Please Wait.....
Report
Saudi Arabia Power Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)
Market Report I 2023-01-23 I 95 Pages I Mordor Intelligence
The Saudi Arabian power market is expected to register a CAGR of more than 2% during the forecast period of 2022-2027. The COVID-19 pandemic caused a negative impact on the market, as several activities in power projects, including the T&D sector, were postponed till 2022. Furthermore, the electricity consumption witnessed a sharp decline of 3.6% in 2020 when compared to 2019 as industrial and commercial establishments remained temporarily closed during the nationwide lockdown. Factors, such as increasing diversification of energy sources from oil and gas to cleaner energy sources, such as solar, wind, and bioenergy, are expected to drive the Saudi Arabian power market, along with supportive government policies leading to the development of renewable energy capacity during the forecast period. However, the unstable geopolitics of the region is expected to act as a restraint for the market's growth.
Key Highlights
Saudi Arabia's power generation mix is majorly dominated by thermal power sources such as oil and natural gas. The same trend is expected to continue during the forecast period, owing to the abundance of fossil fuel resources and upcoming power generation plants.
Privatization of the power sector is expected to provide a significant opportunity, and if the government capitalizes on this opening, it is expected to help with large investments that are needed for the reformation of the power sector and provide the country with the expertise required to generate renewable energy at lower costs.
The increasing renewable energy share and capacity in the country's energy mix are expected to drive the Saudi Arabian power market during the forecast period.
Saudi Arabia Power Market Trends
Thermal Power Source to Dominate the Market
The thermal sources for the country include crude oil and natural gas. In 2020, 340.9 terawatt-hours (TWh) of electricity was produced from conventional thermal, which accounted for 99.8% of the total electricity generated in the country.
The country's power generation is highly dependent on hydrocarbons. At the end of 2020, the country had 40.9 billion metric tons of crude oil proven reserves and was second after Venezuela. In the same year, the country's total gas reserves were 212.6 trillion cubic feet (Tcf).
In recent years, the country saw an increase in electricity generation from gas-fired power plants, while the country experienced a downfall in power generation from crude oil. This transition was seen due to the country's global movement shifting to cleaner energy sources of energy. In 2020, electricity generation from oil was 132.8 TWh, while power generation from natural gas was 207 TWh.
In January 2022, Dhuruma Electricity Company completed the refinancing of USD 1.2 billion for its gas-fired PP11 power plant in Saudi Arabia. PP11 is a 1,730 MW combined-cycle gas-fired power plant located near Dhuruma, about 135 km west of Riyadh. The refinancing of the plant ensures the long-term viability of the plant being a reliable thermal power producer in Saudi Arabia.
Therefore, owing to the aforementioned factors, the thermal power segment is likely to dominate the Saudi Arabian power market during the forecast period.
Development of the Renewable Energy Sector to Drive the Market
The country witnessed a sharp rise in its renewable energy capacity in 2019, which remained the same in 2020, mainly driven by the increasing focus on environmental concerns. The total renewable energy installed capacity in 2018 was 87 MW, which in 2019 exponentially increased to 413 MW and remained the same in 2020 as well. The country aims to build a renewable energy capacity of 58.7 GW by 2030.
One of the driving reasons for renewables to increase at such a rate in the country is its plan to reduce oil and gas usage in power generation.
In 2017, the country launched its National Renewable Energy Program (NREP), a strategic initiative under Vision 2030 and King Salman's Renewable Energy Initiative. The program aims to maximize the potential of renewable energy in the country. In January 2020, the country launched the third round of NREP. Round Three was comprised of four solar PV projects with a combined generation capacity of 1,200 megawatts (MW).
In August 2021, ACWA Power reached financial close for a 1.5 GW PV project set to be located at Sudair Industrial City, 120 km away from Riyadh. The USD 907 million worth project is owned by ACWA Power and Badeel, which each have a 35% stake, and the remaining 30% is owned by Aramco.
In August 2021, EDF Renewables and Masdar produced the first power from their 400 -MW Dumat Al Jandal wind farm in Saudi Arabia.
Therefore, owing to the above points, the increasing renewable energy installations and investments in the country are expected to drive the Saudi Arabian power market during the forecast period.
Saudi Arabia Power Market Competitor Analysis
The Saudi Arabian power market is fragmented. Some of the major players operating in this market include ACWA Power Co., Saudi Electricity Company (SEC) SJSC, MARAFIQ Power and Water Utility Company for Jubail and Yanbu (MARAFIQ), Arabian Electrical Transmission Line Construction Company (AETCON), and Nour Energy (ASTRA Group).
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
1 INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2 EXECUTIVE SUMMARY
3 RESEARCH METHODOLOGY
4 MARKET OVERVIEW
4.1 Introduction
4.2 Power Generation Mix, 2020
4.3 Power Generation Installed Capacity and Forecast in GW, until 2027
4.4 Electricity Generation and Consumption Forecast in Terawatt-Hours (TWh), till 2027
4.5 Recent Trends and Developments
4.6 Government Policies and Regulations
4.7 Market Dynamics
4.7.1 Drivers
4.7.2 Restraints
4.8 Supply Chain Analysis
4.9 PESTLE Analysis
5 MARKET SEGEMENTATION
5.1 Power Generation
5.1.1 Thermal
5.1.2 Renewables
5.2 Power Transmission and Distribution (T&D)
6 COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 ACWA Power Co.
6.3.2 Masdar Abu Dhabi Future Energy Co.
6.3.3 Electricite de France SA (EDF)
6.3.4 Saudi Electricity Company (SEC) SJSC
6.3.5 MARAFIQ Power and Water Utility Company for Jubail and Yanbu (MARAFIQ)
6.3.6 Engie SA
6.3.7 Doosan Heavy Industries & Construction Co. Ltd
6.3.8 Shandong Electric Power Construction Corporation III (SEPCO III)
6.3.9 Arabian Electrical Transmission Line Construction Company ( AETCON )
6.3.10 Nour Energy (ASTRA Group)
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
- Not Sure / Need Reassuring
- Confirm Content
-
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
-
- Sample Pages
-
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Check for Alternatives
-
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
-
- Confirm Content
- Prices / Formats / Delivery
- Prices
-
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Discounts
-
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
-
- Available Currencies
-
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
-
- Licenses
-
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Global Site License
-
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
-
- Formats
-
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
-
- Delivery
-
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
-
- Shipping Charges
-
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
-
- Prices
- Ordering
- By Credit Card
-
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
-
- By Money Transfer
-
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
-
- By Credit Card
- Security
- Website security
-
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
-
- Credit Card Security
-
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.
-
- Website security