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How Much Does a Diesel Generator Cost?

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Diesel generators have been all the rage for the past few years owing to their fuel efficiency, durability and versatility. Catering to both commercial and residential needs, no wonder they’re selling like hotcakes.

But while buyers are pressing more on features of these generators, one major factor goes unnoticed — cost. It’s not just the final price of the equipment you’ve to look into, but the installation, operation and maintenance expenses as well.

So, if you’re wondering, “how much does a diesel generator cost”, here’s a definite answer to it. 

Top-brand Diesel Generators with an Average Cost 

The market for diesel generators in India is as diverse as the country itself. There is a myriad of options available with various features to suit your requirements. 

Competition and branding are significant criteria in deciding the cost of any generator, given its remaining characteristics are similar.

Below are the top-brand diesel generators with their most-preferred power ratings and average costs.

  • Cummins

Cummins is a reputable industrial and commercial diesel generator manufacturer and hence is most sought for 125kVA-1500kVA power ratings. Offering 24/7 support services and comparatively environment-friendly solutions, its products include-

  • Portable generators
  • Inverter generators
  • Standby generators

You can quickly download the product brochures, compare features and finalise your options and inquire about prices. The average purchase cost for the above power rating range falls between INR 5 lakhs and INR 13.5 lakhs.

  • Mahindra Generator

Mahindra & Mahindra Limited (M&M), one of the largest automotive manufacturers in India, also catalogues diesel Gensets. Their generator engine has the smallest footprint compared to other brands, and the Genset complies with noise and emission norms.

The average cost of Mahindra diesel Gensets varies depending on the specifications, especially power ratings. The price range starts from INR 1.4 lakhs (5kVA) and might go up to INR 16.5 lakhs (3500kVA).

With various models under different power ratings, they offer coverage plans to satisfy your needs and budget. 

  • Caterpillar

Caterpillar Inc. is the world’s leading construction and industrial equipment manufacturer. Focused towards reducing the carbon footprint, it offers sustainable products that follow global emissions compliance.

Its diesel Gensets vary between the power ratings of 7.5kVA and 7150kVA. Models with a power potential of 2000+kVA are currently highly popular in India and customers can find more options in this range.

The average cost of Caterpillar diesel generators falls between INR 8 lakhs and INR 15 lakhs, which is a relatively expensive start. 

  • Koel green

Koel Green offers soundproof and low-cost home backup diesel generators, besides commercial options. Readily available for downtime repairs and product maintenance, Koel Green combines modern design with stimulation technology, which has bagged them numerous awards.

Highly affordable and budget-friendly, the average cost lies around INR 2.5 lakhs and INR 5 lakhs for 40kVA-1010kVA power potential.

Cost to install a generator 

Besides the Genset cost, you’ll also have to consider the installation expenses including registration, other equipment, and fuel.

  • Permits

Every state has its own set of guidelines for registering a diesel generator set and acquiring a license. Thus, consult your manufacturer before making the purchase and they’ll guide you throughout the entire procedure. 

The processing fee might differ depending on your region. The license-approving authority also changes with the voltage class of your generator. Therefore, ensure you’re crystal clear about all the permits required and include their charges in your budget.

  • Concrete Pad

The Genset needs to rest on a clean, load-bearing and vibration-isolating surface. Installing concrete pads for diesel generators is a crucial step to facilitate smooth and hassle-free working. 

You can either purchase a pre-cast concrete pad along with the Genset from your manufacturer or have it made on-site. For flood-prone areas or other issues, raised pedestals are best to keep the generator safe and free from any foreign particles.

To cut down on expenses, you can also conduct online research and build your DIY custom concrete pad. 

  • Fuel

Fuel consumption is another factor that will affect your post-installation expenses to a great extent. The table below provides a rough estimate of how much diesel you’ll need under various possible circumstances.

Generator Size (kW) 50% Load (ltr/hr) 75% Load (ltr/hr) 100% Load (ltr/hr)
20 3.4  4.9  6.1 
75 12.8  17.4  23.0 
100 15.5  21.9  28.0 
125 18.9  26.8  34.4 
150 22.3  31.7  41.2 
175 25.7  36.7  48.0 
200 29.1  41.6  54.5 
250 35.9  51.4  68.1 
300 42.7  60.9  81.3 
350 49.5  70.7  95.0 
400 56.4  80.6  108.2 
500 70.0  99.9  135.1 
600 83.2  119.2  182.4 
750 103.7  148.7  202.1 
1000 137.7  197.2  269.1 
1250 171.4  246.0  336.1 
1500 205.5  294.5  403.1 
1750 137.0  343.3  470.1 
2000 273.3  391.7  537.1 


Frequently Asked Questions about Diesel Generator Service

Q. What size generator should I buy?

First, determine whether your generator is for residential or industrial use. 

For the former, you can choose from the following options as per your requirements:

  1. Compact Portable Generators (4000 watts) – television, lights, and refrigerator
  2. Midsize Portable Generators (5000-5000 watts) computers, heaters, pumps, television, refrigerator, and microwave
  3. Large Portable Generators (>10,000 watts) – basic home appliances including AC
  4. Whole House Generators (15,000-22,000 watts) – entire house

On the other hand, industrial generators can support a total power of 50-3000kW. 

Q. How to maximize profits with diesel generators?

Purchasing a quality diesel Genset and performing routine servicing can do wonders for your machine’s lifespan and your pocket. Ensure that the fuel filters are drained timely and manufacturer-recommended engine oil is used. Keep the batteries charged and your generator clean, all of which will automatically enhance the fuel and output efficiency.