ACWA Power and Saudi public investment fund to develop 4.5GW PV portfolio

Facebook
Twitter
LinkedIn
Reddit
Email
ACWA Power’s total PV capacity in Saudi Arabia now exceeds 11GW. Image: ACWA Power

ACWA Power has signed an agreement with Badeel – the water and electric holding company of the Saudi Arabian Public Investment Fund (PIF) – to develop 4.5GW of solar PV projects in Saudi Arabia. The projects will represent an investment of SAR12.2 billion (US$3.3 billion).

The three projects in the portfolio – the Ar Rass 2, Saad 2 and Al Kahfah solar plants – will be approximately 2GW, 1.125GW and 1.4GW in capacity respectively. Power purchase agreements are in place with the Saudi Power Procurement Company (SPPC) to offtake the power from the sites. Financial close for the portfolio is expected in Q3 of this year.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Mohammed AlBalaihed, head of energy & utilities at PIF, said: “The three new solar projects are part of PIF’s commitment to develop 70% of Saudi Arabia’s renewable energy by 2030, in line with the National Renewable Energy Program (NREP). Renewable Energy is one of PIF’s priority sectors, with a focus on unlocking the capabilities of promising sectors and enabling the private sector to enhance Saudi Arabia’s efforts in diversifying the economy.”

ACWA Power has had other dealings with PIF subsidiary Badeel in the past, in November the companies joined forces to build another 2GW PV plant in Saudi Arabia’s Makkah province, which is also contributing to PIF’s NREP renewable energy targets. PIF and its subsidiaries are currently developing five projects worth 8GW and US$6 billion of investment towards the country’s target of 59.7GW of deployed renewables by 2030.

PIF said in a statement that it plans to support local economies and supply chains by upholding a significant domestic content requirement for its PV projects.

A lot of significant PV companies are making strides in the Saudi market. In March 2022 US solar tracker supplier Nextracker signed a 450MW supply deal for the first phase of an ACWA Power/PIF project, whilst fellow tracker company Arctech signed a 1.5GW Saudi supply deal last month.

Read Next

October 7, 2025
Econergy will acquire 100% stake in the 155MW Ratesti solar project in Romania, further expanding its European renewable energy portfolio.
October 7, 2025
Juniper Green Energy through its subsidiary Juniper Green Sigma Eight has signed a 70MW power purchase agreement with renewable energy giant Tata Power. 
October 7, 2025
Solar PV will account for almost 80% of the 4.6TW of new renewable power expected to be added by 2030, according to the International Energy Agency (IEA).
October 7, 2025
OpenSolar has secured US$13.1 million in equity financing from technology investors, including Titanium Ventures, Google and others.
October 7, 2025
Doral Renewables has secured a PPA with an unnamed 'corporate buyer' for its 430MW Cold Creek solar-plus-storage project in Texas.
October 7, 2025
US independent power producer (IPP) Arevon has begun operations at two utility-scale solar projects in Indiana.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 7, 2025
Manila, Philippines
Solar Media Events
October 7, 2025
San Francisco Bay Area, USA
Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland