Nigeria Power EPC Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 4.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Nigeria Power EPC Market Analysis
The Nigeria Power EPC Market is expected to register a CAGR of over 4% during the forecast period.
In 2020, COVID-19 negatively impacted the market. Presently, the market is expected to reach pre-pandemic levels.
- Over the medium term, supportive government policies and increasing investments in the power sector are expected to drive the market.
- On the other hand, geopolitical tensions and the high fiscal deficit, coupled with a high inflation rate, are expected to negatively impact the Nigerian power EPC market in the short term.
Nevertheless, emerging markets such as distributed power generation, smart grids, and energy storage are expected to create ample opportunities for the players in the near future.
Nigeria Power EPC Market Trends
Thermal Power to Dominate the Market
- Nigeria is one of the biggest economies on the African continent, with approximately USD 440.78 billion in GDP recorded in 2021. However, the country's power sector is performing below the level of its peer countries. As of 2021, roughly 40% of the population has no access to grid-connected electricity, and those connected to the grid suffer extensive power outages.
- Thermal energy generating sources are one of the major electricity generation sources in the country. The country's significant gas potential is expected to aid in the growth of thermal energy sources during the medium term.
- As the government aims to remedy the country's energy crisis, gas is the preferred energy source because of its high efficiency in energy generation, relatively low per-unit cost, and low carbon emissions. Due to this, the country has depended on natural gas as the primary fuel for energy generation, with other sources playing a secondary role.
- For instance, in March 2023, a 50 MW gas-fired power plant was commissioned in the Maiduguri region to provide access to electricity to the people living in the region.
- Furthermore, with the increasing population, the country's electricity demand is also increasing. To match those demands, the government is expected to increase the deployment of thermal energy sources, as they are relatively cheaper to build and operate.
- In 2021, the total electricity generation capacity in the country was 36,397.2 GWh, an increase of 2% compared to last year.
- Therefore, due to the above mentioned points, the thermal segment is expected to dominate during the forecasted period.
Increasing Adaption of Solar Energy to Drive the Market
- Nigeria is located in the tropics and gets a lot of solar radiation all year. As a result, the nation has a significant potential for solar energy.
- The solar potential is especially high in the northern and northeastern parts of the country, which border the desert regions. Moreover, as these regions have low connectivity to the national grid due to low population densities and harsh weather conditions, which degrade transmission infrastructure, this provides a significant incentive for installing decentralized solar assets to provide electricity to a substantial share of the population living in these provinces.
- According to SolarGIS, in southern Nigeria, solar energy potential varies from 3.5-5 kWh/m2/day. At the same time, most of northern and northeastern Nigeria receive an average of more than 5.5 kWh/m2/day of solar radiation.
- Moreover, according to the International Renewable Energy Agency, solar energy installation in the region has been observing steady growth in recent years. In 2022, the installed solar energy capacity in the country was 37 MW, which was an increase of 12% compared to 2021.
- In February 2023, Rensource Energy, one of Nigeria's fastest-growing off-grid renewable energy EPC companies, revealed the signing of several projects in the nation, including 1.4 MW of solar energy. Rensource intends to build on the new projects as soon as possible this year. The projects will include battery energy storage systems that vary in size from 300 kWp to 700 kWp. This reflects a strong demand for sustainable and affordable electricity in Nigeria.
- Therefore, due to the above-mentioned points, the adaptation of solar energy is expected to increase the Nigerian power EPC market in the country.
Nigeria Power EPC Industry Overview
The Nigerian power EPC market is moderately consolidated. Some of the major players in the market (in no particular order) include Gentec EPC Ltd, Andritz AG, Alten Energ铆as Renovables, Energo Nigeria Ltd, and JuNeng Nig Ltd., among others.
Nigeria Power EPC Market Leaders
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Andritz AG
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Energo Nigeria Ltd.
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Alten Energ铆as Renovables
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Sterling and Wilson Nigeria Limited
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Gentec EPC Ltd.
*Disclaimer: Major Players sorted in no particular order
Nigeria Power EPC Market News
- February 2023: GE Gas Power, an American energy company, revealed plans to invest in power assets that will add nearly 500 megawatts (MW) to Nigeria's national electricity grid by the second quarter of 2023. The 240 MW Afam III power plant in Port Harcourt, the 50 MW Maiduguri project with the Nigerian National Petroleum Company Limited (NNPC), and another 50 MW project for the Dangote Group to serve its cement and refinery plants are among them, according to the company.
- December 2022: The Federal Government of Nigeria announced that 11 hydropower projects with a total capacity of 3,750 MW of electricity had been initiated and that work was currently ongoing at the various project sites.
Nigeria Power EPC Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Market Size and Demand Forecast in USD billion, until 2028
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
5. MARKET SEGMENTATION
5.1 Power Generation
5.1.1 Thermal
5.1.2 Renewables
5.1.3 Other Power Generation Sources
5.2 Power Transmission and Distribution (T&D) - (Qualitative Analysis Only)
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Energo Nigeria Ltd.
6.3.2 Andritz AG
6.3.3 Sinohydro
6.3.4 JuNeng Nig Ltd.
6.3.5 Gentec Epc Ltd
6.3.6 Alten Energ铆as Renovables
6.3.7 Sterling and Wilson Nigeria Limited
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Nigeria Power EPC Industry Segmentation
Power EPC is a form of contract used to undertake the construction of power generation, transmission, and distribution projects on large-scale and complex energy infrastructure projects. EPC stands for engineering, procurement, and commissioning. Engineering and procurement involve the detailed engineering design of a project and procuring all the equipment and raw materials necessary. Construction is related to delivering a functional facility to the client.
The Nigerian power EPC market is segmented by power generation and power transmission and distribution (T&D). By power generation, the market is segmented into thermal, renewable, and other power generation sources. For power transmission and distribution (T&D), only qualitative analysis is provided. The report offers the market size and forecasts for the Nigerian power EPC market in terms of revenue (USD billion) for all the above segments.
| Power Generation | |
| Thermal | |
| Renewables | |
| Other Power Generation Sources |
Nigeria Power EPC Market Research FAQs
What is the current Nigeria Power EPC Market size?
The Nigeria Power EPC Market is projected to register a CAGR of greater than 4% during the forecast period (2024-2029)
Who are the key players in Nigeria Power EPC Market?
Andritz AG, Energo Nigeria Ltd., Alten Energ铆as Renovables, Sterling and Wilson Nigeria Limited and Gentec EPC Ltd. are the major companies operating in the Nigeria Power EPC Market.
What years does this Nigeria Power EPC Market cover?
The report covers the Nigeria Power EPC Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Nigeria Power EPC Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Nigeria Power EPC Industry Report
Statistics for the 2024 Nigeria Power EPC market share, size and revenue growth rate, created by 糖心vlog传媒鈩� Industry Reports. Nigeria Power EPC analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
