ACWA Power will be responsible for the development, financing, construction, ownership, and operation of the projects. The agreement spans a duration of 25 years and is valued at SAR22.5 billion (US$6 billion).
ACWA Power will hold an effective shareholding of 35.1% in each project company. Badeel, a wholly owned subsidiary of the Public Investment Fund, and Saudi Aramco Power Company are expected to own 34.9% and 30% equity stakes, respectively, once the projects reach financial close.
The portfolio of solar PV projects is expected to be operational in the second half of 2027 and the first half of 2028, while the company aims to reach financial close in Q3 2025.
Marco Arcelli, CEO at ACWA Power, said: “This landmark agreement represents a significant milestone in Saudi Arabia’s strategic vision for a more resilient and more sustainable energy landscape, underscoring the nation’s steadfast commitment to achieving its ambitious renewable energy targets.”
ACWA Power operates across 14 countries spanning the Middle East, Africa, and Central and Southeast Asia. These latest projects in Saudi Arabia increases the company’s total solar and wind portfolio in the country to more than 34GW of renewables across 21 projects.
In January 2025, ACWA Power signed cooperation deals with inverter solar manufacturer Sungrow and Mingyang Smart Energy under its “China Strategy.” It partnered with Sungrow to operate 132MW of solar PV across three sites and with Mingyang to co-develop 200MW of wind assets. The combined investment totaled US$312 million, with plans to expand capacity to over 1GW.
Last year, the company signed a supply agreement with Chinese module manufacturer JinkoSolar for 3GW of PV modules for its Saudi PIF4 portfolio. The deal coverd the 1.8GW Al-Khushaybi and 1.2GW Haden solar projects. Jinko’s series 78 modules were assigned to Al-Khushaybi, while Haden received panels from the 66 series, both featuring tunnel oxide passivated contact (TOPCon) technology.
