Deciding whether a new, used or rental diesel generator is right for your company

Posted by Jack Barry on Thu, Jan 23, 2014

What’s the best back-up power generation plan for your operation?

When the lights go out unexpectedly, your operations quickly cease if you don’t have a reliable back-up plan for power generation.

And when an outage shuts down your productivity, your bottom line suffers. Without a plan for emergency or standby power, your customers also begin to feel the pain, which can do irreparable damage to your retention, reputation and future business development

It all happens so quickly – and more frequently than you might imagine. Whether you’re operating in facilities management, construction, mining, oil and gas, or a number of other industries, leaving your customers in the dark without a reliable back-up power source is no way to conduct business.

If you don’t have a plan for back-up power generation, there is no better time than now to pursue one. The good news is that you have options, including new, used and rental diesel generators. In this article, we’ll answer some of the questions you need to ask yourself when making the decision of solution is right for you.

“How soon do you need the equipment?”
If your operation’s loss of power was unexpected – and you don’t have a back-up plan for emergency power – then you may want to strongly consider rental equipment. Even planned outages are ideally suited to rental solutions if they’re short term.

While newly manufactured equipment may require a lengthy timeframe from order to delivery, rental equipment is always positioned for a quick and efficient turnaround. If you’re transporting equipment to distant or hard-to-reach locations, that should also be taken into consideration. Not only is the rental equipment itself more affordable, but you also don’t need to worry about a long-term storage solution, maintenance and upkeep. Those costs can add up quickly.

“How long will you keep the equipment?”
The opposite of the above logic holds true here. If you’re seeking a permanent diesel generator for emergency and standby power, then ordering newly manufactured equipment or even lightly used equipment is much more cost effective than renting generators.

Used equipment is a smart move as long as you do your due diligence. Carefully consider the generator’s total usage, the upkeep and maintenance, as well as the track record of that particular brand.

One note about purchasing equipment: think about the type and length of warranty you desire. While emergency power supply equipment is built to be your back-plan, sometimes you need a back-up plan for that, too. Discuss the desired length and coverage of a warranty with your team before making the decision.

“What is your budget?”
This is truly the critical question that drives all other decision-making around back-up power generation.  Your budget doesn’t just help determine whether you can afford to purchase a new or used commercial generator as opposed to renting, but it also impacts the type of warranty you can select.

There may be times that when, because of your location and available resources, a generator may be acting as a primary source of power generation rather than a spare unit for back-up use. In this scenario, you likely have more options because you’re being proactive and not reactive. Take the time to carefully consider manufacturers, product features, and all of the other options discussed in this article.

Your company’s revenue is dependent on consistent, predictable productivity not just from your people, but from your equipment, too. Power outages limit both. By carefully examining your budget, needs and other factors, you’ll be able to decide whether purchasing new or used equipment – or renting back-up diesel generators – is the right decision for your company.

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