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Saudi Arabia Power EPC Market Size (2024 - 2029)

The Saudi Arabia power EPC market is experiencing substantial growth, driven by significant investments and supportive government policies aimed at expanding power generation capacity to meet rising electricity demand. The market's expansion is further supported by the government's efforts to attract private and foreign investments, which could alleviate fiscal pressures and enhance opportunities within the sector. Despite challenges such as geopolitical tensions and economic constraints, the focus on renewable energy and potential industry liberalization are expected to positively influence the market's trajectory.

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Market Size of Saudi Arabia Power EPC Industry

Saudi Arabia Power EPC Market - Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR > 7.50 %

Major Players

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*Disclaimer: Major Players sorted in no particular order

Saudi Arabia Power EPC Market Analysis

The Saudi Arabia power EPC market is witnessing significant growth with CAGR greater than 7.5% over the period of 2020-2025. Factors such as huge investment and government policies are likely to drive the Saudi Arabia power EPC market during the forecast period. Moreover, to meet the electricity demand, the Kingdom is estimated to increase its power generation capacity from 77 GW in 2014 to 156 GW by 2040. It includes installing 5 GW capacity and distribution infrastructure every year through 2020. For achieving the goal, the government is planning to invest USD 5 billion in electricity generation and USD 4 billion in distribution. However, geopolitical tensions and the high fiscal deficit with a high inflation rate are expected to negatively impact the Saudi Arabian power EPC market in the short term.

  • Renewable energy is expected to dominate the Saudi Arabia Power EPC Market.
  • The government of Saudi Arabia is encouraging private companies and foreign investment to lower down its fiscal deficits. If the government takes steps to liberalize the power industry, domestic as well as international private investors can provide the country necessary investments and take the burden of the government-owned power companies. This, in turn, privatization of the power industry is likely to offer better opportunities to the Saudi Arabia power EPC market in the coming future.
  • Rapid rise in domestic demand led to increased electricity generation targets, which is likely to drive the Saudi Arabia power EPC market during the forecast period.

Saudi Arabia Power EPC Industry Segmentation

The Saudi Arabia power EPC market report include:

Type
Thermal
Oil & Gas
Renewable
Nuclear
Others
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Saudi Arabia Power EPC Market Size Summary

The Saudi Arabia power EPC market is experiencing robust growth, driven by substantial investments and supportive government policies. The Kingdom's ambitious plans to expand its power generation capacity are a response to the increasing electricity demand, which has been rising steadily due to factors such as population growth, industrial expansion, and the high energy consumption associated with air conditioning and desalination processes. The government's commitment to investing significantly in electricity generation and distribution infrastructure is expected to bolster the market. However, challenges such as geopolitical tensions, fiscal deficits, and high inflation rates may pose short-term obstacles to market growth.

Renewable energy is poised to be a dominant force in the Saudi Arabia power EPC market, with the government actively promoting private and foreign investments to alleviate fiscal pressures. The National Renewable Energy Program (NREP) underscores the Kingdom's strategic shift towards renewable energy, aiming to reduce reliance on crude oil and enhance electricity generation capacity. The development of numerous solar and wind projects is anticipated to be a key driver of market expansion. As the demand for electricity continues to rise, the need for new power plants and EPC services is expected to increase, further propelling the market's growth trajectory during the forecast period. The market remains moderately fragmented, with several key players contributing to its competitive landscape.

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Saudi Arabia Power EPC Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Market Size and Demand Forecast in USD billion, till 2025

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

      2. 1.5.2 Restraints

    6. 1.6 Supply Chain Analysis

    7. 1.7 Porter's Five Forces Analysis

      1. 1.7.1 Bargaining Power of Suppliers

      2. 1.7.2 Bargaining Power of Consumers

      3. 1.7.3 Threat of New Entrants

      4. 1.7.4 Threat of Substitutes Products and Services

      5. 1.7.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Type

      1. 2.1.1 Thermal

      2. 2.1.2 Oil & Gas

      3. 2.1.3 Renewable

      4. 2.1.4 Nuclear

      5. 2.1.5 Others

Saudi Arabia Power EPC Market Size FAQs

The Saudi Arabia Power EPC Market is projected to register a CAGR of greater than 7.5% during the forecast period (2024-2029)

Doosan Heavy Industries Constrction Co Ltd , Power Construction Corporation of Chn Ltd , National Contracting Company Limited , Larsen & Toubro Limited and Electrical & Power Contracting Co. Ltd. are the major companies operating in the Saudi Arabia Power EPC Market.

Saudi Arabia Power EPC Market Report Snapshots

Saudi Arabia Power EPC Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)