Our channel checks and interaction with various players in the diesel genset market reveal that pricing is not the key to market share in this industry — technology, distribution network, and timely availability of spare parts are critical to gaining share, more so in case of mid- to high-kva diesel gensets.

Cummins India has a formidable position in the Indian DG set industry as it has collaborated with some of the best OEM’s (Powerica, Jakson Power, and Sudhir Gensets), which gives it the unmatched access to dealers and customers that no other engine/ diesel genset manufacturer currently enjoys.

Cummins India enjoys 50%-60% market share in the mid- to high-range (>180kva) DG sets with its closest peer Perkins holding 10-15% of the market. Other players in this category include Caterpillar, MTU, and Volvo, who individually have less than 5% of the market. However, Cummins’ Cummins India enjoys 50%-60% market share in the mid- to high-range (>180kva) DG sets with its closest peer Perkins holding 10-15% of the market. Other players in this category include Caterpillar, MTU, and Volvo, who individually have less than 5% of the market. However, Cummins’

KOEL, along with Mahindra, is amongst the market leaders in sets below the 75kva range. Mahindra Powerol is the market leader in the 15-75kva segment with a 40% share followed by KOEL at 25% share. Within the 75-375kva range, Cummins India regains its leadership with a 45% share followed by KOEL at 28%.

In terms of reliability and pricing, Caterpillar, which operates primarily in 750kva and 1,000kva, is considered the most reliable and is extensively used in critical applications in O&G and defense. This is also the reason that it commands the highest premium over peers. Next in line are MTU and Perkins in terms of pricing, followed by Cummins India whose engines are still mechanical engines (vs. electronic). KOEL, Mahindra, and Leyland round off the list of big players in the DG industry (see table below).