WEMO24-Compiled Report-Interactive compressed (002) 4154-7882-8116 v.1 - Flipbook - Page 188
MARKET
DATA
The growth of renewable power in Saudi Arabia has picked up pace recently because of the country’s policy to diversify its sources to ensure supply security in the long term. Due to the
increasing power demand in Saudi Arabia, the country has been overutilizing its fossil fuels reserves instead of exporting them. An abundance of solar radiation and wind resources makes
solar and wind power the key renewable technologies of focus.
In July 2024, PIF has announced the signing of new agreements to localize in
Saudi Arabia, the manufacturing and assembly of equipment and components
needed for solar and wind power. These agreements have been entered into
by the Renewable Energy Localization Company (RELC), a fully owned PIF
company.
RELC works toward achieving the most appropriate mix for electricity
production and replacing liquid fuels currently used in electricity in Saudi
Arabia, in line with Saudi e昀昀orts toward achieving Vision 2030 targets.
3%
CO2 emissions (in million tons CO2 equivalent)
800
2023 Electricity mix
750
720.9
725.9
36%
676.3
700
Oil
Natural Gas
61%
650
Renewables
600
2021
Share of renewable power capacity in Saudi Arabia’s total capacity mix is
estimated to reach 35.4% in 2035 from 3.2% in 2023 with an estimated share of
6.9% in 2030.
2022
Source: Statistical Review of World Energy 2024
Saudi Electricity Regulatory Authority (SERA) is the regulatory body for the
electricity sector in the Kingdom of Saudi Arabia. It aims to make the sector
consumer-centric, organized, reliable, sustainable, and highly efficient.
ACWA Power is a leading developer of renewable energy projects in Saudi
Arabia, with a focus on solar and wind energy. ACWA Power is working towards
Saudi Arabia's renewable energy goal by contributing around 40 GW towards
this target, with 24 GW of green projects already operational or in advanced
stages. ACWA Power has increased its desalination capacity and aims to
accelerate project timelines, ensuring that the company stays ahead of the
curve. ACWA Power's efforts to expand capacity and lower costs have made
Saudi solar energy among the cheapest globally. Two-fifths of ACWA Power's
capacity is outside Saudi Arabia, and the company is also eyeing China for
potential growth.
5%
Total Renewable capacity (In GW)
150
130.0
100
Water and Electricity Regulatory Authority (WERA) regulates the
electricity and water desalination sector within the Kingdom. It also preserves
these services from economic fluctuations to maintain financial growth and
the prosperity of the national economy.
Sources: Statistical Review of World Energy 2024
2023
50
Electricity consumption by sector
Industrial
26%
43%
3.0
0
2023
Residential
Services
2030
Others
26%
Source: IRENA, Solar Quarter
Sources:
https://www.reuters.com/business/energy/saudi-arabia-signs-56-bln-deal-with-chinese-ev-companystate-media-2023-06-12/#:~:text=DUBAI%2C%20June%2012%20(Reuters),agency%20said%20in%20
a%20statement.
https://www.energyinst.org/_ _data/assets/pdf_file/0006/1542714/EI_Stats_Review_2024.pdf
https://www.irena.org/-/media/Files/IRENA/Agency/Publication/2024/Mar/IRENA_RE_Capacity_Statistics_2024.
pdf?rev=a587503ac9a2435c8d13e40081d2ec34
https://solarquarter.com/2024/04/19/accelerating-saudi-arabias-renewable-power-300-growth-forecast-by-2030-report/#:~:text=Powering%20
Tomorrow%3A%20Saudi%20Arabia's%20Vision,of%20130%20gigawatts%20before%202030.
https://www.enerdata.net/publications/daily-energy-news/sppc-signs-ppas-three-new-solar-pv-projects-55-gw-saudi-arabia.html
https://www.pif.gov.sa/en/news-and-insights/press-releases/2024/
pif-strengthens-renewable-energy-localization-in-saudi-arabia-with-three-new-joint-ventures/
Sources: Enerdata, Clean Energy Wire
SPPC signs PPAs for three new solar PV projects (5.5 GW) in Saudi Arabia: The Saudi
Power Procurement Company (SPPC) has signed power purchase agreements for three new
solar photovoltaic projects with a combined capacity of 5.5 GW, as part of Saudi Arabia’s
National Renewable Energy Program. The estimated $3 Bn deals with Saudi renewable
energy utility ACWA Power Company, the Water & Electricity Holding Company and Aramco
Power for the following plants: 2 GW Haden, the 2 GW Al Muwayh and 1.5 GW Al Khushaybi
located in the Qassim region.
Ministry of Energy announced Saudi Arabia's ambitious goal of adding 20 GW of renewable
energy annually, targeting a total of 130 GW before 2030.
Sources: GreenTree Global Publication
WEMO 2024
During 2015-2023, renewable power capacity in Saudi Arabia increased at a
CAGR of 82.4% from 0.02GW to 3GW. In 2023, solar PV constituted 82.6% of
the total renewable power capacity of the country, followed by onshore wind
accounting for nearly 14.1% and solar thermal accounting for 3.1% share.
188
Saudi
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