Renewables
Saudi Arabia initiates new solar tender for 1.9 gigawatts
Saudi Arabia has advanced its renewable energy strategy by issuing qualification documents for two major photovoltaic installations totalling 1.9 gigawatts.
Key points
- Saudi Power Procurement Co. initiated the latest phase of the National Renewable Energy Program.
- The procurement covers a 1 gigawatt facility in Asir and a 900 megawatt installation in Riyadh.
- Interested developers must submit pre-qualification materials before the November deadline.
According to pv magazine, the Saudi Power Procurement Co. (SPPC) has commenced the eighth iteration of the nation's overarching renewable energy initiative. The agency distributed qualification documents seeking participants for photovoltaic developments yielding a combined 1.9 gigawatts across two distinct locations.
Project specifics
The procurement comprises two independent power producer initiatives. The first is a 1 gigawatt installation named EAM, situated in the Asir province approximately 120 kilometres southeast of Tathleeth. The second site, designated TMR, will deliver 900 megawatts in the Riyadh province, positioned north of Tumair, east of Al Majmaah and north of Riyadh. Successful entities will construct and manage these utility-scale assets under a build-own-operate framework, with the pre-qualification window closing on November 22.
This announcement follows a sequence of earlier tenders administered by the authorities. In September 2025, the seventh round targeted 3.1 gigawatts across four sites, while the sixth round awarded 3 gigawatts in late 2025 with participation from major international developers including Masdar and TotalEnergies. Earlier procurement phases, dating back to the initial Sakaka project awarded to ACWA Power, have progressively driven down solar tariffs in the kingdom, recording historically low electricity costs in previous competitive auctions managed by the state.
Why it matters
World Bank data indicates that fuel exports accounted for 78.7 per cent of Saudi Arabia's merchandise exports in 2025, highlighting the economic imperative for hydrocarbon-producing nations to diversify their revenue streams and energy matrices. For international investors and emerging market policymakers, the systematic expansion of utility-scale photovoltaic tenders demonstrates how transparent, state-backed procurement can rapidly scale renewable generation capacity. As economies heavily reliant on fossil fuel revenues seek to domesticate clean energy generation while meeting high domestic electricity consumption per capita, such structured auction frameworks offer valuable policy and financial benchmarks for other resource-dependent regions aiming to expand their modern power infrastructure.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.
0.1% of electricity in Saudi Arabia was renewable in 2021Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
