TotalEnergies and Aljomaih Energy & Water Company (AEW) have been awarded 300 MW Rabigh 2 solar project, under Saudi Arabia’s National Renewable Energy Program (NREP) Round 5. The consortium of these two companies signed a 25-year Power Purchase Agreement (PPA) with the Saudi Power Procurement Company (SPPC). TotalEnergies is also constructing 119 MW Wadi Al Dawasir solar project in Saudi Arabia. The project will commence operations in early 2025.
The project aligns with Saudi Vision 2030, which aims to achieve a 50 per cent energy mix from gas and renewables while reducing dependence on liquid fuels for electricity generation. Scheduled to connect to the grid in 2026, the solar plant will be developed, owned, and operated by the TotalEnergies-AEW consortium.
SPPC had released a list of eligible bidders for the fifth round of solar auction with a combined capacity of 3.7 GW early this year. The projects were announced as part of the country’s National Renewable Energy Programme, and they include several renowned renewable energy providers. The 2 GW Al Sadawi solar plant, which will be built in the Eastern Province of Saudi Arabia; the 1 GW Al Masa’a project, which will be built in the Province of Hail; and the 400 MW Al Henakiyah 2 and 300 MW Rabigh 2 projects, which will be built in the Provinces of Madinah and Makkah, respectively, are the four solar projects that will be developed under this round.
REGlobal’s Views: New economies in Asia and the MENA region are emerging as attractive hotspots for solar power investments, with interest from energy giants like TotalEnergies. Saudi Arabia has been making efforts to reduce its energy imports and increase its solar power uptake, and has been successfully conducting auctions to attract large foreign investors.
