The Saudi Power Procurement Company (SPPC), a government-owned entity, has signed Power Purchase Agreements (PPAs) for seven new renewable energy projects, which will collectively generate 15,000MW.
The initiative, part of the National Renewable Energy Program (NREP) overseen by the Ministry of Energy, involves investments exceeding SAR31bn ($8.3bn).
The company signed the agreements with a consortium led by ACWA Power, which serves as the primary developer. The consortium also includes the Water and Electricity Holding Company (Badeel), a subsidiary of the Public Investment Fund, and Aramco Power, a division of Saudi Aramco.
The solar photovoltaic projects included in this agreement are the Bisha Project in the Aseer Region (3,000MW); the Humaij Project in the Madinah Region (3,000MW); the Khulis Project in the Makkah Region (2,000 MW); and two projects in the Riyadh Region, Afif 1 and Afif 2, each with a capacity of 2,000MW.
Additionally, the agreements include two wind energy projects in the Riyadh Region- Starah Project (2,000MW), and the Shaqra Project (1,000MW).
According to the Saudi Press Agency (SPA), this signing marks the largest capacity of renewable energy projects ever contracted in a single phase globally.
The SPPC is tasked with conducting feasibility studies, managing the tendering process for electricity generation projects, and executing power purchase agreements with developer consortia.
To date, the SPPC has initiated renewable electricity generation projects totalling 43,213MW. Of these, PPAs have been signed for projects amounting to 38,713MW.
Saudi Arabia aims to develop up to 130,000MW of renewable energy capacity by the end of this decade as part of its economic diversification efforts under Vision 2030.
