Benefits of On-Site Nitrogen Generation
If you have been running a small but solid operation for years, you might think on-site nitrogen generation is ultimately not worth the investment. However, even small workshops can reduce their operating costs significantly by switching to on-site gas generation instead of having gas delivered.
If you run a mid-sized or growing industrial business and still rely on nitrogen deliveries, you are almost certainly missing out on huge savings. The cost of an on-site generator could offer a quick payback and pay for itself in no time. And the cost-saving benefits of an on-site nitrogen generator extend far beyond logistics.
Nitrogen generation systems can reduce your energy bills and carbon footprint. They can also improve the quality of your products and services, help you remain compliant with changing regulations, and minimise business downtime. Whether you are in the food and beverage, the electronics manufacturing, or oil and gas, the shift to on-site production transforms nitrogen from a consumable cost into a controllable utility.
At Search Air, serving Yorkshire, the East Midlands, and beyond for over 78 years, we have been a trusted UK supplier of industrial compressed air and gas equipment for decades. We have also been a Premier Distributor for Atlas Copco, a globally recognised industry pioneer, since 2001. The benefits discussed below apply to almost all businesses regardless of size, but if you want specific advice based on your unique setup and goals, do not hesitate to get in touch for a no-obligation chat.
What is an On-Site Nitrogen Generator?
An on-site nitrogen generation system produces nitrogen gas on your premises, eliminating the need for a delivered nitrogen supply, whether bottled nitrogen or bulk liquid. It typically includes an air compressor, nitrogen gas generator utilising membrane or Pressure Swing Adsorption technology, and a receiver to regulate the quality and pressure of the gas.
Through the process of adsorption, on-site systems allow you to generate as much or as little nitrogen as needed, adjusting purity and flow rates to meet changing demands. Modern generation systems continuously produce high-purity nitrogen gas, removing the inconvenience of relying on deliveries and helping to avoid the waste seen with traditional bottled supplies. For example, Atlas Copco’s NGP and NGP+ series offer superior energy efficiency and seamless integration with existing compressed air networks.
By producing nitrogen with your own system, you secure a reliable nitrogen source, cut operating costs, and eliminate risks associated with delivery delays and rising supplier prices. Many businesses find that investing in quality through uninterrupted supply pays for itself quickly, while also building greater flexibility and resilience into their operations.
The Drawbacks of Traditional Nitrogen Suppliers
Relying on a delivered nitrogen supply, whether nitrogen cylinders or bulk liquid, brings hidden costs and risks. In addition to paying for the gas itself, businesses often face delivery charges, nitrogen storage tank rental costs, and the inconvenience of managing deliveries. Residual waste from cylinders or bulk liquid nitrogen can also drive up your true cost of obtaining nitrogen, often referred to as “boil-off” losses where unused gas evaporates from the tank.
External supply chains expose you to delivery delays, shortages, and rising prices, making it harder to control operating costs. A sudden change in demand may force you to purchase nitrogen at a premium, pay for gas purity you don’t need, or risk production downtime. Handling high-pressure cylinders also adds health and safety risks to your workplace and increases your carbon footprint.
Using an on-site nitrogen generation system enables you to produce as much or as little nitrogen as needed, giving you a more reliable nitrogen supply and economical source of nitrogen, produced on your premises through compressed air, eliminating the inconvenience of traditional deliveries.
With all that said, what are the key benefits of generating nitrogen on-site?

Benefits of On-Site Nitrogen Generation
Benefits of an On-Site Nitrogen Generator
By relying on traditional gas suppliers instead of using nitrogen from an on-site system, you are potentially missing out on some or all of the following benefits:
1. Lower Energy Costs
The cost per unit of nitrogen from a supplier far exceeds that of an on-site generator, and that does not factor in delivery fees. Additionally, you may be familiar with needing to purchase higher-purity gas than required from a supplier with limited options during urgent situations. With a generator, you have an endless supply of just the right amount of nitrogen you need, all while improving overall air compressor efficiency and reducing unnecessary energy consumption.
2. Stable Nitrogen Purity Levels
As mentioned above, plenty of businesses have faced higher-than-ideal fees for higher-purity-than-necessary gas. Plus, while many suppliers may be dependable, any mistakes in their purities when delivering could cause damage to your business in various ways. With your own generator, developed with the latest Atlas Copco tech like the NGP+ series, you will never face such issues and can ensure exact nitrogen quality.
3. No Long-Term Supplier Contracts
Many suppliers expect their customers to lock into long-term contracts to secure a reliable supply. Unfortunately, this means that a significant element of your operating costs is subject to unpredictable fluctuations. As we have recently seen to the nth degree, energy prices can be extremely volatile. On-site nitrogen production gives you total control over their nitrogen supply.
4. Long-Term Savings
While an on-site generator requires a relatively significant upfront investment in some situations (and a much smaller investment than you might think in others), the savings on energy can quickly even things out. Some businesses experience a 50% reduction in their cost of gas by upgrading to an on-site solution, proving that nitrogen generation eliminates unnecessary overheads.
5. Improved Workplace Safety
Large gas cylinders have always been a workplace hazard. While accidents may be rare, storing nitrogen cylinders and their mishandling have been responsible for injuries. When you can generate nitrogen on-site, this risk is eliminated.
6. Minimised Carbon Footprint
As we all need to play our part in becoming greener, particularly in the face of ever-changing regulations, being environmentally friendly is now a top business priority. Fortunately, minimising gas consumption and wastage with a generator saves you money while streamlining your operations.
7. Reliable Maintenance Agreements
Provided you purchase your generator from a reputable team of engineers, you will generally have agreed and affordable routine maintenance schedules that maximise the lifespan of your equipment, including the generator itself and all the equipment it powers. Reliability is key to maintaining continuous operations.
8. Increased Workplace Productivity
With a reliable source of quality nitrogen, no need to move heavy cylinders, and a much lower risk of business downtime, you can dramatically boost workplace productivity and efficiency with a gas generator.
9. Diverse Industrial Applications
Nitrogen gas makes a difference in a variety of industrial uses. While we often think of heavy industry, the applications of nitrogen are vast. For the food and beverage sector, it is essential for Modified Atmosphere Packaging (MAP) to extend shelf life. In electronics, high purity nitrogen prevents oxidation during soldering. Even in laser cutting, ensuring the right nitrogen solutions are in place is critical for a clean cut.
Learn More about Nitrogen Generation
At Search Air, we help businesses of all sizes reduce their energy usage, running costs, and emissions with the latest range of featured-packed Atlas Copco compressed air and gas solutions. By generating nitrogen from compressed air, you gain autonomy over your supply. The benefits detailed above only scratch the surface. If you want to learn even more about the business pros of benefits of onsite nitrogen generation, especially regarding how they relate to your specific business, do not hesitate to call our team of friendly and seasoned engineers. We will be delighted to explain how a generator can offer many more benefits than you might expect.
FAQ
How does an on-site nitrogen generator work?
An on-site nitrogen generator uses compressed air and eliminates the inconvenience of a delivered nitrogen supply. The system separates nitrogen from oxygen and nitrogen, allowing you to produce your total demand for nitrogen gas on-site with the required quality and volume on demand. Modern systems continuously produce high purity nitrogen without relying on external suppliers.
Is on-site nitrogen generation more economical than bottled or bulk deliveries?
Yes, on-site generation is the most economical way to meet your supply of nitrogen needs. Generation enables you to produce as much nitrogen as your operation requires, without the added costs of high-pressure compressed gas cylinders, delivery fees, or wasted residual gas. Many businesses find that using a nitrogen generator offers significant long-term savings and greater control over costs.
What industries benefit most from using on-site nitrogen gas systems?
On-site gas systems are commonly applied in various sectors, including manufacturing, food and beverage packaging, electronics, oil and gas, and pharmaceuticals. These industries require consistent nitrogen and oxygen separation to ensure product quality and safety.
What is the difference between PSA and Membrane technology?
A typical nitrogen generator uses either PSA or membrane technology. PSA (Pressure Swing Adsorption) is ideal for high purity applications (up to 99.999%), using carbon molecular sieves to separate molecules. Membrane technology is often used for lower purity requirements (95-99.5%) and is excellent for environments where a compact footprint is needed.
Can I integrate a nitrogen generator with my existing air compressor?
Absolutely. Most modern nitrogen can be generated using your existing compressed air setup. Units like the Atlas Copco NGP+ are designed for seamless integration, allowing businesses to produce nitrogen efficiently with minimal disruption to their current infrastructure.
Is On-Site Nitrogen Generation Right for YOUR Business?
On-site nitrogen generation can be a game-changer for many businesses, but it’s not a one-size-fits-all solution. To determine if it’s the right choice for you, consider factors like your nitrogen consumption, purity requirements, and budget. If you’re facing high delivery costs, frequent supply disruptions, or stringent purity standards, on-site generation is definitely worth exploring.
Search Air: Your Local Nitrogen Generation Partner in Yorkshire, the East Midlands, and Beyond
At Search Air, we’re not just a supplier; we’re your local partner for all things compressed air and gas. With service depots in Leeds, Sheffield, and Nottingham, we provide rapid response and expert support across Yorkshire, the East Midlands, and surrounding regions. As an Employee Ownership Trust (EOT), every member of our team is personally invested in your success.
The Environmental Impact of On-Site Nitrogen Generation: A Closer Look
Switching to on-site nitrogen generation isn’t just good for your bottom line; it’s also good for the planet. By eliminating the need for transportation and reducing gas wastage, you can significantly minimise your carbon footprint. On-site systems also reduce the risk of leaks and spills associated with traditional nitrogen deliveries.
Comparing On-Site Nitrogen Generation Technologies: PSA vs. Membrane
Choosing the right nitrogen generation technology is crucial for optimising performance and efficiency. PSA (Pressure Swing Adsorption) systems are ideal for applications requiring ultra-high purity nitrogen (up to 99.999%), while membrane systems offer a more compact and cost-effective solution for lower purity requirements. Factors like flow rate, pressure, and operating environment will influence the best choice for your business.
Calculating Your Nitrogen Generation ROI: A Step-by-Step Guide
Understanding the return on investment (ROI) of on-site nitrogen generation is essential for making an informed decision. Start by calculating your current nitrogen costs, including gas purchases, delivery fees, and storage charges. Then, estimate the cost of an on-site system, including installation, maintenance, and energy consumption. Finally, compare the two figures to determine your potential savings and payback period.
What Industries Benefit Most From On-Site Nitrogen Generation?
On-site nitrogen generation offers significant advantages across a wide range of industries. In the food and beverage sector, it’s used for modified atmosphere food packaging to extend shelf life and preserve product quality. In electronics manufacturing, high-purity nitrogen prevents oxidation during soldering and other critical processes. And in the oil and gas industry, it’s used for purging pipelines and equipment to ensure safety and prevent corrosion.
How Does Nitrogen Generation Reduce Operational Issues?
By producing nitrogen on-site, you eliminate the risk of delivery delays, shortages, and price fluctuations associated with traditional nitrogen suppliers. This ensures a consistent and reliable nitrogen supply, minimising downtime and improving production efficiency. On-site generation also allows you to tailor the nitrogen purity and flow rate to your exact needs, optimising performance and reducing waste.
Where Are Nitrogen Generator Systems Commonly Used?
Nitrogen generator systems are commonly used in a variety of industries, including:
- Food and beverage packaging
- Electronics manufacturing
- Pharmaceuticals
- Oil and gas
- Laser cutting
- Chemical processing
- Metal fabrication
These industries require consistent nitrogen to ensure product quality and safety.
How Reliable Are Nitrogen Generators?
Modern nitrogen generators are designed for reliable and continuous operation. With proper maintenance and servicing, they can provide years of dependable performance. Regular maintenance schedules, including filter changes and system checks, are essential for maximising the lifespan of your equipment.
How Often Should You Test Compressed Air Quality?
The frequency of compressed air quality testing depends on your industry and application. Industries with stringent quality standards, such as food and beverage and pharmaceuticals, may require testing as frequently as quarterly or monthly. Other industries may only need to test annually or bi-annually. Regular testing ensures that your compressed air meets the required purity levels and prevents contamination.
Which Solution is Best for Your Business?
The best nitrogen generation solution for your business depends on your specific needs and requirements. Factors to consider include:
- Nitrogen consumption
- Purity requirements
- Budget
- Space constraints
- Energy efficiency
A qualified compressed air and gas specialist can help you assess your needs and recommend the best solution for your business.
How We Help
At Search Air, we have decades of experience helping businesses optimise their compressed air and gas systems. Our team of experts can provide a comprehensive assessment of your needs and recommend the best nitrogen generation solution for your business. We also offer installation, maintenance, and repair services to ensure that your system operates at peak performance.
Our experts can provide you with all the information you need to make an informed decision.
Ready to explore the full potential of on-site nitrogen generation for your business? Contact our team of engineers for a free consultation. We’ll be delighted to explain how a generator can offer many more benefits than you might expect.

