Philippines Power Generation EPC Market Size
| Study Period | 2020-2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 383.98 Million |
| Market Size (2029) | USD 535.90 Million |
| CAGR (2024 - 2029) | 6.89 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Philippines Power Generation EPC Market Analysis
The Philippines Power Generation EPC Market size is estimated at USD 383.98 million in 2024, and is expected to reach USD 535.90 million by 2029, growing at a CAGR of 6.89% during the forecast period (2024-2029).
- Over the medium period, factors such as increasing energy demand and upcoming and ongoing power plant projects are expected to drive the power EPC generation market in the Philippines during the forecast period.
- On the other hand, the complex and expensive nature of coal-fired and natural-gas-fired power plants, coupled with delays in projects, are expected to have a negative impact on the market studied.
- Nevertheless, the Philippines government has planned to phase out its coal usage by 2040 and focus more on energy production from natural gas and renewable sources. This, in turn, is expected to create several opportunities for power generation EPC companies in the near future.
Philippines Power Generation EPC Market Trends
Conventional Thermal Power Expected to Dominate the Market
- Conventional thermal power is the power that is generated through fossil-fuel sources, such as coal, natural gas, and oil. In 2022, nearly 77% of the electricity generated in the Philippines was from conventional thermal power.
- According to the Department of Energy (Philippines), in 2022, the Philippines had a total installed capacity of about 28.3 thousand megawatts, with over 12 thousand megawatts coming from coal-powered power plants.
- Out of the various sources of generating conventional thermal power, the majority of energy came from coal in 2022. Coal contributed approximately 46.31% of the Philippines' electricity generation. With such a huge percentage of electricity generation through fossil fuels and upcoming power plant projects, the demand for conventional thermal power is expected to increase during the forecast period.
- In March 2022, San Miguel Corporation announced that it would build two gas-fired power plants in the central Philippines for USD 1.14 billion. The construction of both plants was to start in the third quarter of 2022 and is expected to be completed in 2025. This development will aid in the growth of the EPC market as well since projects of such a large scale require extensive engineering, procurement, and construction planning, which a distinguished player does.
- Moreover, in January 2022, Gen X Energy and a unit of AC Energy Corp plan to jointly develop an 1100 MW combined cycle power plant project in the Philippines to run on natural gas as well as green hydrogen as its fuel.
- Therefore, from the above points, it is evident that conventional thermal power is expected to dominate the Philippine power generation EPC market during the forecast period.
Upcoming and Ongoing Power Plant Projects Expected to Drive the Market
- In 2022, the total electricity generation from various sources in the power sector in the Philippines was 114.4 terawatt-hours (TWh). Energy sources contributing to the country's energy generation include coal, natural gas, wind, hydro, geothermal, biofuels, and solar energy.
- According to the Statistical Review of World Energy Data, in 2022, the total electricity generation accounted for 114.4 terawatt-hours (TWh), with an annual growth rate of 4.8% compared to the previous year. With the increasing power plant projects and government focus on renewable energy generation, electricity generation is expected to increase, which, in turn, will drive the power generation EPC market in the future.
- In July 2023, Solana Solar agreed to ink a power purchase agreement (PPA) with Philippine firm Kratos RES to supply 10-20MW of electricity from its upcoming Solana Solar Power Project in the Philippines. The project will have a total capacity of 20MWdc, and its owners have already signed an agreement with the National Grid Corporation of the Philippines to connect the project to the national grid.
- In July 2023, the Department of Energy (DOE) of the Philippines announced plans to develop 68 renewable energy projects in Western Visayas, with a combined capacity of 14.24 GW. The planned projects will include 24 hydropower facilities, 17 offshore wind energy, 14 solar power, 12 onshore wind, and one will be geothermal.
- Hence, owing to the above points, upcoming and ongoing projects are expected to drive the Philippine power generation EPC market during the forecast period.
Philippines Power Generation EPC Industry Overview
The Philippine power generation EPC market is moderately consolidated. Some of the key players in this market (in no particular order) include UPC Renewables, AECOM, Black & Veatch Corp., JGC Philippines Inc., and Fluor Corporation.
Philippines Power Generation EPC Market Leaders
Fluor Corporation
JGC Philippines, Inc.
Black & Veatch Corp
AECOM
UPC Renewables
*Disclaimer: Major Players sorted in no particular order
Philippines Power Generation EPC Market News
- May 2023: JGC Philippines, a subsidiary of a Japanese company, JGC Holdings Corporation, was awarded Alternergy Holdings Corporation’s EPC contract for the 20-megawatt Solana Solar Farm Project. The Solana Solar Farm development will be part of Alternergy’s triple-play strategy to invest in renewable energy in five years. This will include both the Philippines and its target offshore markets.
- January 2023: San Bernardino Ocean Power Corporation (SBOPC) stated a request for proposals for the engineering, procurement, and construction (EPC) contract for the Capul Island Ocean Power Project. The project will supply renewable power using tidal instream energy conversion technology to Capul, an island in the province of Northern Samar located within the vicinity of San Bernardino Strait between the Luzon and Visayas island groups in the Philippines with a capacity of up to 1 MW.
- January 2022: Gen X Energy entered a joint venture with ACE Enexor Inc. with an equal stake in the development of the 1100 MW combined cycle power Batangas Clean Energy Project, which will run on natural gas and green hydrogen.
Philippines Power Generation 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, till 2028
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.1.1 Increasing Energy Demand
4.5.1.2 Upcoming and Ongoing Projects of Power Plants
4.5.2 Restraints
4.5.2.1 Complexity and Expensive Nature of Coal-fired and Natural-gas-fired Power Plants
4.6 Supply Chain Analysis
4.7 PESTLE Analysis
5. MARKET SEGMENTATION
5.1 Power Generation Source
5.1.1 Conventional Thermal Power
5.1.2 Hydro Power
5.1.3 Non-hydro Renewables
5.2 Power Transmission and Distribution (T&D) - (Qualitative Analysis Only)
6. COMPETITIVE LANDSCAPE
6.1 Mergers, Acquisitions, Collaboration , Agreements, and Joint Ventures
6.2 Strategies Adopted by Leading Players
6.3 Companies Profiles
6.3.1 UPC Renewables
6.3.2 Bronzeoak Philippines
6.3.3 Black & Veatch Corp.
6.3.4 JGC Philippines Inc.
6.3.5 AECOM
6.3.6 Fluor Corporation
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Philippines Government Plans to Phase Out Coal Usage by 2040 and Focus More on Energy Production from Natural Gas and Renewable Sources
Philippines Power Generation EPC Industry Segmentation
Power EPC is a form of contract used to construct complex energy infrastructure projects and power generation, transmission, and distribution projects on a large scale. 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 Philippine power generation EPC market is segmented by power generation sources and power transmission and distribution (T&D). By power generation sources, the market is segmented into conventional thermal power, hydropower, and non-hydro renewable power. For each segment, the market sizing and forecasts have been done based on revenue (USD), except for power transmission and distribution (T&D), for which only qualitative analysis will be provided.
| Power Generation Source | |
| Conventional Thermal Power | |
| Hydro Power | |
| Non-hydro Renewables |
Philippines Power Generation EPC Market Research FAQs
How big is the Philippines Power Generation EPC Market?
The Philippines Power Generation EPC Market size is expected to reach USD 383.98 million in 2024 and grow at a CAGR of 6.89% to reach USD 535.90 million by 2029.
What is the current Philippines Power Generation EPC Market size?
In 2024, the Philippines Power Generation EPC Market size is expected to reach USD 383.98 million.
Who are the key players in Philippines Power Generation EPC Market?
Fluor Corporation, JGC Philippines, Inc., Black & Veatch Corp, AECOM and UPC Renewables are the major companies operating in the Philippines Power Generation EPC Market.
What years does this Philippines Power Generation EPC Market cover, and what was the market size in 2023?
In 2023, the Philippines Power Generation EPC Market size was estimated at USD 357.52 million. The report covers the Philippines Power Generation EPC Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Philippines Power Generation EPC Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Power Generation EPC in Philippines Industry Report
Statistics for the 2024 Power Generation EPC in Philippines market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Power Generation EPC in Philippines analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
