Generators Are Letting Homeowners Take Back the Power

Want to be a hero to your family, friends and neighbors during a power outage? Install a generator.

In February, Paul Murphy earned hero status after an arctic freeze gripped Texas, forcing millions of residents to endure days without electricity and heat. Mr. Murphy, chief executive of Cadence Bancorp in Houston, invited his adult children, as well as his daughter’s friends and their 2-month-old baby, to stay at his home in the city’s Tanglewood neighborhood.

“It was really cold for five days,” Mr. Murphy, 61, says. “The power would come on for a few hours, then go off again. Restaurants were closed. People were scrambling to find hotels.” Amid the chaos, there were nine people and two dogs staying toasty under Mr. Murphy’s roof. “Thanks to the generator, it was a very manageable situation.”

In July, Mr. Murphy replaced his 15-year-old 20-kilowatt generator that could partially power his house with a 60-kilowatt model that could keep his entire 10,000-square-foot home humming in a blackout. His old generator needed extensive repairs, so it made more sense to Mr. Murphy to upgrade to a liquid-cooled unit by Kohler Power, which cost about $36,000, including installation.

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Mr. Murphy was eager to get the generator installed before the height of hurricane season, which set a record in 2020 with 30 named storms, according to the National Oceanic and Atmospheric Administration. But his timing was ideal during the pandemic, when millions of Americans were working and learning from home.

“People are buying machines because it’s their livelihood. Kids can’t do learning online without power. Being stuck at home, sheltering in place, people need continuous power,” says Aaron Jagdfeld, chief executive of Generac Holdings, a Waukesha, Wis.-based company that makes residential and commercial generators. Last year, sales were up 12% overall, with residential sales up 36%, according to the company’s fourth-quarter earnings report. Even with factories running 24/7, there is currently a four-month backlog of orders. (By autumn, the company hopes to have another factory in Edgefield, S.C., up and running.)

Demand remains strong even today, says Larry Teeling, director of marketing at Kohler Power, a subsidiary of Kohler Co., also based in Wisconsin.

Both Generac and Kohler Power say much of their growth is coming from the sale of whole-house generators, also called standby or backup generators. These are large, permanent units that connect directly to the home’s electrical panel and seamlessly take over when the power goes out. They typically run off natural gas or liquid propane.

When shopping for a generator, one of the most important decisions involves the size of the unit. Generators for larger homes range from 20 kilowatts to 150 kilowatts, with prices ranging from about $5,500 to $35,000, not including installation. To determine the optimal size, consider how you want the generator to function during an outage: Do you want the whole house on backup power or do you want just the basics, such as air conditioners, a refrigerator, water heater and minimal lights and outlets?

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The second decision involves how the generator keeps itself cool. An air-cooled machine draws in outside air or uses a fan to circulate air around the engine block. A liquid-cooled unit pumps a coolant through the engine block to absorb the heat, which is then dispersed into the air via a radiator. Air-cooled generators are generally 20% less expensive than liquid-cooled ones, Mr. Teeling says, but liquid-cooled units are quieter.

For example, the noise level for a Kohler Power 24-kilowatt liquid-cooled generator is 52 to 60 decibels, depending on how much power is being used, according to the company. Its 20-kilowatt air-cooled unit operates at 69 decibels under a normal load. For the sake of comparison, a dishwasher operates at about 70 decibels, a gas-powered leaf blower runs at 80 to 85 decibels and a motorcycle is 95 decibels, according to the Centers for Disease Control and Prevention.

Noise levels matter both for personal comfort and for that of the neighborhood. Most municipalities require homeowners to get a permit before installing a generator, and some cities have noise restrictions that may affect generator use. Additionally, some homeowners associations have rules for generator placement and usage. Regardless, homeowners should be mindful of their neighbors when deciding where to locate a generator.