The diesel generator market contracted by 14% in 2020
Atlas Copco Power Technique UK has seen a levelling off of demand from UK rental companies in recent months, according to Kevin Prince, General Manager of the division.
At an event celebrating Atlas Copco’s 100-year anniversary of operating in the UK, he told IRN that Brexit uncertainty was largely to blame for a slowdown in the UK construction sector.
“This has had a knock-on effect for rental companies, who have seen a drop in equipment utilisation rates and are therefore holding off on investing in new equipment,” Prince said.
It is hoped that Brexit will be over and done with before long, so that the UK can move on.
Another challenge highlighted by Prince was the phasing in of EU Stage V emissions regulations.
Atlas Copco has until mid-2020 to buy in non-compliant engines, and until the end of 2020 to sell equipment fitted with these engines. So the company must decide how many non-compliant engines to invest in.
At present, demand from UK rental companies for Stage V compliant equipment is relatively low since there are few low-emissions zones. This is expected to change though.
“As emissions zones are introduced in other major cities in the UK, contractors will be obliged by legislation to use Stage V machines, meaning that rental companies will want to supply them,” said Prince.
Source: https://www.khl.com/
Related posts
