MoU signed for 2.6GW Mecca solar programme

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
The documents signed over the weekend will see 600MW awarded through public tenders (Credit: Saudi Arabia's government)

A scheme to deploy a multi-gigawatt solar pipeline in Saudi Arabia stands closer to delivery after a memorandum of understanding (MoU) was signed over the weekend.

The document rubberstamped on Saturday by Saudi prince Khalid Al-Faisal and Energy minister Khalid bin Abdul Aziz Al-Faleh lays the groundwork for the construction of 2.6GW in the Mecca region, under the Al Faisaliah scheme. 

Some 2GW of that total will be implemented directly by Saudi Arabia’s Public Investment Fund (PIF) and “selected partners”, the government said in a statement over the weekend.

The MoU, signed at the fringes of the Mecca Economic Forum, will see the Energy Ministry carry out technical studies to ensure the 2.6GW scheme meets international standards. According to the government, up to 600MW will be publicly tendered by Saudi Arabia’s Renewable Energy Projects Development Office this year.

The programme, the statement said, will help diversify and strengthen the power supply in the Mecca region. The area is home to well over eight million inhabitants, attracting further millions every year through pilgrimage trips to the holy site known as the Kaaba.

The document did not shed any light on who in particular will be partnering alongside Saudi sovereign wealth fund PIF for the Mecca programme.

However, the organisation is known to be working with investment giant SoftBank to deliver a colossal solar push across the whole of Saudi Arabia. Last October, the Saudi fund had to deny media reports that the solar build-up plans – co-financed by SoftBank’s US$100 billion Vision fund, where PIF is one of the largest investors – were to be discarded.

Al Faisaliah aside, the programme’s tenders so far have sought to award contracts for 300MW projects in Rabigh and Jeddah, 200MW in Qurayyat, 50MW in Medina, 45MW in Rafha and 20MW in Mahd AlDahab.

Read Next

April 12, 2021
A consortium between Abu Dhabi-based Masdar, EDF Renewables and Nesma Holding Company has broken ground on a 300MW PV project in Saudi Arabia.
PV Tech Premium
March 31, 2021
As the solar industry continues to mature and adopt more merchant-led business models, how will asset management principles need to adapt? This exclusive recording of a panel discussion from our Solar Finance & Investment Europe event answered that very question.
March 30, 2021
French energy major Total has signed an agreement with Iraq’s Ministry of Oil to develop a host of energy projects in the country, including 1GW of solar PV.
PV Tech Premium
March 4, 2021
An exclusive recording from our Solar Finance & Investment Europe event, featuring a panel discussion on the future of the solar industry.
March 4, 2021
French oil major Total and industrial conglomerate Zahid Group have established a joint venture (JV) focused on distributed solar generation for Saudi Arabia’s commercial and industrial (C&I) sector.
February 16, 2021
India’s renewables sector will need to garner investments of around US$500 billion in order to meet its target of 450GW of clean energy capacity by the end of the decade.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
April 20, 2021
Upcoming Webinars
April 28, 2021
4:00 - 4:30 PM CET
Solar Media Events
May 11, 2021