SPPC powers up with 15 GW in renewable energy: The Saudi Power Procurement Company (SPPC) inked development and power purchase agreements with an Acwa Power-led consortium for seven solar and wind projects valued at a combined SAR 31 bn (USD 8.3 bn), with a total capacity of 15 GW, state news agency SPA reports. The consortium also includes PIF-owned Water and Electricity Holding Co. (Badeel) and Aramco Power.

The solar projects:

  • The Bisha project will be located in the Aseer province and the Al Humaij project in Madinah province, each with a capacity of 3 GW and a levelized cost of electricity (LCOE) of SAR 0.05 per kWh;
  • The Khulais project will be located in Makkah will deliver 2 GW at SAR 0.05 per kWh;
  • The Afif 1 and Afif 2 projects will be developed in the Riyadh province, each with a capacity of 2 GW and an LCOE of SAR 0.05 per kWh.

On the wind side: The Setarah project will add some 2 GW at SAR 0.08 per kWh, while the Shaqra project adds 1 GW at SAR 0.07 per kWh, both to be constructed in the Riyadh province.

On a roll: SPPC tendered 43.2 GW of renewable energy projects so far, signing power purchase agreements for projects totaling 38.7 GW, SPA reported. A total capacity of 10.2 GW is already connected to the national grid, with the number expected to reach 12.7 GW by the end of this year, and some 20 GW by late 2026.

REMEMBER- Saudi Arabia aims to phase out oil burning to reach a 50/50 mix of renewables and gas by 2030. The Energy Ministry aims to add 20 GW of new capacity per year to reach between 100 to 130 GW in renewable energy output by the end of the decade.

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