Energy & Utilities
From The Report: Saudi Arabia 2025
View in Online Reader

The Saudi energy industry is entering a period of change. Multiple gigawatts of renewable electricity are coming online each year, helping to replace oil in domestic power generation and lower the carbon intensity of the energy mix. Carbon capture, utilisation and storage supports emissions mitigation across the power and utilities sector as part of the Kingdom’s multi-pathway approach. Together, these shifts align with national efforts to reduce domestic crude burn, increasing flexibility over how hydrocarbon production is allocated between domestic use and export markets. The utilities sector has seen major developments: water companies have been restructured and are being prepared for partial privatisation, and electricity companies are facing an expanding number of independent power producers, especially in renewables.

This chapter contains interviews with Marco Arcelli, CEO, ACWA and Omar Al Daweesh, CEO, EDF.

Articles from this Chapter

Overview

Power move: The sector is transforming through the expansion of renewables, improved water efficiency and steps towards privatisation
OBG
plus

The Saudi energy industry is entering a period of change. Multiple gigawatts of renewable electricity are coming online each year, helping to displace oil in domestic power generation and lower the carbon intensity of the energy mix, while carbon capture, utilisation and storage (CCUS) supports emissions mitigation across the power and utilities sector as part of the Kingdom’s multi-pathway approach. Together, these shifts align with national efforts to reduce domestic crude burn, increasing flexibility over how hydrocarbon production is allocated between domestic use and export markets. The utilities sector has seen major developments: water…

Interview

Hydrogen potential: Marco Arcelli, CEO, ACWA, on the long-term potential for fuels to become traded commodities
OBG
plus

Interview: Marco Arcelli, CEO, ACWA, on the long-term potential for fuels to become traded commodities In the global energy transition, to what extent do you see a balance taking place between renewables, conventional power and green hydrogen? MARCO ARCELLI: These systems are not mainly about replacing existing capacity; they are responding to rapid demand growth. In that context, the priority is speed, scale, affordability and security of supply. Renewables – particularly solar and wind –…

Interview

Renewable ecosystems: Omar Al Daweesh, CEO, EDF, on implementing renewables and decarbonisation technologies to deliver on climate ambitions
OBG
plus

Interview: Omar Al Daweesh, CEO, EDF, on implementing renewables and decarbonisation technologies to deliver on climate ambitions How do you view the pace of the Kingdom’s shift from fossil fuels towards renewables? OMAR AL DAWEESH: Saudi Arabia’s transition towards a more diversified energy mix is moving rapidly, supported by clear long-term targets and a disciplined tendering pipeline. Solar and wind are expanding quickly and with rising intermittency, reliability has become the central operational…

Analysis

Transition planning: Alternative energy demand and production are picking up pace in line with the shift away from hydrocarbons
OBG
plus

The energy transition advanced in 2023 despite geopolitical tensions, supply chain disruptions and inflationary pressures that maintained elevated energy prices globally. Prices fell from 2022’s historic peaks but remained higher than pre-2020 levels, potentially signalling a turning point in the shift from hydrocarbon dependence toward lower-cost clean energy alternatives. Hydrocarbons’ uneven global distribution, vulnerable supply chains and volatile pricing present ongoing challenges. While hydrocarbons-producing countries achieved record revenue in 2022, renewable energy capacity grew by over 8% that year, exceeding 300 GW for the first…