Saudi Power Procurement Co. (SPPC) has finalized agreements for seven major renewable energy projects, totaling 15,000 megawatts in capacity and SAR 31 billion ($8.3 billion) in investments, according to the Saudi Press Agency.
The contracts were signed in the presence of His Royal Highness Prince Abdulaziz bin Salman, Minister of Energy and Renewable Resources and SPPC board chairman. These projects are part of the National Renewable Energy Program overseen by the Ministry of Energy.
A consortium led by ACWA Power Co., Water and Electricity Holding Co. (Badeel)—a Public Investment Fund subsidiary—and Aramco Energy Ventures will execute the projects. The portfolio includes five solar photovoltaic plants and two wind farms, spread across Riyadh, Asir, Madinah, and Makkah.
Project Details and Distribution
- Solar projects are distributed as follows:
- Bisha (Asir) and Al-Humaij (Madinah): 3,000 MW each
- Khulais (Makkah): 2,000 MW
- Afif 1 and 2 (Riyadh): 2,000 MW each
The cost of electricity for these plants ranges from 4.72 to 5.10 halalas per kWh (about 1.26 to 1.36 cents).
- Wind projects include:
- Sitarah (Riyadh): 2,000 MW
- Shaqra: 1,000 MW
Costs range from 6.99 to 7.71 halalas per kWh (roughly 1.87 to 2.06 cents).
This initiative highlights Saudi Arabia’s leadership in clean energy and its ability to offer some of the world’s lowest electricity generation costs, supported by efficient financing and strong investor interest.
