Renewables in kingdom make a case

▶ Plans to spend $50bn to realise solar and wind ambitions

Stereotypes can be hard to shake. Saudi Arabia’s association with its oil industry is one that springs to mind, the sector having powered the country’s economy for decades.

But the potential of the country’s nascent renewable energy sector, under the country’s Renewable Energy Project Development Office (Repdo) promises to be game changing.

Naysayers will point to clean energy development goals from individual entities within the kingdom, made during the era of high oil prices, that made some promises which didn’t materialise.

Such comments ignore the fact that such goals were developed with little to no coordination between individual entities, with no direction from the government itself.

Things are different now. Saudi Arabia’s government has laid out a roadmap to build a renewable energy sector, aiming to add 9.5 gigawatts of solar and wind projects in six years, with an eye to investing as much as US$50 billion.

Repdo, which falls under the country’s energy ministry, draws together senior figures from Saudi Aramco, Saudi Electricity Company, the Electricity and Cogeneration Regulatory Authority and the King Abdullah City for Atomic and Renewable Energy.

The office has hit the ground running since its inception this year, immediately communicating with the public, and offering specific dates for its proposed renewables projects, as a way of holding itself accountable for any delays.

The first round of projects to be tendered include 300 megawatts of solar and 400MW of wind projects.

Plans for the 300MW Sakaka solar plant have so far proceeded according to plan.

Again, sceptics may point out that the 400MW wind project in Midyan has faced delays; however Repdo has simply proceeded to Plan B on the wind front, announcing on Sunday that it was proceeding with a new 400MW wind project in the Al Jouf region.

“We didn’t want to postpone [the wind project] too much, so we replaced it,” said Repdo’s head Turki Al Shehri, highlighting the office’s determination to follow through on its commitments.

After the aborted schemes of yesteryear, more companies are trying to grab a piece of the renewables pie in Saudi Arabia. New partnerships and new entrants are emerging, as well as the creation of local companies within the kingdom.

So next time you’re on a flight from Saudi Arabia headed to the UAE, take a look at all of the consultants furiously typing while protecting their screen content.

That should give you an idea of just how bullish the market is on Saudi renewables.