02-03-2025
Saudi renewable sector set for growth: HAALA CEO
Saudi Arabia has immense potential in renewable energy, surpassing many global and regional markets. Vast land availability, high solar irradiation, and strong government backing make it one of the most promising markets, said Faris Al-Sulayman, CEO of HAALA Energy Co.
In an interview with Argaam, he noted that ongoing technological advancements and regulatory developments are setting Saudi Arabia up to become a global leader in solar energy.
Sector growth varies by project type. The utility-scale segment is expanding rapidly, driven by large government-led projects.
This makes the Kingdom one of the fastest-growing markets in this field worldwide.
The industrial and commercial segments are also growing but are influenced by factors like subsidized electricity prices. Factories pay just 18 halalas per kilowatt-hour, much lower than global benchmarks. Al-Sulayman also pointed to the sharp drop in solar panel costs and evolving government policies.
The Gulf region is witnessing rapid solar energy expansion, making it one of the fastest-growing renewable markets outside China.
This growth is driven by government initiatives and large investments in clean energy.
The commercial and industrial solar market is still small but expanding quickly.
Many businesses and factories are adopting solar solutions to cut costs and boost sustainability.
HAALA Energy operates as both an EPC contractor and a project developer, giving it a competitive advantage. The market has many contractors, but few focus on development.
The company has delivered several projects, including:
Tamr Logistics Facility in Jeddah (1 MW), featuring robotic self-cleaning to optimize efficiency and reduce maintenance costs.
Panda KAEC Distribution Center (3 MW), still under construction.
Dr. Soliman Fakeeh Hospital in Jeddah (700 kW), where rooftop parking was converted into a solar power system, providing clean energy and shaded parking.
IKEA in Madinah (1 MW).
Government programs have been key to sector growth. Initiatives like Mutajadeda from the Saudi Industrial Development Fund, along with the Saudi Electricity Co. Shamsi program, are making solar adoption easier by facilitating grid connections, qualifying contractors, and attracting investment.
Al-Sulayman stressed that raising awareness, tackling regulatory challenges, and enhancing public-private collaboration will be critical for sector growth.
