{"id":12996,"date":"2017-08-16T07:16:27","date_gmt":"2017-08-16T07:16:27","guid":{"rendered":"http:\/\/www.alj.com\/en\/?post_type=perspective&p=12996"},"modified":"2021-08-01T11:39:45","modified_gmt":"2021-08-01T11:39:45","slug":"leading-saudi-arabias-renewable-energy-revolution","status":"publish","type":"perspective","link":"https:\/\/alj.com\/en\/perspective\/leading-saudi-arabias-renewable-energy-revolution\/","title":{"rendered":"Leading Saudi Arabia\u2019s renewable energy revolution"},"content":{"rendered":"

As the global population grows and urbanization continues, governments around the world are transforming their thinking on how best to meet their future energy needs.<\/strong><\/p>\n

According to the United Nations, the global population will reach 8.5 billion by 2030 \u2013 up 1.2 billion from 2015. \u00a0This figure is predicted to increase to 9.7 billion by 2050[1]<\/a>. \u00a0At the same time, more people are living in urban areas. \u00a0The United Nations Department of Economic and Social Affairs predicts that the proportion of urban population will increase to around 66 percent by 2050, up from 30 percent in 1950. \u00a0In Saudi Arabia, the figure is dramatically higher, at just under 90 percent by 2050[2]<\/a>.<\/p>\n

This high rate of population growth and urbanization inevitably poses big questions for the sustainability of our societies and the ability of our planet to support to such vast numbers of people living in close quarters. \u00a0In particular, it creates unprecedented pressures on energy demand and supply.<\/p>\n

Energy demand in the Middle East, North Africa and Turkey (MENAT) region is set to grow 7 percent annually until at least 2020, while the Oxford Institute of Energy Studies expects energy consumption in Saudi Arabia to treble by 2030.<\/p>\n

Not only is this growth unsustainable in terms of resources, it is generally accepted that emissions from fossil fuels like coal, oil and gas are material contributors to climate change and damaging to our natural environment.<\/p>\n

Water security \u2013 an added complication<\/strong><\/h5>\n

In the MENAT region, the problems are further complicated by the issue of water scarcity. \u00a0More than half of the region\u2019s population live under conditions of \u2018water stress\u2019, where demand outstrips supply[3]<\/a>.\u00a0<\/p>\n

Saudi Arabia\u2019s Vision 2030<\/em> recognizes the importance of water scarcity, committing the country to promoting \u201cthe optimal use of our water resources by reducing consumption and utilizing treated and renewable water\u201d.<\/em><\/p>\n

Historically, one of the key solutions to water scarcity has been desalination \u2013 facilities that turn sea water into drinking water. \u00a0However, the current approach to desalination is not sustainable. \u00a0It is energy intensive, relies on abundant oil, and comes at enormous environmental cost.\u00a0 Desalination plants worldwide emit an estimated 76 million tons of carbon dioxide per year, a figure that is expected to treble by 2040.<\/p>\n

Renewables the answer?<\/strong><\/h5>\n

Against this backdrop, Saudi Arabia is increasing its focus on renewable energy as a cornerstone in building the solution to the current unsustainable energy model.\u00a0 It is not hard to see why: Saudi\u2019s climate makes it an ideal location for both solar and wind energy projects, and this opens significant investment opportunities in the energy sector to power domestic economic and technology-skills development.<\/p>\n

The Government set a target of delivering 9.5GW of renewable energy by 2030, as part of its Vision 2030[4]<\/strong><\/a><\/em> and 3.5GW by 2020 as a strategic objective of the National Transformation Plan[5]<\/a> agenda, and is encouraging private sector investment to accelerate and underpin the achievement of this goal. \u00a0The potential savings are significant, with research suggesting that fulfilment of these targets could cut power sector fossil fuel consumption by 25 percent by 2030[6]<\/a>.<\/p>\n

Saudi Energy Minister HE Khalid Al Falih, speaking at the recent World Future Energy summit in Abu Dhabi in January 2017, raised the bar even higher, bringing forward the 9.5GW target date to 2023, via a combination of solar, wind and geothermal power projects.<\/p>\n

The Government formally fired the starting gun on these plans last month, inviting bids for a new program to build wind and solar power plants aimed at generating 700MW of power.<\/p>\n

Reduced costs, cleaner air, more jobs<\/strong><\/h5>\n

As well as the potential to attract significant investment into Saudi Arabia, renewable energy could provide GCC countries with savings of up to US$ 87 billion and cut up to one gigaton of carbon emissions[7]<\/a>.<\/p>\n

The expansion of the renewables sector should also have a positive impact on jobs, skills and training in the country. \u00a0The number of jobs supported by the global renewable energy industry is set to triple by 2030, with a potential for up to 80,000 of those in Saudi Arabia alone[8]<\/a>.<\/p>\n

Omar Al-Madhi, Senior Managing Director at Abdul Latif Jameel Investments and Chief Executive Officer at Abdul Latif Jameel Energy Saudi Arabia, one of Saudi Arabia and the GCC\u2019s leading renewable energy producers, believes the benefits of renewable energy are ever more compelling.\u00a0 \u201cRenewable energy presents the potential to create new jobs, new skills and new opportunities for the local population. \u00a0By localizing technology and transferring knowledge, we can provide a strong foundation on which the Saudi renewables industry can thrive,\u201d<\/em> he says.<\/p>\n

Delivering sustainable desalination<\/strong><\/h5>\n

\"Desalination<\/p>\n

Renewable energy could also be a major step towards developing sustainable desalination plants to help address the challenges of water security, by co-locating renewable energy power plants alongside desalination plants.<\/p>\n

Although new technologies are making desalination more efficient, they are still at the early stages of development. \u00a0Renewable technologies such as solar thermal, solar photovoltaics (PV), wind, and geothermal energy, however, can provide a much more immediate solution.<\/p>\n


\nWhat are the best renewable energy opportunities for Saudi Arabia?<\/strong><\/h5>\n

\"alj-perspective-meteonorm-yearly-normal-direct-irradiation\"<\/p>\n

With its climate and topography, the three renewable energy technologies with the most potential to transform energy production in Saudi Arabia are:<\/p>\n