RIYADH: Saudi Arabia’s accumulated savings, rich natural resource base, and state capabilities put it in a good position to pursue sustained economic development, according to the finance minister. 

During the OPEC Fund Development Forum and Ministerial Meeting, held from June 25 - 26 in Vienna, Mohammed Al-Jadaan acknowledged the challenges low-income developing nations face while noting that each country’s actions drive sustained economic development over time, the Saudi Press Agency reported. 

This falls in line with the Kingdom’s strong commitment to being a global leader in sustainable development as well as the fact that the nation’s government is the largest provider of official development assistance in the Gulf region in terms of volume. 

During the meeting Al-Jadaan also noted Saudi Arabia’s efforts to boost non-oil revenues and diversify its economy strategically, as part of Vision 2030, which targets opening up new sectors that provide the foundation for sustainable growth in production and non-oil exports.

The minister further highlighted efforts to bolster female workforce participation, enhance education and training for Saudi youth, and improve the private sector investment ecosystem, including support for small- and medium-sized enterprises.

RIYADH: Saudi Arabia is set to add 5,500 megawatts of solar energy following the signing of three deals by its principal buyer, advancing its strategy to enhance renewable sources. 

The Saudi Power Procurement Co. finalized power purchase agreements for three new solar photovoltaic projects with ACWA Power Co., Water & Electricity Holding Co., also known as Badeel, a wholly-owned subsidiary of the Public Investment Fund, and Aramco Power. 

This comes as Saudi Arabia’s National Renewable Energy Program aims to achieve the Kingdom’s target energy mix of 50 percent renewables by the end of this decade, supporting efforts to reduce liquid fuel consumption and aligning with Saudi Vision 2030 objectives for the energy sector. 

The PPAs, signed by Saudi Minister of Energy Prince Abdulaziz bin Salman Al-Saud, are integral to the NREP supervised by the ministry. 

The solar projects include Haden Solar PV and Al-Muwaih Solar PV, both located in the Makkah region, each with a capacity of 2,000 MW. The third project, Al-Khushaybi PV in Qassim Province, has a total capacity of 1,500 MW. 

Saudi Arabia plans to begin awarding contracts for new renewable energy projects in 2024, aiming for a maximum capacity of 20 gigawatts. By 2030, the goal is to achieve a capacity between 100 and 130 gigawatts, contingent on the growth of electricity demand, the ministry said. 

Since the inception of the renewables program, a total of 21 projects have been awarded, amounting to 19 GW in capacity. 

Currently, seven projects totaling 4.1 GW are operational and connected to the grid, while eight projects with a total capacity of 8.2 GW are under construction. Additionally, six projects totaling 7 GW are in the final stages of financial closure. 

Furthermore, six additional renewable energy projects with a combined capacity of 6.7 GW have been put out to bid since the beginning of 2024. 

Further capacities are planned to be tendered before year-end to achieve the target of tendering 20 GW annually. 

In May, SPPC signed two PPAs with a consortium led by Japan’s Marubeni Corp. in Tokyo. These agreements were part of the fourth phase of Saudi Arabia’s NREP, overseen by the Ministry of Energy. 

The agreements pertain to the Al-Ghat wind power project, with a capacity of 600 MW, and the Waad Al-Shamal wind power project, with a capacity of 500 MW. These agreements were signed during the Saudi-Japan Vision 2030 Business Forum held in Japan.