Demand from the Oil & Gas Sector Critical to Support Sales of Diesel Generators in Mexico, Finds Frost & Sullivan

Generator set manufacturers need to consider alternative fuels to comply with government regulations

Sep 18, 2013, 11:18 ET from Frost & Sullivan

BUENOS AIRES, Argentina, Sept. 18, 2013 /PRNewswire/ -- The Mexican oil and gas industry is responsible for 21 percent of the total sales of diesel generator sets in the country. Frantic activities in the areas of drilling, exploration, national pipeline system expansion, and soil remediation created a fertile market for diesel generator, contributing $47.6 million to the total market revenues in 2012.

New analysis from Frost & Sullivan (, Mexican Market for Diesel Generators, finds that the total market earned revenues of $216.2 million in 2012 and estimates this to reach $397.6 million in 2018 mainly due to investments in end-user sectors of oil and gas and mining.

The mining sector is a natural market for diesel generators, even though it represents less than 2 percent of the gross domestic product (GDP). Generator set manufacturers are aware that the abundance of resources such as coal, copper, gold, iron ore, lead, silver, zinc, and other minerals in Mexico makes this an ideal, untapped end-user sector.

"While booming end-user sectors bring much cheer to the market, government-initiated programs to promote energy-efficient and low-emission products could hamper the growth of some manufacturers, unless they learn to adapt," said Frost & Sullivan Energy & Environmental Consultant Julio Campos. "For instance, they could modify their generators to run on renewables such as biogas, biodiesel, and dual fuels, which are supported by government programs."

Generator set manufacturers should also be wary of the competition from microturbines. These products are popular among end users due to their small carbon footprint, multiple-fuel options, and low-maintenance features.

In a competitive market such as this, service and client management is what sets participants apart from each another.

"Diesel generator manufacturers must also keenly track the implementation of the smart grid in Mexico to take advantage of the opportunities that this new market will offer in terms of distributed power generation," added Campos.

If you are interested in more information on this research, please send an email to Francesca Valente, Corporate Communications, at, with your full name, company name, job title, telephone number, company email address, company website, city, state and country.

Mexican Market for Diesel Generators is part of the Energy & Power Growth Partnership Service program. Frost & Sullivan's related research services include: Mexican Distributed Power Generation Market and Mexican Wind Power Generation Market. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

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Mexican Market for Diesel Generators

Francesca Valente
Corporate Communications – Latin America
P: +54 11 4777 5300
F: +54 11 4777 5300

SOURCE Frost & Sullivan