A diesel generator (DG) (also known as a diesel genset) is the combination of a diesel engine with an electric generator (often an alternator) to generate electrical energy. This is a specific case of engine generator. A diesel compression-ignition engine is usually designed to run on diesel fuel, but some types are adapted for other liquid fuels or natural gas. Diesel generating sets are used in places without connection to a power grid, or as an emergency power supply if the grid fails, as well as for more complex applications such as peak-lopping, grid support, and export to the power grid. Diesel generator size is crucial to minimize low load or power shortages. Sizing is complicated by the characteristics of modern electronics, specifically non-linear loads. In size ranges around 50 MW and above, an open cycle gas turbine is more efficient at full load than an array of diesel engines, and far more compact, with comparable capital costs; but for regular part-loading, even at these power levels, diesel arrays are sometimes preferred to open cycle gas turbines, due to their superior efficiencies. The packaged combination of a diesel engine, a generator, and various ancillary devices (such as base, canopy, sound attenuation, control systems, circuit breakers, jacket water heaters, and starting system) is referred to as a "generating set" or a "genset" for short. Set sizes range from 8 to 30 kW (also 8 to 30 kVA single phase) for homes, small shops, and offices, with the larger industrial generators from 8 kW (11 kVA) up to 2,000 kW (2,500 kVA three phase) used for office complexes, factories, and other industrial facilities. A 2,000 kW set can be housed in a ISO container with a fuel tank, controls, power distribution equipment and all other equipment needed to operate as a standalone power station or as a standby backup to grid power. These units, referred to as power modules, are gensets on large triple axle trailers weighing or more.

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