for backup power in homes and small companies, as well as its use in portable applications such as outdoor events and isolated places.

• The industrial segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period.  

The Australia diesel generator market is segmented by end user into residential, commercial, industrial, and others. Among these, the industrial segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period. This is due to the high-power requirements in mining, oil and gas, and manufacturing, particularly in remote areas that need dependable, continuous, or backup power, the industrial segment dominates the Australian diesel generator market.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Australia diesel generator market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Eniquest
• Viking Industrial Pty Ltd
• Welling & Crossley
• Generator Power Pty Ltd
• Power Systems Australia
• Shellby Power
• Blue Diamond Machinery
• APS Power
• PR Power Pty Ltd
• Generators Australia
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments:

• In June 2025, Horizon Power finished a three-month trial of carbon capture utilisation & storage (CCUS) technology on a diesel generator in Western Australia, demonstrating improvement in emissions control technology for diesel units.
• In January 2025, the Australian Energy Market Commission (AEMC), acting as the federal regulator, approved a request from the South Australian government to temporarily change market rules, allowing the Australian Energy Market Operator (AEMO) to direct two mothballed diesel-fired generator facilities to remain available as an emergency backup.

Market Segment

This study forecasts revenue at the Australia, regional, and country levels from 2020 to 2035. Decisions Advisors has segmented the Australia diesel generator market based on the below-mentioned segments:

Australia Diesel Generator Market, By Power Rating

• 0-100 kVA
• 100-350 kVA
• 350-1000 kVA
• Above 1000 kVA

Australia Diesel Generator Market, By End User

• Residential
• Commercial
• Industrial
• Others