United Arab Emirates Power EPC Market Research Report Information Generation-Source (Thermal, Renewable and Others) – United Arab Emirates Market Forecast Till 2032

United Arab Emirates Power EPC Market Overview:

The United Arab Emirates Power EPC Market Size was valued at USD XX Billion in 2022. The Power EPC Market industry is projected to grow from USD XX Billion in 2023 to USD XX Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.60% during the forecast period (2024 - 2032). Increasing energy demand, infrastructure development, government initiatives, and investments in renewable energy projects are the main market drivers anticipated to propel the Power EPC Market in the United Arab Emirates.

In a report issued in 2024, it was stated that On Tuesday, November 26, 2024, Larsen Toubro Limited confirmed that its renewable EPC arm from the Power Transmission and Distribution Business has been appointed the spread of a contractor and turnkey Engineering Procurement and Construction in order to set up a 1800MWac Solar Photovoltaic Power Plant in Dubai UAE. It further contributed that this urban facility is the sixth stage of the Mohammed bin Rashid al Maktoum Solar Park in Dubai, UAE. This plant will result in a drop in carbon emissions by about 2.4 million tons per year.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

United Arab Emirates Power EPC Market Trends

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  Increasing the number of contract firms to encourage market growth

  
  

The United Arab Emirates EPC power market has been a major player in the global energy landscape, providing a diverse range of services and solutions to the sector. By increasing the number of contractual firms, the EPC industry can promote market CAGR. This is due to the multiple benefits that contractual firms bring to the table, including access to finance, experience, and resources, as well as access to global markets. The growing number of contractual firms can help to improve access to funding and lower the cost of conducting business. This can benefit EPC businesses by allowing them to access additional investment finance at lower interest rates. It enables them to diversify their holdings, which boosts profitability and lowers risk. Furthermore, it gives them access to global markets, which can provide them with a broader base of clients and prospects. As a result, the rising number of contractual firms has the potential to make the EPC power market more efficient and profitable.

Moreover, contractual firms can improve the efficiency and cost-effectiveness of EPC models by leveraging resources and experience from other industries, resulting in enhanced customer satisfaction and loyalty. Furthermore, contractual firms can contribute to building a more competitive market by introducing new technology, ideas, and approaches. This can help EPC firms get a competitive advantage because they can utilize it to distinguish themselves from their competition. Furthermore, when the number of contractual firms grows, it can help to create more jobs in the EPC sector by providing additional employment options. This can benefit both EPC firms and their employees by increasing economic security and stability. Overall, increasing the number of contractual firms has the potential to boost market expansion and growth in the UAE EPC power industry. It can assist in providing access to capital, resources, and experience, as well as establishing a more efficient and cost-effective EPC model. Furthermore, it might contribute to a more competitive market and increase job prospects. As a result, an increase in the number of contractual firms has the potential to drive the growth and development of the UAE EPC power market significantly. Additionally, the rising energy demand in the United Arab Emirates is a major factor driving the growth of the United Arab Emirates power EPC market. The Central Electricity Authority (CEA) predicts a move toward renewable energy sources and a decrease in thermal energy, indicating a critical need for infrastructure expansion to satisfy this demand. The government's ambitious intentions to build 500 GW of renewable energy by 2030, as well as considerable investments through the National Infrastructure Pipeline, support the market's growth. This surge in energy demand, accompanied by increased economic activity, creates significant prospects for the United Arab Emirates power EPC industry, transforming it into a booming sector in the country. Thus, driving the United Arab Emirates Power EPC market revenue.

United Arab Emirates Power EPC Market Segment Insights:

Power EPC Generation-Source Insights

The United Arab Emirates Power EPC Market segmentation, based on Generation-Source, includes Thermal, Renewable, and Others. The thermal category is likely to account for a significant portion of the market throughout the forecast period. According to the National Investment Promotion and Facilitation Agency, the United Arab Emirates's total thermal capacity is 234 Gigawatts (GW) as of April 2021, with energy generated from the burning of fossil fuels such as coal, natural gas, and oil. Coal accounts for 53% of total thermal power generation, with the remainder coming from other sources, including gas and oil. Sustained economic growth, rapid infrastructure developments, and more government initiatives are projected to boost category expansion in the future years.

Figure 1: United Arab Emirates Power EPC Market, Generation-Source, 2023 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

United Arab Emirates Power EPC Country Insights

The Power EPC Market in the UAE is seeing rapid expansion and development. With a strong emphasis on renewable energy and sustainability, the market offers numerous chances for infrastructure development and investment in power projects. The government's initiatives and rising energy demand are propelling the sector ahead. The UAE seeks to diversify its energy sources and minimize its reliance on fossil fuels, increasing renewable energy projects. The market provides a favorable regulatory framework, lucrative incentives, and collaboration with multinational corporations.

United Arab Emirates Power EPC Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Power EPC Market grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Power EPC industry must offer cost-effective items.

Major players in the Power EPC Market are attempting to increase market demand by investing in research and development operations, including Abu Dhabi National Energy Company PJSC (TAQA), ACWA Power, Abu Dhabi Transmission & Despatch Company (Transco), Dubai Electricity and Water Authority (DEWA), Petrofac Limited, Larsen & Toubro Limited, Bechtel Corporation.

Key Companies in the Power EPC Market include

• Abu Dhabi National Energy Company PJSC (TAQA)


• ACWA Power


• Abu Dhabi Transmission & Despatch Company (Transco)


• Dubai Electricity and Water Authority (DEWA)


• Petrofac Limited


• Larsen & Toubro Limited


• Bechtel Corporation

United Arab Emirates Power EPC Industry Developments

In January 2023, Abu Dhabi National Energy Company, TAQA, has successfully completed the acquisition of BTU Power Company's whole investment in the Taweelah B IWPP in the Emirate of Abu Dhabi.

In February 2023, Brooge Energy has announced the launch of a UAE-based Green Hydrogen and Green Ammonia project, which will be powered by a 650-megawatt Solar Photovoltaic (PV) project in Phase I. This initiative has the potential to significantly contribute to the transition to cleaner energy sources in the UAE and the wider region.

In February 2023, Brooge Energy Ltd., a company incorporated in the Cayman Islands, announced an alliance with Siemens Energy for a green hydrogen and ammonia project in Abu Dhabi. The project entails the construction of a 650 MW solar PV facility to provide renewable power for Phase 1 of the project. Siemens Energy will be responsible for the provision of EPC and maintenance support. The project is aligned with the energy transition of the UAE through the development of renewable energy, job creation, and greenhouse gas emissions reduction, demonstrating the UAE's policy towards seeking renewable energy development in various aspects of her economy.

As made clear from the news in 2024, the thermal power generation share in the total power generation mix in the UAE is expected to be 77.7% in 2023. Now the country is relying on gas imports for supplying power plants and water desalination plants. Given the finding of additional onshore hydrocarbon resources, the United Arab Emirates U A E hopes for self-sufficiency in gas supply by the year twenty thirty. Because of these large gas reserves, the power generation mix in the U A E in the period of 2022-2035 will remain thermal-dominated.

United Arab Emirates Power EPC Market Segmentation:

Power EPC Generation-Source Outlook

• Thermal


• Renewable


• Others