Commissioning Services Procurement Intelligence Report, 2023 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)

Commissioning Services Category Overview

The commissioning services category is anticipated to grow at a CAGR of 4.80% from 2023 to 2030. In 2022, the category size was estimated to be valued at USD 231.5 billion with the European Union region's dominance due to emphasis on environmental standards and regulations. As projects become more intricate and specialized, organizations seek external expertise to ensure successful execution and compliance with industry standards. Evolving technologies, risk management, globalization all contribute to the category's expansion. Commissioning ensures the timely completion of projects with high standards, therefore attracting organizations aiming to streamline their operations. The comprehensive facility management offered, from structured approach to planning, implementing, and verifying arises the demand of the category in whole. The reliability of multiple industries from all sectors including construction, manufacturing, energy, healthcare, transportation, and more fuel the significance of category.

Buildings contribute significantly to the climate, accounting for almost 40% of total worldwide energy-related carbon emissions. When commissioning is combined with sustainability principles, it becomes a strategic process that connects project goals with environmental responsibility. Buildings are being transformed into connected and intelligent spaces that can adjust independently and exchange energy. Achieving net-zero energy and decarbonization, using all-electric design and high-performance systems. Providing holistic, innovative engineering solutions that have a positive impact on society and foster humankind. In June 2022, Burns & McDonell started construction of Wyoming Hyperscale, the first sustainable data center ecosystem of the world. Consuming 100% heat reuse, the development will be a carbon negative. The usage of liquid immersion cooling results in 50% greater power efficiency and up to 95% energy cost savings.

The presence of numerous global firms and the growth of small regional businesses, the market structure is highly fragmented. Due to significant regulatory barriers, the number of new participants in the commissioning industry is moderate. The players are delivering customized solutions for clients and building occupants, monitoring delivered performance, and pursuing continual innovation, which is growing competitiveness. Industry diversification, marketing, and branding such as the zero-carbon target, Master System Integration (MSI), solar and renewables, cooperation and collaboration all contribute to market fragmentation. In February 2023, the futuristic Saudi Arabian project, THE LINE, commissioned Jacobs and Jasara to provide expert programme and construction management services, as well as key interface management.

Commissioning costs can vary significantly depending on project size, building type, equipment type, and scope. It is also influenced by the type of facility (classroom vs. laboratory), the phasing of 24/7 operations, the depth of commissioning services, and the systems and assemblies chosen to be commissioned. As a rule, the overall commissioning cost will encompass both the design and construction phases. The commissioning provider's fees, together with the additional work of the designers, may range from three-tenths to 1% of the total. The provider's design phase charges will be around 75% of the total, and the designer's 25%. More complicated construction types and wider scopes may be significantly more expensive. HVAC, controls, and electrical costs can account for 0.5% to 1.5% of total construction costs. Depending on the intricacy of the space and the technology implemented, commissioning services range from USD 0.50 to over USD 2.50 per square foot of space.

Outsourcing and support services in commissioned work can relieve businesses of increasing regulatory requirements and rising costs. Increasing public sector demands imply flexibility, knowledge continuity, and they vary over time. Maintaining comprehensive and accurate documentation, performance verification are some of the best practices for category sourcing. Asia-Pacific is the fastest developing region in this category because of cost-effectiveness, engineering ability, and technological innovation with clear communication. Countries like China, India, Singapore, and Australia witness increase demand across various industries. 

Commissioning Services Procurement Intelligence Report Scope