Riyadh, Saudi Arabia — ACWA Power has signed long-term Power Purchase Agreements for seven major renewable energy projects, which will deliver a combined capacity of 15,000 megawatts. Finalized on July 13, 2025, the deals are valued at SAR 31.1 billion and cover five solar and two wind power plants across the Kingdom.
The agreements, signed with the Saudi Power Procurement Company, cover development, financing, construction, ownership, and operations over 25 years. A joint venture manages each project. ACWA Power holds a 35.1% stake, while Badeel (Public Investment Fund) and Aramco Power hold the remaining shares.
Strategic Solar Deployment Across Regions
Five solar photovoltaic plants will be built in key locations:
- Afif one and Afif 2 (2,000 MW each) in Riyadh Province
- Al-Humaij (3,000 MW) in Madinah
- Bisha (3,000 MW) in Asir
- Khulais (2,000 MW) in Makkah
Together, these solar projects represent an investment of SAR 22.5 billion. They support Saudi Arabia’s Vision 2030 by expanding clean energy generation. While exact pricing was not disclosed, the projects are expected to deliver electricity globally competitively.
Wind Capacity to Complement Solar Growth
In addition, ACWA Power signed contracts for two wind energy projects in Riyadh Province:
- Sitarah (2,000 MW)
- Shaqra (1,000 MW)
Moreover, these wind farms, valued at SAR 8.6 billion, play a vital role in supporting grid stability and diversifying renewable sources. Financial details will be announced after financing arrangements are finalized.
ACWA Power strengthens its role in Saudi Arabia’s energy transition through these agreements. The projects also highlight growing cooperation among national champions, including Aramco and the Public Investment Fund.
The Saudi Standard’s View: ACWA Power’s 15 GW Agreements Signal Renewables at National Scale
ACWA Power’s SAR 31.1 billion in new renewable energy deals marks a major step in Saudi Arabia’s clean energy strategy. With seven large-scale projects totaling 15,000 megawatts, the Kingdom is turning Vision 2030 into real, long-term infrastructure.
Solar and Wind Pipelines at Industrial Scale
The five solar plants and two wind farms span Afif, Bisha, Khulais, Al-Humaij, Sitarah, and Shaqra. This wide geographic coverage supports clean energy growth across multiple grid zones. These are not standalone projects—they form a unified national network designed for long-term strength and energy diversification.
Consortium Ownership Model Reflects Capital Depth and Public-Private Synergy
Ownership is divided among ACWA Power, Badeel (PIF), and Aramco Power. This structure demonstrates both institutional depth and investor alignment. As a result, it boosts confidence in Saudi Arabia’s ability to finance and manage complex energy infrastructure.
25-Year Agreements Show Regulatory Certainty and Market Maturity
The long-term nature of these PPAs reflects stability in Saudi Arabia’s energy sector. At a time when global markets face uncertainty, the Kingdom offers investors clarity, price visibility, and efficient project execution. This positions Saudi Arabia as a global model for renewable development.
Execution on Vision 2030 Energy Goals Is Accelerating
These agreements confirm ACWA Power’s leadership role in the Saudi Green Initiative. The projects boost renewable output and promote job creation, industrial growth, and carbon reduction.
In short, Saudi Arabia is not just adopting renewable energy—it is scaling it with clear plans, strong institutions, and real economic value. ACWA Power’s deals mark the start of a new chapter, where renewables are not a future ambition—they are a national priority.
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