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Saudi Arabia’s SPPC signs three solar photovoltaic PPAs
Kingdom aims to install 100-130GW of renewable energy capacity by 2030
Michael Marray 3 Jul 2024

A consortium of Acwa Power Company, Public Investment Fund subsidiary Water & Electricity Holding Company (Badeel), and Aramco Power have signed power purchase agreements (PPAs) with Saudi Power Procurement Company (SPPC) in connection with three new solar photovoltaic projects in Saudi Arabia.

The projects, with a combined capacity of 5,500 megawatts, are integral to the National Renewable Energy Programme overseen by the Ministry of Energy, SPPC says in a statement.

The Haden Solar PV, located in Makkah Province, will have a total capacity of 2,000MW. Al-Muwaih Solar PV, also in Makkah Province, will have 2,000 MW, while Al-Khushaybi PV, in Qassim Province, will have 1,500 MW.

Starting in 2024, Saudi Arabia plans to tender new renewable energy projects annually, aiming for a total capacity of 20 gigawatts per year. The objective is to achieve a cumulative capacity of 100GW  to 130GW by 2030, depending on the electricity demand growth.

Since the inception of the renewables programme, 21 projects have been awarded, totalling 19GW. These include the newly signed projects. Seven projects with a total capacity of 4.1GW are now connected to the grid, eight projects totalling 8.2GW are under construction, and six projects with a total capacity of 7GW are in the stages of financial closing.

Since the start of of 2024, six new renewable energy projects have been tendered, adding up to a total capacity of 6.7GW. Additional capacities are expected to be tendered throughout the year to meet the 20GW annual target.

The National Renewable Energy Programme aims to optimize Saudi Arabia’s energy mix and reduce the use of liquid fuels in power generation and other sectors, aligning with the kingdom’s Vision 2030 objectives.

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