ACWA Power, a distinguished private entity in the development, investment, and management of power production and water desalination projects, is at the forefront of promoting sustainability in the Middle East. With a whopping 77 projects under its belt across Saudi Arabia, the company is recognized as a significant force in the region’s transition towards sustainable energy.
The organization boasts an impressive portfolio worth approximately SAR 310.4 billion (USD 82.8 billion) and has established its presence in 13 countries spanning the Middle East, Africa, and Central and South-East Asia.
Self-identifying as a model of Saudi national excellence, ACWA Power is deeply involved in the kingdom’s shift towards more sustainable sources of energy.
ACWA Power’s Strategy for Promoting Sustainable Energy
Adhering to its ‘Develop-Invest-Operate-Optimise’ business model, ACWA Power is dedicated to maximizing the efficiency and sustainability of its assets. Marco Arcelli, the CEO of ACWA Power, emphasizes the company’s commitment to fostering the adoption of renewable energy through collaborative efforts and innovative approaches to shape a sustainable future for upcoming generations.
Marco Arcelli proudly announced ACWA Power’s collaboration with the International Renewable Energy Agency (IRENA), describing it as a crucial step towards a sustainable energy future. He expressed confidence that this partnership will serve as a catalyst for meaningful change, propelling the transition to renewable energy worldwide.
ACWA Power’s commitment to climate action extends to its engagement with various international bodies and its participation in global events. Notably, the company is a Green Sponsor for the MENA Climate Week 2023 in Riyadh, a key event in the COP28 initiative by the United Nations.
As the world looks forward to COP29 in Baku, Azerbaijan, Raad Al-Saady, ACWA Power’s Vice President and Managing Director, commended Azerbaijan for hosting the forthcoming UN event in 2024, reflecting ACWA Power’s support for such initiatives.
ACWA Power’s Role in Diversifying Saudi Arabia’s Economy
Despite the kingdom’s historical reliance on oil and gas for wealth and growth, Saudi Arabia is actively seeking a more diversified and sustainable economic model. This strategic shift is in line with global trends towards renewable energy and the acknowledgment of the limited nature of fossil fuels.
A quick overview of Saudi Arabia’s oil and gas history illustrates the nation’s journey:
- In 1938, the discovery of oil in Dammam propelled the nation towards wealth and prosperity.
- The 1970s oil boom significantly increased the country’s income due to the rising oil prices.
- The 1980s saw Aramco’s nationalization, establishing it as the world’s most valuable company, central to the Saudi economy.
- During the 1990s, Saudi Arabia played a vital role in stabilizing the global oil market post-Gulf War.
- The launch of Vision 2030 in 2016 marked a strategic move to reduce the country’s oil dependency by fostering other economic sectors and sustainability.
Vision 2030, championed by Saudi Crown Prince and Prime Minister Mohammed bin Salman, aims to transform the kingdom culturally, socially, and economically. ACWA Power aligns with Vision 2030 through initiatives like powering the Red Sea Project, a tourism destination solely reliant on renewable energy, and through its extensive portfolio of renewable energy projects and commitment to local economic development.
In harmony with Vision 2030’s strategic goals, ACWA Power not only aids the country’s shift to a diversified and sustainable economy but also positions Saudi Arabia as a global leader in the renewable energy landscape.
