The Kingdom of Saudi Arabia (KSA) has set out an ambitious plan to modernize the nation and transfer its economy away from its reliance on petroleum. A vital part of the plan is to start meaningfully tapping among the nation’s most abundant all-natural resources: solar energy.
The Kingdom has vowed to possess 9.5 GW of installed capacity by 2023.The change is explained by officials in King Abdullah University of Science and Technology (KAUST) rather than a movement toward renewable energy, but also in order for the Kingdom to become a world leader in solar technologies, training a new generation of Saudi’s from the engineering and finally turn into an exporter of the two solar panels and solar power. What’s more, the current MoU with Softbank to set up 200 GW of solar PV at the Kingdom strengthens the ambition and drive to completely exploit the natural resources that the nation was blessed with.
The investment in solar power is going to be a fantastic chance for the Kingdom to become a pioneer in the adoption of renewables from the Middle East and reach its own emissions aims for its Paris Climate Accord.
The goal is tough, yet hopeless. In Arthur D. Little, we consider the Kingdom can create 50 percent of its own power from Solar from 2030 with no significant paradigm change, or technological obstacle. A powerful government vision/ direction together with applicable policies to encourage schemes that bring advantages to PV owners are able to take the Kingdom beyond the specified aims.
KSA’s ambitious diversification goal
In the center of KSA’s Vision 2030 is your strategy to move away from petroleum dependence. This really is dependent not only on petroleum exporting as the vital element of GDP but also as a main element in its power production. KSA currently generates 40 percent of its power from oil, when compared with a world average of just 4.3 percent. To change this, Vision 2030 already summarizes various actions and targets about reducing the quantity of oil used for domestic power generation, and also to raise the role renewable energy plays in the energy industry. The number of those myriad aims set by the program and associated with the include, but aren’t limited to:
Reaching substantial development of renewable energy production ability: 3.45 GW in 2020 and 9.5 GW in 2023, representing 4 and 10% of national production capacity, respectively.
Raising the talk of non-oil exports from non-oil GDP from 16 to 50 percent.
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But more is possible
Although this vision for KSA is inspirational, additionally it is possible. Only a decade ago, experts would have laughed at the notion that any nation could install and economically operate 9.5 GW of solar panels by 2023. Now, it’s a foregone conclusion. The Cost of solar production technologies has come down so dramatically that
Its Levelized cost of electricity (LCOE) is currently competitive with natural gas and much more affordable than unsubsidized oil, which accounts for 40% of energy production from the Kingdom. Likewise, the purchase price of energy storage continues to drop and is currently becoming commercial in pick island countries at usefulness scale. In reality, with no significant technological paradigm change, KSA could create well more than half of its power from renewable resources, with most coming from solar energy. All that’s required is a clear map, strategic investment, and also the political will to have it done.
Now you have more reasons to move to Saudi Arabia. And if you need help moving your furniture to areas such as Jeddah, you can get help from the best moving company in Jeddah (or شركة نقل اثاث بجدة in Arabic).