ACWA Power: Leading Saudi Arabia’s Renewable Energy Revolution

Nestled atop a vast reserve of the world’s oil, Saudi Arabia may not be the first name that springs to mind in discussions about renewable energy. However, Crown Prince Muhammad bin Salman is on a mission to change that narrative. With ambitious goals in mind, he aims to see half of Saudi Arabia’s electricity generated from wind and solar sources by 2030. And at the forefront of this green revolution stands ACWA Power, a once-under-the-radar utility that has now emerged as a key player in the global energy landscape.

Initially a modest family-run operation, ACWA Power underwent a dramatic transformation upon its public listing in Riyadh in 2021. Since then, its market value has skyrocketed, reaching a staggering $50 billion, with the Saudi sovereign wealth fund, the Public Investment Fund (PIF), holding a substantial 44% stake. ACWA Power has rapidly expanded its portfolio, boasting an impressive 24 gigawatts (GW) of green energy projects either operational or in advanced stages of development, a remarkable increase from just 0.3GW in 2014. With additional projects under construction, its total capacity is set to reach 54GW.

Originally focused on water desalination, ACWA Power has diversified its interests under the leadership of its new CEO, Marco Arcelli, an experienced energy executive from Italy. Arcelli envisions a future where ACWA Power plays a pivotal role in nurturing a robust domestic green-energy supply chain, positioning the company as a significant enabler in Saudi Arabia’s transition towards sustainability. With plans to triple its asset value by 2030 to an estimated $250 billion, ACWA Power is poised to continue its trajectory as a major player in the global renewable energy sector.