Power Plant EPC Market to Reach $179.2 billion, Globally, by 2034 at 3.5% CAGR: Allied Market Research

WILMINGTON, Del., Nov. 18, 2025 /PRNewswire/ -- Allied Market Research published a report, titled, "Power Plant EPC Market by Power Plant Type (Thermal Power Plants, Renewable Power Plants, Nuclear Power Plants, and Others), Project Type (Greenfield Projects and Brownfield Projects), and Fuel Source (Coal, Natural Gas, Renewable Energy Sources, and Others): Global Opportunity Analysis and Industry Forecast, 2025-2034". According to the report, the power plant EPC market was valued at $128.2 billion in 2024, and is estimated to reach $179.2 billion by 2034, growing at a CAGR of 3.5% from 2025 to 2034.

Download PDF Brochure: https://www.alliedmarketresearch.com/request-sample/A325774

Increase in Shift Toward Renewable Energy

Global shift toward renewable energy sources is one of the most significant drivers of the power plant EPC market. With rising concerns about climate change, carbon emissions, and sustainability, governments across the world are enacting ambitious policies to accelerate the deployment of renewable power. This has led to a surge in demand for solar, wind, and hydro-based projects, most of which are executed under EPC models where a single contractor manages design, procurement, construction, and commissioning. Such turnkey arrangements provide greater accountability, reduce risks for project developers, and streamline the implementation of large-scale renewable projects. World-scale offshore wind builds (UK / North Sea & others) projects such as Dogger Bank (three 1.2 GW phases) and other North-Sea developments continued construction and reached large commissioning milestones in this window; governments continued leasing rounds and permitting for vast zones.

Growth of EVs, data centers, and smart homes

The global shift toward electrification is emerging as a powerful driver for the Power Plant EPC market. The rapid adoption of electric vehicles (EVs) is a prime contributor, as transportation systems increasingly rely on electricity instead of fossil fuels. EV charging infrastructure, especially fast-charging networks, requires stable and large-scale electricity supply, which in turn drives demand for new power generation projects. Utilities and governments are working to expand capacity not only to support mobility electrification but also to maintain grid stability, creating significant opportunities for EPC contractors in both renewable and conventional power plant construction. In January 2025, Hyperscalers (Microsoft, Google, AWS, Oracle, CoreWeave, etc.) massively expanded build-outs to meet AI training/inference demand; analysts expect record GW of capacity to break ground in 2025.

Report coverage & details:

Procure Complete Report (334 Pages PDF with Insights, Charts, Tables, and Figures) @ https://www.alliedmarketresearch.com/checkout-final/power-plant-epc-market 

Decommissioning of Aging Infrastructure

Aging power generation infrastructure is a critical factor driving the growth of the Power Plant EPC market. Across North America, Europe, and parts of Asia, many coal-fired and oil-based plants were built several decades ago and are now approaching the end of their operational lifespan. These facilities are often inefficient, expensive to maintain, and incapable of meeting today's stringent environmental and emissions regulations. As a result, governments and utilities are prioritizing the retirement of outdated plants and commissioning modern, cleaner, and more efficient power generation facilities under EPC models. Renewables build-out, grid upgrades, and storage got large capital flows as countries sought energy security after the 2022 energy shock; this created manufacturing demand for turbines, solar panels, batteries and associated supply-chain infrastructure. (IEA and regional investment reports show rising low-carbon electricity investment through 2024–25).

International Trade and Export Trends in Power Plant EPC

India's role in the global power EPC market has been evolving, with increasing exports of power-related equipment and services. In fiscal year 2024-25, engineering exports from India recorded double-digit growth, with significant contributions from power and industrial machinery sectors. Notably, in July 2025, engineering exports surpassed $10 billion for the first time in the current fiscal year, marking a significant milestone. However, challenges such as global trade tensions and domestic policy shifts have impacted specific sectors. For instance, India's solar module exports to the United States declined by 16% year-over-year in 2024, primarily due to the imposition of high U.S. tariffs. These developments underscore the need for strategic adjustments in India's export strategies within the power EPC domain.

Connect To Industry Expert: https://www.alliedmarketresearch.com/connect-to-analyst/A325774

Increase in Demand for Hydrogen-Based Power Plants

Hydrogen is rapidly emerging as a key component of the global energy transition, and EPC firms are uniquely positioned to capitalize on this trend by constructing hydrogen-ready and hydrogen-fueled power plants. Hydrogen offers the promise of near-zero emissions when produced from renewable sources, making it a strategic solution for decarbonizing hard-to-abate sectors such as heavy industry, shipping, and power generation. Governments and private investors are increasingly funding pilot projects and full-scale hydrogen power plants, creating a growing demand for specialized EPC expertise in this nascent market. National Green Hydrogen Mission (NGHM) launched in January 2023, the NGHM aims to position India as a global leader in green hydrogen production. The mission targets an annual production of 5 million metric tons (MMTPA) by 2030, supported by approximately 125 GW of new renewable energy capacity. The government has allocated $2.1 billion (₹17,490 crore) under the Strategic Interventions for Green Hydrogen Transition (SIGHT) program to incentivize electrolyze manufacturing and green hydrogen production.

Key Players: -

• Bechtel Corporation
• Siemens Energy
• General Electric Company
• LARSEN & TOUBRO LIMITED
• Tata Projects Limited
• Hyundai Engineering & Construction Co., Ltd
• MITSUBISHI HEAVY INDUSTRIES, LTD
• Valmet
• Fluor Corporation
• Technip Energies N.V.

The report provides a detailed analysis of these key players in the global power plant EPC industry. These players have adopted different strategies such as new product launches, collaborations, expansion, joint ventures, and agreements to increase their market share and maintain dominant shares in different regions. The report is valuable in highlighting business performance, operating segments, product portfolio, and strategic moves of market players to highlight the competitive scenario.

Trending Reports in Energy & Power Industry: 

Floating Power Plant Market Size, Share Outlook and Trend Analysis, 2022 - 2032

Power Plant Maintenance Market Size, Share Analysis and Industry Forecast, 2021 – 2031

Nuclear Power Plant and Equipment Market Analysis and Industry Forecast 2021-2030

Thermal Power Plant Market Size, Competitive Landscape and Trend Analysis, 2021-2030

Mobile Power Plant Market Size, Share, Analysis and Industry Forecast, 2023-2032

About us: 

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Wilmington, Delaware. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain. 

Contact us: 
David Correa 
1209 Orange Street, 
Corporation Trust Center, 
Wilmington, New Castle, 
Delaware 19801 USA. 
Int'l: +1-503-894-6022 
Toll Free: +1-800-792-5285 
Fax: +1-800-792-5285 
[email protected]
Web: https://www.alliedmarketresearch.com/reports-store/energy-and-power 
Follow Us on | Facebook | LinkedIn | YouTube 

Logo: https://mma.prnewswire.com/media/636519/Allied_Market_Research_Logo.jpg

SOURCE Allied Market Research