Saudi Crown Prince Mohammed bin Salman on Thursday announced the opening of the Sakaka IPP PV power plant, the kingdom’s first renewable energy project, the Saudi Press Agency reported.
The launch of the Sakaka IPP PV and the signing of power purchase agreements (PPA) for seven new projects are the results of King Salman’s directives and the Kingdom’s goal to develop its economy in accordance with Vision 2030’s renewable energy initiatives., according to SPA.
Saudi Arabia aims “to nationalize the renewable energy sector, promote local content in it, and enable the manufacturing of components of solar and wind energy production locally, allowing the Kingdom, within the next ten years, to become a global hub for conventional energy, renewable energy, and their technologies,” the crown prince said.
“A few weeks ago, the ‘Green Saudi’ initiative and the ‘Green Middle East’ initiative were announced. I explained that, as a world-leading oil producer, we are well aware of our share of responsibility in advancing the fight against climate change. In continuation to our leading role in the stability of the energy market, we will carry on playing the same role in leading in the area of renewable energy,” he added.
“This occasion underlines our determination to be leaders in all energy sectors and our endeavor to find the optimal energy mix and promote efficiency in producing and consuming energy. We witness today the launch and operation of Sakaka IPP PV, our first step to utilize renewable energy in the Kingdom. And soon, the construction of the Dumat Al-Jandal wind energy project will also be completed,” he added.
“We witness today the signing of PPA’s for seven new solar power projects in various regions in the Kingdom,” the Crown Prince said.
The output capacity of these projects, in addition to the projects of Sakaka and Dumat Al-Jandal, will amount to more than 3,600 MW. The projects will also power more than 600,000 households and reduce greenhouse gas emissions by more than 7 million tons, he added.
Some of these projects have also set new world records for the lowest cost of solar-produced electricity, according to SPA.
“These projects, along with other renewable energy projects, which are being developed across the Kingdom, constitute essential elements of our plans that seek to optimize the energy mix used to produce electricity,” he added.
“We aim to have the share of each gas and renewable energy in this mix at 50% by 2030, and to substitute gas and renewable energy for around a million BOEs of liquid gas per day used as fuel in electricity production, water salination, and other sectors.” the Crown Prince said.