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Saudi Arabia’s 8000 MWh BESS Initiative

Pioneering energy storage under Vision 2030

by Huda Marshad
November 6, 2024
in Energy
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The Saudi Power Procurement Company (SPPC), under the Ministry of Energy, is inviting qualifications for its inaugural Battery Energy Storage System (BESS) projects, totaling 8000 MWh. This initiative is a part of Saudi Arabia’s Vision 2030 to boost renewable energy.

The first group of BESS projects will have a combined capacity of 2000 MW/4 hours, distributed across four key sites:

  • 500MW/4 hrs at Al-Muwyah BESS ISP Site
  • 500MW/4 hrs at Haden BESS ISP Site (both in Makkah province)
  • 500MW/4 hrs at Al-Khushaybi BESS ISP Site (Qassim province)
  • 500MW/4 hrs at Al-Kahafa BESS ISP Site (Hail province)

These projects will be executed under a build-own-operate (BOO) framework. The successful bidders will fully own the special purpose vehicles (SPVs) created to develop and manage these Independent Storage Provider (ISP) projects, as per SPPC’s statement.

Each SPV will engage in a 15-year storage services agreement with SPPC, the kingdom’s main buyer. This move underscores Saudi Arabia’s strategy to derive half of its electricity from renewable sources by 2030, marking a significant shift towards solar, wind, and other renewable energies.

Tags: Battery Energy StorageBESS ProjectsRenewable EnergySaudi ArabiaVision 2030
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