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Major construction programmes for Middle East

Published by , Editor - Hydrocarbon Engineering
World Cement,

The report ‘Middle East Major Construction Programmes: Mitigating the Delivery Risk’ has been released by EC Harris. Construction and development in the Middle East will see a boom over the next twenty years, with over 117 major projects costing more than US$1 billion being conducted. The projects are due for completion by 2030 and span countries such as UAE, Qatar, Saudi Arabia, Oman, Kuwait and Iraq.

However, the construction activity could come with a number of risks for the economy, and for the contractors and companies supporting these projects. Issues to consider include:

  • Risk and pressure on human resource requirements including: demand for labour and labour challenges, capability, capacity and supply chain challenges, materials and contracts and procurement.
  • Training and skills of workers through the setting up of academies to support the growth in labour.
  • Prioritisation of transport programmes in order to achieve the required balance between construction vehicles, general traffic and a steady port capacity for a successful supply chain.

Alistair Kirk, Head of Infrastructure, Industry and Utilities, Middle East at EC Harris, commented on the upcoming projects: ”The Middle East is experiencing unparalleled economic and social development due to the large volume of mega projects planned and underway. These programmes, particularly the more ambitious mega cities, are at the forefront of these enormous infrastructure developments which will bring diversification, foreign and domestic investment and job creation on an unparalleled scale.” Kirk also noted the risk of inflation due to demand outweighing the supply of human capital and building resources. He asserted the importance of cooperation between the governments and contractors in order to ensure all major projects are completed on time and on budget.

Read EC Harris’ full report on Middle East Major Construction Programmes here.

Adapted from news release by Rosalie Starling

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