Iraq Power EPC Market by Sectors (Thermal, Renewables, and Others), Transmission and Distribution, and Country - Industry Analysis, Growth, Share, Size, Trends, and Forecast 2021–2028.

The Iraq power EPC market size is expected to expand at a CAGR of 5% during the forecast period 2021-2028. The growth of the market is attributed to the increasing power consumption and demand for various energy sources in the country.

Power EPC refers to engineering, procurement, and construction of power plants. Government agencies provide contracts to the industry players to complete the entire project instead of conferring fragments of the projects to different companies.

Iraq has a large reserve of hydrocarbons and it is highly dependent on thermal energy for power generation. The thermal energy is expected to dominate the power EPC market during the forecast period owing to increasing number of projects in the pipeline. Rising number of power generation projects are driving the growth of the market.

Market Drivers, Restraints, Trends, and Opportunities

• Rising number of solar energy projects is anticipated to proliferate the market growth.
• Growing population is one of the major factors driving the market growth.
• The ongoing COVID-19 pandemic had disrupted the supply chain in the country. This, in turn, has hampered the growth of the market.
• The US sanctions on Iraq is impeding the market growth.
• Rapid industrialization owing to implementation of government policies and plans is speculated to proliferate the growth of the market.
• In April 2020, the Government of Iraq decided to reduce gas and electricity imports by 75%. This is expected to create lucrative opportunities for new entrants and emerging players in the country.

Scope of the Report

The report on the Iraq power EPC includes an assessment of the market, trends, segments and regional markets. Overview and dynamics have also been included in the report.

Iraq Power EPC Market Segment Insights

Renewables segment to exhibit a high CAGR

Based on sectors, the market is segregated into thermal, renewables, and others. The renewables segment is anticipated to exhibit a high CAGR during the forecast period. Declining semiconductor prices and rapid industrialization in the country are driving the growth of the market segment. Solar energy is one of the major sources of energy in the country. Despite a stagnant market of renewable energy with an installed capacity of 2311 MW, Iraq has a huge potential for solar energy. With upcoming projects and calculated goals, the renewable energy sector is projected to have significant opportunities that can drive the renewables segment.

The thermal segment is projected to dominate the market during the forecast period. In 2020, Shamara Group started the second phase of the 3,000 (mega-watts) MW independent power project (IPP) near Basra in southern Iraq. It is a combined-cycle power plant with 12 gas and six steam turbines. The third and fourth phases are expected to be completed by 2022.

In 2020, GE Gas Power completed services on four 9F.03 gas turbines, two steam turbines, and six generators at Iraq's Besmaya Power Plant, enabling the plant to reliably supply up to 3 gigawatts (GW) of electricity to the national grid.

Transmission and distribution segment to grow at a rapid rate

The transmission and distribution segment is anticipated to account for a major market share during the forecast period. Rising revamping of existing electrical infrastructure to suffice the demand for increasing energy demand is driving the growth of the market segment.
 

Segments

Segments Covered in the Report
Sectors

• Thermal
• Renewables
• Others

Transmission
Distribution
Country

• Iraq

Key players

• North Power Company Ltd
• Shamara Holding Group
• Unitech EPC Solutions
• General Electric Company
• Siemens AG

Competitive Landscape

Some of the major companies in the market include North Power Company Ltd, Shamara Holding Group, Unitech EPC Solutions, General Electric Company, and Siemens AG.

Many companies are undertaking various different initiatives to drive the power EPC market in the country. They are engaging in partnerships with government state bodies and are investing in R&D activities to expand their market share.

Siemens GAMESA Renewable Energy has planned a wind atlas for Iraq along with the deployment of a 400 MWp wind farm. In 2020, the United Nations Development Program (UNDP) signed an agreement with the Governorate of Duhok to establish a pilot solar park that will provide a minimum of 2MW of electricity within a time period of two years. Duhok is planning the installation and functioning of solar parks to offer up to 40 MWof clean electricity by 2030.