The Saudi Arabia renewable energy market size was valued at 2.09 Gigawatt in 2024. Looking forward, IMARC Group estimates the market to reach 40.42 Gigawatt by 2033, exhibiting a CAGR of 35.07% from 2025-2033. The region’s favorable geography including abundant sunlight and strong winds, supports large-scale solar and wind projects. Besides this, Saudi Arabia renewable energy market share is driven by increasing engagement of private sector through investments and technological innovations. Government initiatives, such as Vision 2030, provide regulatory support and financing for renewable energy development.

IMARC Group provides an analysis of the key trends in each segment of the Saudi Arabia renewable energy market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on type.

Saudi Arabia Renewable Energy Market Report is Segmented by Type (Solar, Wind, and Other Types [Hydro, Biomass, Etc. ]). The Report Offers Installed Capacity and Forecasts in Megawatts (GW) for all the Above Segments.

The Saudi Arabia renewable energy market was volume at 1.55 Gigawatt in 2024. The industry is expected to grow at a CAGR of 44.00% during the forecast period of 2025-2034. An increase in public-private partnerships (PPPs) is primarily boosting the market. PPPs ensure cooperation between governments and the private sector, enhancing the acceleration of renewable energy projects, foreign direct investment, and ensuring the successful implementation of large-scale efforts on solar and wind, including hydrogen. In turn, all these factors have resulted in the market attaining a volume of 59.42 Gigawatt by 2034.

The Saudi Arabia Solar Power Market is Segmented by Type (Solar Photovoltaic (PV) and Concentrated Solar Energy (CSP)). The report offers the market size and forecasts for Saudi Arabia's solar energy in installed capacity (MW) for all the above segments.

In Saudi Arabia Renewable Energy Market, Technological breakthroughs in battery storage, floating solar, and offshore wind will open new frontiers for deployment.

The Saudi Arabian renewable energy market is experiencing robust growth, driven by the nation's ambitious Vision 2030 plan to diversify its economy and reduce reliance on fossil fuels. A compound annual growth rate (CAGR) of 23.30% from 2019 to 2024 suggests a significant market expansion, projected to continue through 2033. This growth is fueled by substantial government investments in solar and wind energy projects, coupled with supportive regulatory frameworks and incentives aimed at attracting both domestic and international players. The solar segment currently dominates the market, benefiting from abundant sunlight and falling solar panel costs. However, significant investments in wind energy are expected to increase its market share in the coming years, leveraging the country's coastal regions and favorable wind conditions. Other renewable sources, such as hydro and biomass, while smaller in current contribution, are also anticipated to experience growth, albeit at a potentially slower rate compared to solar and wind. Key players include established international energy companies alongside Saudi Arabian entities, fostering a competitive landscape that further propels market development. Challenges remain, including the need for continued grid infrastructure development to efficiently integrate renewable energy sources into the national grid and the potential for fluctuations in energy prices to impact project financing. Nevertheless, the long-term outlook for the Saudi Arabian renewable energy market remains highly positive, fueled by sustained government commitment and the growing global demand for cleaner energy solutions. The market's segmentation by type (solar, wind, other) reveals a clear dominance of solar, followed by wind power. The "other" category encompasses a mix of hydropower, biomass, and potentially other emerging technologies. Competition is fierce, with both multinational corporations and local Saudi firms vying for market share. The market's future growth trajectory is expected to be shaped by factors such as technological advancements (e.g., more efficient solar panels and wind turbines), further government incentives, and the overall global energy transition. While precise market sizing for previous years isn't provided, the given CAGR and forecast period allow for a reasonable estimation of past and future market values, painting a picture of significant and sustained expansion in the renewable energy sector within the Kingdom. Recent developments include: July 2023: Saudi developer ACWA Power inked financing agreements with a group of investors to build two solar projects, Al Shuaibah 1 and Al Shuaibah 2, with estimated investments of USD 2.2 billion, which could likely help the renewable energy market to grow at a rapid pace., November 2023: The NEOM Green Hydrogen Company (NGHC) noted the receiving of wind turbines at the Port of NEOM. The NGHC’s Wind Garden would consist of approximately 250 wind turbines that would energize electricity to green hydrogen power plants in Saudi Arabia.. Key drivers for this market are: 4., Supportive Government Policies and Incentives4.; Rising Demand for Water and Renewable-Powered Desalination. Potential restraints include: 4., Supportive Government Policies and Incentives4.; Rising Demand for Water and Renewable-Powered Desalination. Notable trends are: Solar Energy to Dominate the Market.

Gain detailed insights into KSA Renewable Energy Market, size at USD 340 million in 2023, showcasing revenue forecast and major industry trends.

Saudi Arabia's Renewable Energy Market is categorized into three primary segments: solar energy, wind energy, and other renewable energy sources. Solar Energy: The dominant segment, driven by abundant sunshine and government incentives. Wind Energy: Rapidly growing segment with vast wind resources, particularly in the north and west. Other Renewable Energy Sources: This segment includes emerging technologies such as biomass, geothermal, and hydrogen, with potential for future growth. Recent developments include: February 2022:GADING Kencana Sdn Bhd, one of the largest solar farm operators in Malaysia, signed a MoU with March Global LLC of Saudi Arabia to collaborate in developing solar farms in the MEA and the ASEAN region. The first collaborative effort between them is to create a solar farm in Khulais, Saudi Arabia, with a capacity of 100 MW., January 2021:ACWA Power agreed to a USD 125 million corporate facility to support its future growth pipeline of renewable energy projects. ACWA Power has had this facility for five years under a newly signed deal with APICORP (The Arab Petroleum Investments Corporation). . Notable trends are: Growing environmental concerns are driving the market growth.

The Renewable Energy Companies in Middle East is Segmented by Type (Hydro, Solar, Wind, Other Types) and Geography (United Arab Emirates (UAE), Saudi Arabia, Oman, Iran, Israel, Jordon, Rest of Middle East). The report offers the market size and forecasts in terms of capacity in gigawatts for all the above segments

The Saudi Arabian renewable energy market is expected to exceed USD 3.19 billion by 2025–30, driven by the nation’s Vision 2030 initiative and increased clean energy investment.

Saudi Arabia Renewable Energy Market size was valued at USD 0.68 Billion in 2024 and is projected to reach USD 109.11 Billion by 2032, growing at a CAGR of 42.40% during the forecast period 2026-2032.

Saudi Arabia Renewable Energy Market Drivers

1. The National Renewable Energy Program (NREP) and Vision 2030 Saudi Arabia wants to diversify its economy and lessen its reliance on oil earnings as part of its Vision 2030 strategy. The growth of renewable energy is a key element of this vision, with the goal of obtaining at least 50% of its power from renewable sources by 2030. This includes plans to install 40 GW of wind energy and 58.7 GW of solar electricity. ​

2. Adoptimal Climate and Geographical Conditions The nation is perfect for producing solar energy because of its large deserts and high levels of solar irradiation. Large-scale solar projects are supported by these circumstances, which make solar power generation efficient and affordable.

Saudi Arabia Solar Energy Solutions Market has valued at USD 2.5 Billion in 2024 and is expected to reach at USD 7.72 Billion in 2030 and to project robust growth in the forecast period with a CAGR of 20.5% through 2030.

Technological advancements in the Saudi Arabia Renewable Energy industry are shaping the future market landscape. The report evaluates innovation-driven growth and how emerging technologies are transforming industry practices, offering a comprehensive outlook on future opportunities and market potential.

Saudi Arabia Solar Energy Market was valued at USD 2.8 Billion in 2024 and is projected to reach USD 7.4 Billion by 2032, growing at a CAGR of 12.8% during the forecast period from 2025-2032.

In Saudi Arabia, solar energy is defined as the use of solar panels and other photovoltaic technologies to harness the power of the Sun and generate electricity. The country receives plenty of sunlight and has significant amounts of solar radiation, making it a perfect location for solar energy projects. Saudi Arabia has extensive desert areas and is focusing more on renewable energy as part of its Vision 2030 strategy to diversify its energy sources beyond oil. Solar energy is seen as a critical alternative for sustainable energy generation. Solar energy is employed in a variety of fields, including residential, commercial, and industrial applications. It also plays an important role in large-scale power plants and off-grid solutions, particularly in isolated locations.

The Middle East renewable energy market is experiencing robust growth, driven by ambitious government targets to diversify energy sources, reduce carbon emissions, and enhance energy security. A CAGR of 13.43% from 2019 to 2033 indicates a significant expansion, with the market expected to reach substantial size by 2033. Several factors fuel this expansion, including the region's abundant solar and wind resources, increasing investments in renewable energy infrastructure (solar farms, wind parks, and associated grid improvements), and supportive government policies such as feed-in tariffs and renewable portfolio standards. Furthermore, technological advancements, falling renewable energy costs, and growing awareness of climate change are accelerating market adoption. The UAE, Saudi Arabia, and Oman are leading the charge, attracting substantial foreign direct investment and fostering the growth of both local and international renewable energy companies. However, challenges remain, including the high initial capital investment needed for large-scale projects, grid integration complexities, and the need to address water scarcity issues in certain solar technologies. Despite these restraints, the long-term outlook for the Middle East renewable energy market is exceptionally positive, promising a considerable shift towards a cleaner and more sustainable energy future. The market segmentation reveals strong growth across various renewable energy types, with solar and wind likely dominating due to readily available resources and technological maturity. Geographically, the UAE, Saudi Arabia, and Oman are expected to represent the largest market shares, driven by their significant investments and policy support. While other nations like Israel and Jordan have shown significant interest and are implementing renewable energy projects, their market sizes might remain comparatively smaller within the forecast period. Major players like Masdar, ACWA Power, and international companies like Canadian Solar are actively shaping the market landscape, driving competition and innovation. Future growth hinges on overcoming infrastructural limitations, fostering regional cooperation on energy projects, and ensuring continued government support to unlock the full potential of this dynamic market. Further research into specific regional data points could provide more granular insight into the precise performance and future prospects of individual countries within the Middle East region. Recent developments include: July 2022: The fourth phase of Mohammed bin Rashid Solar Park was announced to be implemented by Noor Energy 1 PSC, which contains 0.7 GW CSP and 0.25 GW PV, including Parabolic Trough CSP plants of 0.6 GW ( 0.2 GW for each unit) & Molten Salt Tower CSP Plant of 0.1 GW. This project is expected to drive the cleanliness of Dubai to extend the clean energy share to 25% by 2030., February 2022: Energy China Hunal Thermal Power & China Machinery Engineering Corporation formally signed a subcontract for the Al Dhafra PV2 Solar Power Plant Project in UAE with an installed capacity of 2.1 GW. The project is expected to lower carbon emissions by more than 2.4 million metric tons per year in Abu Dhabi.. Notable trends are: Solar Energy Segment to Witness Significant Growth.

Saudi Arabia Solar Energy Market By Size, Share, Trends, Growth, Forecast 2028, Segmented By Technology, By Solar Module, By Application, By End-Use, By Region, Competition Forecast and Opportunities

The size of the Saudi Arabia Solar Energy Industry market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 51.00">> 51.00% during the forecast period. The solar energy industry in Saudi Arabia is rapidly evolving, driven by the nation's commitment to diversifying its energy sources and reducing its dependence on fossil fuels. With its vast desert landscapes and abundant sunlight, Saudi Arabia has significant potential for solar energy generation. The government has set ambitious targets as part of its Vision 2030 initiative, aiming to produce 58.7 gigawatts (GW) of renewable energy, with solar power playing a central role in this transition. Major projects, such as the Noor Energy 1 and the Sakaka PV IPP, showcase the country’s dedication to developing large-scale solar facilities. These initiatives are not only aimed at meeting domestic energy demands but also at positioning Saudi Arabia as a key player in the global renewable energy market. The Saudi Arabian solar energy market is characterized by a range of opportunities, including photovoltaic (PV) systems, concentrated solar power (CSP), and energy storage solutions. The country is actively fostering public-private partnerships, attracting international investment, and collaborating with leading technology firms to enhance its solar infrastructure. Additionally, the government's regulatory framework and incentives, such as feed-in tariffs and net metering policies, are designed to promote solar adoption among businesses and residential consumers. As the industry matures, there is a growing focus on localizing the solar supply chain, with initiatives to develop manufacturing capabilities for solar components. Key drivers for this market are: 4., Increasing Diversification of Energy Sources from Oil and Gas to Cleaner Energy Sources4.; Supportive Government Policies for Increasing Renewable Power Capacity. Potential restraints include: 4., The Unstable Geopolitics of the Country. Notable trends are: Solar Photovoltaic (PV) Type Expected to Dominate the Market.

Explore the Saudi Arabia Solar Energy Market, valued at USD 6 billion in 2024 and projected to reach USD 49 billion by 2030, growing at a 42% CAGR.

The size of the Renewable Energy Market was valued at USD 1.45 Trillion in 2024 and is projected to reach USD 2.84 Trillion by 2033, with an expected CAGR of 10.10% during the forecast period. The Renewable Energy Market is the most dynamic, fast-growing, and emerging sector based on energy resources harnessed from naturally replenished sources including solar, wind, hydro, geothermal, and biomass. Renewable energy is defined as energy obtained from sources that are replenished within a human timescale; therefore, this offers a sustainable alternative for fossil fuels. Key features include very low greenhouse gas emissions, high sustainability, and scalability, across applications ranging from power generation to heating, as well as to transportation and various industrial processes. The market entails photovoltaic (PV) systems, wind turbines, hydropower plants, bioenergy systems, and geothermal heat pumps among others. Technologies are being advanced and government policies are encouraging these integrations so that the need for decarbonization, security in energy production, and economy of energy utilization are met. One major propeller is the falling cost of solar and wind energy, pushing these 'green' energies closer to traditional energy prices. Renewable energy impacts the reduction in reliance on finite resources, the mitigation of climate change, and the enhancement of economic growth in terms of greener jobs. The advantages of renewable energy are environmental sustainability, energy diversification, and its fuel price immunity. It will be exponential in growth as the nations try to achieve ambitious climate targets; renewable energy would play a major role in a sustainable future. Recent developments include: May 2024- Correlate Energy Corp. has disclosed a collaboration with Energetic Capital to get renewable energy resources to underserved communities. The movement combines Energetic Capital's advanced financing with Correlate Energy's expertise in renewable energy projects. The collaboration will allow access to programs such as the EPA Greenhouse Gas Reduction Fund (GGRF), making it simpler to deploy renewable energy projects in low-income areas. Apart from the established cost-effectiveness of renewable energy for businesses, households, and utilities, these advantages have widely been restricted to higher-income areas, leaving low-income communities behind. Deprived communities usually face disputes with energy access and higher costs. Two new revelations from the EPA's Greenhouse Gas Reduction Fund (GGRF) stress the significance of raising renewable energy in these areas. , August 2023- Israel's SolarEdge Technologies Inc. has authorized a joint venture with Saudi Arabia's Ajlan & Bros Holding to employ "smart renewable energy solutions" in the region, as per the Israeli organization. The joint venture is "coordinated with the Saudi Vision 2030 programme that focuses on lowering the nation's dependency on oil by the end of this decade," the Herzliya-based company said in a press release. The joint venture will be founded in the kingdom's capital, Riyadh, where the private sector corporation is established. SolarEdge CEO Zvi Lando said they are pleased to collaborate with Ajlan & Bros Holding and back Saudi Arabia's journey towards' Vision 2030'. SolarEdge is devoted to pouring the clean energy transition on a global scale, verified by this JV, which will offer local businesses in Saudi Arabia the support they require to quickly change away from fossil fuels to clean solar energy and fulfill their violent renewable energy goals. The joint venture will be managed by groups from both organizations, with Ajlan & Bros Holding as the majority shareholder. The deal's revelation comes supplemented by reports of probable progress on a U.S.-brokered negotiate between Riyadh and Jerusalem that would see the Saudis join the Abraham Accords. , August 2023- Adani Energy Solutions, on 7th August, declared the successful financial closure for its USD1 billion Green HVDC link project, which will allow the supply of more renewable power to the city and support it's ascending electricity demand. The credit facility is part of the USD 700 million revolving project finance initiative tied up in October 2021 for AESL's continuing transmission assets portfolio. This unique platform infrastructure financing framework guarantees consistent access to capital for future projects in AESL's transmission portfolio by utilizing funds paid back by other projects. , April 2021: Walmart said that it had installed 6.5 MW of solar power systems, created by Sol Customer Solutions, at seven of its stores in California. Additionally, Bank of America (BOA) was the tax-equity partner, and the portfolio included a combination of solar power systems installed on parking lot rooftops and carports that cost around US$10 million. April 2020: Engie and Eocycle-XANT formed a collaboration so that Engie could offer wind turbines in Belgium. Engie is tasked for gathering customer demands and requirements and transmitting them to Eocycle-XANT, who will handle the installation and upkeep of the wind turbines the customer is provided. . Notable trends are: Rising investments by government of various countries to propel the renewable energy growth.

The Saudi Arabian solar energy market is experiencing rapid growth, driven by the Kingdom's Vision 2030, which aims to diversify its economy and reduce reliance on fossil fuels. The market, valued at approximately $X million in 2025 (assuming a logical extrapolation based on the provided CAGR and market size), is projected to witness a Compound Annual Growth Rate (CAGR) exceeding 51% from 2025 to 2033. This robust expansion is fueled by substantial government investments in renewable energy infrastructure, supportive policies incentivizing solar energy adoption, and the country's abundant solar irradiance. Key market segments include Solar Photovoltaic (PV) and Concentrated Solar Power (CSP), with PV expected to dominate due to its lower upfront cost and faster deployment timelines. Leading players like ACWA Power, Masdar, and EDF Renewables are actively involved in developing large-scale solar projects, contributing to the market's dynamic landscape. Challenges such as land acquisition, grid integration complexities, and the need for skilled workforce development remain, but the overarching government commitment and private sector engagement suggest sustained growth trajectory for the foreseeable future. The significant investment in large-scale solar projects and the government's dedication to renewable energy targets will continue to shape market trends. Technological advancements in PV and CSP technologies, including efficiency improvements and reduced costs, are further stimulating market growth. The integration of energy storage solutions is also becoming increasingly important to address the intermittent nature of solar power, a trend expected to significantly influence future market developments. The competitive landscape remains active, with both international and domestic players vying for market share. Ongoing research and development efforts focused on enhancing efficiency and reducing the cost of solar energy technologies are expected to further propel the growth of this sector. The long-term outlook remains highly positive, anticipating substantial contributions from solar energy towards Saudi Arabia's energy mix and its sustainable development goals. Recent developments include: In June 2022, China Energy Engineering Group, Guangdong Power Engineering Company (GPEC) awarded the LONGia module supply contract for the 400 MW (DC) Rabigh Solar PV IPP project in Saudi Arabia. LONGiHi-MO 5(72C) solar modules are expected to be installed in this solar PV project under construction. The project site is located in Rabigh Industrial City in the western Makkah Province of the country, approximately 150 kilometers west of Jeddah., In March 2022, under the third round of Saudi Arabia's National Renewable Energy Programme(NREP), a contract was awarded to China-based Jinko Power to develop the 300MW Saad photovoltaic (PV) solar project. As part of the competitive tendering process, Jinko Power and Jinko Power Dhafra Holding signed a 25-year power purchase agreement (PPA) with Saudi Power Procurement Company (SPPC). The consortium submitted a tariff of SAR 5.56255/kWh for the project.. Notable trends are: Solar Photovoltaic (PV) Type Expected to Dominate the Market.