Eskom uncertainty influences SA genset sales

According to ESI-Africa, the delay in the Medupi power plant and underinvestment in municipal electrical infrastructure may lead to an increase in genset (generators) sales in South Africa. "The South African genset market is influenced by the uncertainty of Eskom's future power supply and the unpredictability of the global economy," Frost & Sullivan's energy and power systems research analyst Tanyever Loren van Themaat said.

3 Aug 2012

With Eskom currently being able to fulfil electricity demand, many companies are reluctant to invest in the high initial start-up costs of gensets before disaster strikes. However, the cost of downtime companies may face when electricity blackouts and load-shedding occur can be significant and unprepared-companies may face permanent damage to their operations and reputations.

Genset suppliers seeking to maintain their current market share must therefore focus on their after-sales services to overcome negative end-user perception and set their clients' minds at ease. "Suppliers must realise that end-users of standby gensets view them as an insurance policy, protecting them against [the consequences of] power outages," van Themaat said. Fast responses to end-user requests as well as excellent engineering capability will allow genset suppliers to increase their market share, ESI-Africa reports.

Read the full article on www.esi-africa.com.