EDF Renewables has signed a Power Purchase Agreement (PPA) with the Saudi Power Procurement Company (SPPC) during an official signing ceremony held in Riyadh on December 5, 2024, in the presence of HRH Prince Abdulaziz bin Salman Al Saud, Minister of Energy of Saudi Arabia, Emmanuel Macron, President of Republic of France, HE Majid bin Abdullah Al Qasabi, Minister of Commerce of Saudi Arabia, Agnes Pannier-Runacher, Minister of Ecological Transition, Energy, Climate and Risk Prevention in France witnessing, and Beatrice Buffon, EDF Group Vice-President, International Division, and Chairwoman & CEO of EDF Renewables and Mazin Albahkali, CEO of SPPC signatories of the Power Purchase Agreement for the development of the 1,000 MW Al Masa’a and the 400 MW Al Henakiyah2 solar power parks. Once operational, both projects are expected to power more than 240 thousand homes per year and displace more than 2.7 million tons of carbon dioxide annually.
The projects, estimated to cost US$ 850 million, leverage the expertise of global renewables leaders, France’ EDF Renewables and China’ SPIC Huanghe Hydropower Development Company. The Al Masa’a solar power plant is expected to enter under operation in Q2 2027, while the Al Henakiyah2 solar plant is expected to reach financial close in early 2025 and connect to the grid in Q4 2026.
With plans to boost the local economy, at least 21 percent of the equipment, materials and services will be provided by Saudi companies during the construction phase.
Beatrice Buffon, EDF Group Vice-President, International Division, and Chairwoman & CEO of EDF Renewables, said: “The award of these two significant solar projects is another major milestone reached with the Ministry of Energy and SPPC. EDF’s strong technical expertise, combined with environmental and social standards are set to navigate the dynamic Saudi clean energy market. These projects will increase our renewables asset capacity up to 3,500 MW in the Kingdom, paving the way for a future of sustainable growth and positive impact for the future generations, supporting the Kingdom’s Vision 2030.”
The 400 MW Al Henakiyah2 Solar Plant is located 36km southeast of Al Henakiyah Town in the Madinah province. The 1,000 MW Al Masa’a project is located in the Dharghat Town, Hail province, Saudi Arabia
Set to be flagship solar plants in the Kingdom, the projects will be developed, built, owned and operated by the consortium as part of a 25-year agreement with the off-taker SPPC. Both solar parks will help to achieve the target of increasing the share of the renewables in the country’s energy mix to around 50% by 2030, while boosting the local employment.
