Riyadh-based Acwa Power, Water and Electricity Holding Company (Badeel) and Saudi Aramco Power Company have announced financial close on five solar projects and two wind projects in Saudi Arabia.
The seven projects, which represent 15 GW of new capacity, secured a senior debt facility totaling $5.9 billion funded by local, regional and international banks.
Acwa Power lists the funders as Ajman Bank, Al Masraf, Alinma Bank, Arab National Bank, Bank of China, China Construction Bank, China Minsheng Bank, Emirates NBD Bank, Eurobank, First Abu Dhabi Bank, HSBC Bank Middle East Limited, Industrial and Commercial Bank of China Limited, KfW IPEX-Bank GmbH, Mizuho Bank, Natixis, Piraeus Bank, Saudi Awwal Bank, Saudi National Bank, Société Générale, Standard Chartered Bank Limited and Sumitomo Mitsui Trust Bank.
The featured solar projects are the 2 GW Afif1 and 2 GW Afif2 sites located in the country’s Riyadh province, the 3 GW Bisha project in the southern Aseer region, the 3 GW Humaji project in the western Madinah region and the 2 GW Khulis project in the western Makkah region.
Power purchase agreements between the Acwa-led consortium and Saudi Power Procurement Company (SPPC) were put in place for each project in July, with levelized cost of electricity (LCOE) ranging between SAR 0.047 ($0.013)/kWh and SAR 0.051/kWh.
The projects, implemented under Saudi Arabia’s National Renewable Energy Program (NREP), are scheduled to become operational throughout the second half of 2027 and first half of 2028.
Acwa Power Chief Executive Officer, Marco Arcelli, says the sites will potentially create thousands of jobs, stimulate domestic supply chains and enable significant technology transfer to Saudi talent through dedicated training programs. “As the largest agreement under the NREP, this landmark collaboration underscores the nation’s steadfast commitment to building a more resilient and sustainable energy landscape,” he added.
According to data available on SPPC’s website, renewable capacity connected to the Saudi grid is expected to reach 12.7 GW by the end of 2025 and surpass 20 GW by the end of next year. The country’s cumulative solar capacity surpassed 4.2 GW by the end of 2024, according to figures from the International Renewable Energy Agency (IRENA).
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