A major renewable energy initiative in Saudi Arabia has been announced, witnessed by His Royal Highness Prince AbdulAziz bin Salman bin AbdulAziz Al Saud, Minister of Energy. ACWA Power, the Water and Electricity Holding Company (Badeel), and Saudi Aramco Power Company (SAPCO) have signed Power Purchase Agreements with the Saudi Power Procurement Company (SPPC), according to the Associated Press.
This agreement covers seven large-scale projects: five solar photovoltaic plants and two wind power facilities, distributed across key regions in the Kingdom. The total investment is estimated at $8.3 billion (over SAR 31 billion), aiming to deliver 15,000 MW of renewable energy—12,000 MW from solar and 3,000 MW from wind.
- Bisha (3,000 MW solar PV in Asir)
- Humaij (3,000 MW solar PV in Madinah)
- Khulis (2,000 MW solar PV in Makkah)
- Afif 1 and Afif 2 (each 2,000 MW solar PV in Riyadh)
- Starah (2,000 MW wind in Riyadh)
- Shaqra (1,000 MW wind in Riyadh)
These initiatives support the National Renewable Energy Programme, led by the Ministry of Energy, and align with the Public Investment Fund’s goal to develop 70% of Saudi Arabia’s renewable energy capacity by 2030.
ACWA Power, Badeel, and SAPCO will jointly own the projects, which are expected to start operations between late 2027 and early 2028. Financial closure is targeted for the third quarter of 2025. This marks the largest agreement so far under the National Renewable Energy Programme and highlights Saudi Arabia’s commitment to a more sustainable energy future.
