Saudi Arabia Plans Up to $7 Billion of Renewables This Year

Saudi Arabia expects to start up to $7 billion of renewable energy projects this year, with solar plants leading the way.

Tenders will be issued this year for eight projects totaling 4.125 gigawatts of capacity, Turki Mohammed Al Shehri, head of the kingdom’s Renewable Energy Project Development Office, said Tuesday in an interview in Abu Dhabi. The cost will be $5 billion to $7 billion, he said.

Saudi Arabia and other Middle Eastern oil producers are looking to renewables to feed growing domestic consumption that’s soaking up crude they’d rather export to generate income. The kingdom wants to have 9.5 gigawatts of solar and wind capacity installed by 2023.

The projects this year will include 3.3 gigawatts of solar photovoltaic power and 800 megawatts of wind, Al Shehri said.