The Danish Energy Agency’s announcement that there is a prospect of a possible European energy crisis this winter is making suppliers of large diesel generators busy. This would typically be good news for suppliers, but it can also be too much of a good thing. And that’s roughly where things stand on the market for large diesel generators for industrial use.
Atlas Copco, which among other things, supplies offshore generators to the Tyra field in the North Sea, is one of the companies experiencing heavy pressure on the phones:
The world has gone haywire
– We already have a tremendous occupancy rate on our equipment. Now the world has gone haywire, and we may fall short, says Michael Nøhr-Petersen, senior key account manager at Atlas Copco Rental in Denmark
Michael Nøhr-Petersen has worked at Atlas Copco for 20 years and has never before experienced so many inquiries about generators. And it started even before the Danish Energy Agency announced that the Danish electricity supply could come under pressure if there is a cold and windless winter in Denmark:
– In my 20 years, I have never given up on a customer, but now I am, he says.
First come, first served
However, Michael Nøhr-Petersen rejects speculation that the greatly increased demand will impact the price of renting or buying. For example, a 1450 kVA generator (corresponding to approximately 1150 kiloWatts) will not see a price increase:
– We have a price list, and we have to be able to look the customers in the eye even on the other side of the crisis. But it’s first come, first served. And it is not only in Denmark that there is increased pressure. This applies to all of Europe, he says.
We have been spoiled
At another supplier of large generators – Dutch Breedenord – the situation is the same, says Brian Nielsen, commercial manager for Breedenord in Denmark:
– I will not deny that there may be a shortage of generators. There has not been panic in the market yet, but we do not know what we are looking into. Uncertainty has arisen about the security of supply, and we are not used to that in Denmark. Here in Denmark, he says that we have been spoiled for many years and have always been sure of getting electricity.
No one gets to skip the queue
Breedenord also assures that there will be no talk of raising prices due to higher demand. On the other hand, you should not count on special treatment, whether you are a multi-billion company or a small craftsman. And it is essential that you already consider your vulnerability to periodic power outages:
– There is no guarantee that we can deliver to everyone if the pressure increases. And no one gets to skip the queue, says Brian Nielsen.
