Who are the key players in Saudi Arabia Power Market?

MARAFIQ Power And Water Utility Company For Jubail And Yanbu (MARAFIQ), ACWA Power Co, Saudi Electricity Company (SEC) SJSC, Arabian Electrical Transmission Line Construction Company (AETCON) and Nour Energy (ASTRA Group) are the major companies operating in the Saudi Arabia Power Market. Read More

What years does this Saudi Arabia Power Market cover, and what was the market size in 2023?

In 2023, the Saudi Arabia Power Market size was estimated at 83 gigawatt. The report covers the Saudi Arabia Power Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Saudi Arabia Power Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029. Read More

What are the major challenges facing the Saudi Arabia Power Market?

The major challenges facing the Saudi Arabia Power Market are a) Transitioning from fossil fuels to renewable energy b) Grid integration of variable renewable sources c) Ensuring energy security, managing high per capita power consumption, and balancing supply and demand dynamic Read More

Saudi Arabia Power Market Size

Market Size of Saudi Arabia Power Industry

Study Period	2020 - 2029
Base Year For Estimation	2023
Market Volume (2024)	87.81 gigawatt
Market Volume (2029)	116.41 gigawatt
CAGR (2024 - 2029)	5.80 %
Market Concentration	Low
Major Players *Disclaimer: Major Players sorted in no particular order

Saudi Arabia Power Market Analysis

The Saudi Arabia Power Market size is estimated at 87.81 gigawatt in 2024, and is expected to reach 116.41 gigawatt by 2029, growing at a CAGR of 5.80% during the forecast period (2024-2029).

Over the medium term, 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.
On the other hand, the unstable geopolitics of the region is expected to act as a restraint for the market's growth.
Nevertheless, privatization of the power sector is expected to provide a significant opportunity. If the government capitalizes on this opening, it is likely to help with substantial investments needed to reform the power sector and provide the country with the expertise required to generate renewable energy at lower costs.

Saudi Arabia Power Industry Segmentation

The Power Market includes generating electricity using various methods, among which the most widely used are thermal and renewable energy sources. The Saudi Arabian power market is segmented by power generation and power transmission and distribution (T&D). By power generation, the market is segmented into thermal and renewables. For each segment except power transmission and distribution, the market sizing and forecasts have been done based on installed capacity (gigawatts).

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Saudi Arabia Power Market Size Summary

The Saudi Arabian power generation market is poised for significant growth over the forecast period, driven by a strategic shift towards diversifying energy sources. The country is increasingly investing in cleaner energy alternatives such as solar, wind, and bioenergy, supported by favorable government policies aimed at expanding renewable energy capacity. This transition is part of a broader effort to reduce dependence on hydrocarbons, which currently dominate the energy landscape. Despite challenges posed by regional geopolitical instability, the privatization of the power sector presents a substantial opportunity for attracting investments and acquiring the necessary expertise to enhance renewable energy production at reduced costs.

The thermal power segment, primarily fueled by natural gas and crude oil, continues to play a dominant role in Saudi Arabia's energy mix. However, the country is witnessing a gradual increase in electricity generation from gas-fired plants, reflecting a global trend towards cleaner energy. The government's commitment to expanding renewable energy infrastructure is evident in its ambitious plans to significantly boost solar and wind energy capacity. Notable projects, such as those undertaken by state-owned enterprises like Saudi Aramco and the King Abdullah Petroleum Studies and Research Center, underscore the nation's focus on reducing emissions and achieving its renewable energy targets. As a result, the Saudi Arabian power market is expected to experience robust growth, driven by both thermal and renewable energy developments.

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Saudi Arabia Power Market Size - Table of Contents

1. MARKET OVERVIEW
1. 1.1 Introduction
2. 1.2 Power Generation Mix, 2022
3. 1.3 Power Generation Installed Capacity and Forecast in GW, until 2028
4. 1.4 Electricity Generation and Consumption Forecast in Terawatt-Hours (TWh), till 2028
5. 1.5 Recent Trends and Developments
6. 1.6 Government Policies and Regulations
7. 1.7 Market Dynamics
  1. 1.7.1 Drivers
    1. 1.7.1.1 Increasing Diversification of Energy Sources from Oil and Gas to Cleaner Energy Sources
    2. 1.7.1.2 Supportive Government Policies for Increasing Renewable Power Capacity
  2. 1.7.2 Restraints
    1. 1.7.2.1 The Unstable Geopolitics of the Country
8. 1.8 Supply Chain Analysis
9. 1.9 PESTLE Analysis