Aug. 25, 2025
Machinery
Natural gas generators are a reliable choice for industrial and commercial facilities that need consistent backup or prime power. From manufacturing plants and data centers to healthcare systems and utilities, understanding the actual cost of natural gas generators is essential for effective power planning. Costs can vary widely depending on the generator’s size, type, installation complexity, and fuel consumption. This guide breaks down all the key factors that contribute to the cost of a natural gas generator, so businesses can make informed investments.
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One of the biggest cost variables in any generator project is the type and size of the unit. In industrial and commercial applications, the most common types are natural gas backup generators, natural gas standby generators, and natural gas-powered generators designed for continuous duty or prime power applications.
Larger facilities often require generators that run on natural gas in the 60 kW to 1,000 kW range or higher. These units are typically liquid-cooled and engineered for long runtimes under demanding conditions. By contrast, smaller generator natural gas units may serve specific load segments or act as tiered backup systems.
The larger the power requirement, the more robust the engine, fuel handling systems, and housing need to be. That complexity directly impacts the price. For broader insights on power systems, read our industrial engine pricing guide to understand how engine types and specs influence generator costs.
The upfront cost of a natural gas generator is most heavily influenced by its kilowatt output. A small commercial 30 kW unit may cost around $15,000 to $25,000. A mid-range 60 kW to 100 kW generator typically falls between $30,000 and $60,000. High-capacity models of 500 kW or more can range from $100,000 to $500,000 or higher, depending on brand, configuration, and compliance requirements.
Buyers should also consider whether to purchase new or used. Depco offers a wide inventory of used commercial-grade natural gas generators, many of which are inspected and load-tested for reliability. Choosing a used one can significantly reduce the price of a natural gas generator without sacrificing performance.
Costs also vary depending on whether a standard configuration is selected or a custom-engineered solution is required.
Installation is a key part of the total investment in any generator project. For commercial sites, natural gas generator installation includes connecting to a gas supply line, installing an automatic transfer switch (ATS), laying a concrete pad, completing electrical hookups, and ensuring all systems pass code inspections.
A simple natural gas generator installation may cost $5,000 to $10,000. Larger and more complex installations can exceed $25,000. Industrial facilities that require customized gas line routing, trenching, building integration, or ventilation systems can experience even higher costs.
The natural gas generator installation cost is driven by local labor rates, distance from utility connections, control system complexity, and permitting requirements.
Once installed, the cost of running a natural gas generator becomes a long-term budget consideration. These generators draw fuel directly from a natural gas utility connection, eliminating the need for manual refueling.
Fuel usage varies by load. A 100-kW generator running at 75% capacity might consume roughly 900 to 1,200 cubic feet of natural gas per hour. Local gas rates typically range between $10 and $15 per thousand cubic feet. This places the natural gas generator cost per kWh in the range of $0.08 to $0.15, depending on generator efficiency and fuel pricing.
For cost forecasting, use the interactive calculator below to estimate your expected hourly and monthly fuel costs based on your generator’s size, load factor, runtime hours, and natural gas pricing.
Keep in mind that natural gas usage varies depending on real-world factors, including generator efficiency, average load, and even temperature. While this tool provides a general baseline, your actual consumption may vary slightly depending on operating conditions and configuration.
Like any power equipment, natural gas generators require regular maintenance and service. Most manufacturers recommend scheduled service every 250 to 500 hours of operation, or semi-annually for standby units.
Typical annual maintenance costs for commercial generators fall between $1,000 and $2,000. These figures include oil and filter changes, coolant top-offs, battery checks, spark plug replacements, and diagnostic testing. For prime power applications or mission-critical loads, many companies opt for a service agreement that guarantees response time and preventive care.
While natural gas generators do not require on-site fuel storage like diesel systems, routine inspections of gas lines, regulator valves, and the transfer switch function are essential.
Depco supplies new and used natural gas generators for industrial, commercial, and critical infrastructure applications. Our expert team helps clients evaluate generator sizing, fuel costs, installation needs, and long-term operational expenses to find the right solution at the right price.
For buyers looking to reduce upfront costs, Depco offers a large inventory of high-quality used generators. All used units undergo comprehensive inspection and load testing. Our clients span industries including power generation, oil and gas, healthcare, and manufacturing.
When performance, price, and support matter, Depco provides complete guidance from quote to installation.
Purchasing a natural gas generator is a strategic investment in energy resilience. To plan effectively, commercial and industrial operators must consider not just the unit’s price, but also installation, fuel, and maintenance costs.
Compared to diesel systems, generators that run on natural gas offer fuel savings, longer runtimes, and cleaner emissions. By understanding the full cost picture, companies can reduce risk and improve readiness for future outages.
To get started, contact Depco. Our team is ready to help you assess your power needs and deliver a cost-effective natural gas generator solution.
Installation costs vary depending on the project scope, but most commercial installations cost between $5,000 and $25,000. Factors include gas line connections, transfer switches, concrete pads, and site-specific challenges.
Fuel consumption depends on generator size and load. A 100-kW generator operating at 75% load may use approximately 900 to 1,200 cubic feet of natural gas per hour.
The operating cost typically falls between $0.08 and $0.15 per kilowatt-hour, depending on local fuel rates and generator efficiency.
Commercial natural gas generators require regular maintenance, including oil changes, coolant checks, spark plug replacements, and inspections. Service is usually recommended every 250 to 500 hours or semi-annually.
Yes. Used generators can significantly reduce upfront costs while still providing dependable performance. Depco’s used inventory is tested and inspected to ensure reliability and performance in industrial settings.
By the end of , there were about 9,719 power plants in the United States. Given that the average American goes without power for approximately 112 minutes every year, these power plants are still inadequate.
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Featured content:Have you been wondering what alternative power generation options you might have at your disposal to make up for such instances of outages?
A portable generator is your best bet. Whether you run a small or medium-sized enterprise having a backup generator can save you from the frustrations of recurrent blackouts. Diesel generators are among the most reliable backup options on the cards that can help you save money.
Could you be considering ways to help you cut on energy costs? Here are 7 ways diesel generators can help you meet your power needs without hurting your pockets.
Efficiency should always matter when purchasing a portable generator. You need to consider an option that’s easy to fix. You should also go for a generator that can withstand the different climatic extremes.
Diesel generators are a perfect choice when considering efficiency. With this option, it’s easy to fix any recurrent issues with incredible ease. Diesel generators can withstand cold temperatures, which helps to keep your lights on all year round.
Businesses that own diesel engines spend less on fuel regardless of the number of operational hours. You’ll also notice less wear and tear on the motor when using diesel engines. This is partly because diesel engines don’t need to work as hard.
Everybody dreads the use of generators due to the constant irritating noise most old models produce. Sound can be a major distraction, especially on business premises with limited space. The good news is that with diesel generators, you don’t have to worry about noise.
Compared to most old models, modern diesel generators have quieter motors. These diesel engines, therefore, require less power, which ensures that they run more quietly.
Run time is an important consideration when buying a diesel engine.
Most old model generators had inherent limitations due to shorter run times. You don’t want to end up with a generator that does not guarantee an adequate run time to complete your most essential power needs. Your best bet would be to settle for a portable diesel generator.
Diesel generators have unmatched run time. This unique aspect ensures that your business has an adequate supply of power for a longer time. Motors on a diesel generator run far longer than those on a standard gasoline engine, which adds to your productivity.
Did you know that it takes 1 Kwh to keep -watt light bulbs illuminated for one hour?
Most business premises and households require at least 914 kWh to keep most of the essential functions going. This means that in case of a power outage, you need a diesel backup option that can ensure adequate power output to keep up with your power needs.
Compared to most other older models, diesel generators can generate far more power. The average natural gas engine of the same size can’t produce as much energy.
Are you looking for a power backup option that guarantees above-average power output?
A diesel generator generates double the amount of power you would get from any old-model generators. This means that you can keep up with your power needs without worrying about limitations in the power supply.
When contemplating the actual budget of buying a generator, it would also help to consider the running costs.
You don’t want to end up paying through the nose when purchasing a generator that will require recurrent running costs. When matched with natural gas engines, diesel generators require fewer running costs, which makes this option worth your dime.
The cost of recurrent maintenance can be overwhelming. This is especially in the case of older models that had spark plugs or carburetors. The new model of diesel generators doesn’t have spark plugs, which makes them more durable.
Most diesel generators are also simpler and more efficient. This option requires less preventive maintenance and refueling. If you have a business that requires constant backup generators, this should be your best bet.
Safety should be a core consideration when operating a generator.
Most gasoline-powered generators require frequent refueling to keep them running for longer. When you undertake such recurrent refueling processes, you get exposure to highly flammable gasoline, which may lead to a potentially dangerous situation.
12% of all commercial building fires are caused by electrical distribution and lighting equipment failures.
You can’t take chances with the risk of fire within your business. As such, it would be best to settle for the safest option when shopping around for a portable generator. Diesel generators are the safest option for all your power backup needs.
Most diesel generators require less fueling, which minimizes the risk of fires. Further, diesel is less flammable compared to gasoline, which means your business will be safer from any probable risks.
When settling for a backup generator, the inherent features should matter.
The main problem with older versions was their limited features. However, the diesel generator has some unique features that make this option stand out.
Some of the unique features include transfer switch, automatic voltage regulation, and automatic shutdown options. These options, coupled with extra safety features, help minimize any mishaps when operating the diesel standby generator.
When settling for a diesel generator, there are unique aspects that should matter. These inherent strengths make diesel generators superior when compared to natural gas engines.
Longer run time, better efficiency, and low running costs are some of the unique benefits of these generators. You also get to enjoy more features and higher levels of safety when using diesel engines. Our full range of used diesel generators combines cost-effectiveness and efficiency to guarantee you the best results.
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