Power & Electricity

About energy

Energy is concerned with achieving many goals based on the adoption of the concepts of innovation, technology, and artificial intelligence in the energy sector. including: a program to sustain the demand for hydrocarbons, which proposes to make The Kingdom the world’s largest exporter of clean hydrogen, which includes: Blue Hydrogen from hydrocarbon sources, and Green Hydrogen from renewable sources, and a program for the optimal energy mix that is most efficient and least expensive in electricity production, and programs for energy efficiency, and programs to enable the local manufacture of the components of solar and wind energy production.
Improving and raising energy efficiency in the three main sectors that account for the consumption of more than 90% of primary energy in the Kingdom: industry, buildings, and land transport, in which the program contributed to the launch of energy efficiency initiatives, in cooperation with more than 30 government and semi-government entities through task forces that have prepared more than 80 initiatives at various stages.

The vision

Global leadership in energy towards an innovative and sustainable future.

The message

Leading the energy sector by developing highly efficient expansion policies, programs and plans that maximize the added value of the sector, in order to sustain development, meet economic challenges and preserve the national wealth of future generations. 

Renewable energy

The Ministry of Energy seeks to enable sector coupling among the different energy sectors besides strengthening the national and global economy as a key factor for growth, including conventional and renewable energy and nuclear energy for future peaceful uses by adopting innovative solutions toward creating an environment that unlocks economic benefit of the Kingdom.
Renewable energy initiatives integrate with hydrocarbon resources in energy production. The Kingdom's distinct geographical and climatic location makes utilizing renewable energy sources economically attractive and supportive of its energy diversification efforts. The Kingdom also seeks to strengthen and expand its outstanding and world-leading position in the petroleum industry to other energy sources.
The National Renewable Energy Program is a strategic initiative under the Custodian  of the Two Holy Mosques Renewable Energy Initiative and the Kingdom Vision 2030. It aims to increase Saudi Arabia's share in renewable energy production and is designed to balance the local energy mix and meet the Kingdom's emissions reduction targets.

 

Through the program, the Ministry of Energy diversifies the national energy mix used in electricity production by increasing the share of gas and renewable energy sources. The Kingdom aims to reach the optimal energy mix, the most efficient and the least expensive in electricity production. 
Moving forward, this will be achieved by replacing the liquid fuel that is used for electricity production with natural gas besides renewable energy sources, which are going to make up around 50% of the energy mix used to produce electricity by 2030.

 

The Ministry drives toward developing the renewable energy sector by creating a competitive local market that contributes to the growth of private sector investments and promotes Public-private partnerships (PPPs). 
The Ministry’s success draws a unique transformative blueprint in the power sector in which the Kingdom has taken great strides to grant the world’s most competitive prices in solar and wind projects.

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The oil sector in the Kingdom

The discovery of oil radically led the Kingdom to occupy a leading position in the global petroleum industry. The Kingdom established the Organization of Petroleum Exporting Countries (OPEC) with international partners, including Kuwait, Iraq, Iran and Venezuela, in 1960. Also, The Kingdom founded the Organization of Arab Petroleum Exporting Countries (OAPEC) in 1968.


The Ministry of Energy continues to supervise exploration work to facilitate oil and gas discoveries, and the Kingdom's huge oil reserves are subject to some of the lowest extraction costs in the world. The Kingdom currently controls 19% of global oil reserves, 12% of global production, and more than 20% of oil sales in the global market. It also has a refining capacity that reaches more than five million barrels per day domestically and via its international network.  Moreover, The Kingdom's oil reserves are estimated at approximately 267 billion barrels.

Gas sector in the Kingdom

Natural gas is one of the most important natural resources that the Ministry of Energy is most focused on leveraging further, maximizing operations related to exploration, production, and investment.
 Natural gas is increasingly being used to meet the growing demand for energy in the local market. It is also used as fuel for power stations and desalinated water production, particularly for producing desalinated water and its use in securing fuel and feedstock for manufacturing and other industrial sectors. 

 

The Kingdom is the seventh largest natural gas market in the world. However, the ability of the Master Gas System. As flaring status is below 1%, the Kingdom aims to achieve zero routine flaring by 2030. 

Electricity sector in the Kingdom

The Ministry of Energy - in coordination with The Electricity & Co-Generation Regulatory Authority - prepares policies and strategies for the electricity sector, supervising their implementation in a way that protects consumer rights and while nurturing economic growth and maintaining community well-being.


In its role as regulator and central planner, the Ministry of Energy is responsible for determining the Kingdom’s energy mix. This is particularly relevant as Saudi Arabia displaces liquid fuel for energy generation in favor of natural gas and renewable energy sources. At the same time, the Kingdom is increasing the use of automation applications and smart networks. Combined, the steps being taken by the Ministry are ensuring electrical service reliability, lowering costs, strengthening the Kingdom’s power grid, encouraging fair and active private sector development, and ensuring power supplies reach under-served areas previously. The Ministry is also working to maximize the supply of local electrical goods and services, all while localizing jobs and supporting research and development activities related to the electricity sector.

Atomic Energy sector in the Kingdom

The King Abdullah City for Atomic and Renewable Energy is working to develop and implement national plans to boost the role of atomic energy in the national energy mix, meeting the requirements of sustainable national development set out by Vision 2030 and enhancing the Kingdom’s reputation as an international energy pioneer. 
One of the most important benefits of the bold Saudi plans toward the Kingdom's atomic energy is achieving the diversification of energy sources and the enhancement of their positive impact on the economy and the environment instead of completely relying on petroleum and its derivatives in energy production, thus increasing the utilization of petroleum resources over time for future generations. 
 The atomic energy and its peaceful applications will also contribute to generating electricity and solving some challenges facing the Kingdom, such as the water Scarcity the Kingdom severely suffers from, by expanding the use of atomic energy for desalination of salt water. 

The National Atomic Energy Project is in line with the Kingdom's international commitments and national policy to adopt peaceful nuclear technologies for development and energy production and its firm commitment to use the highest international standards and best practices relating to nuclear safety and security. It has also established an independent nuclear control and safety entity, the "Nuclear and Radiological Control Commission". "By the decision of the Council of Ministers dated 25/6/1439H, as the national Authority is responsible for ensuring the rigorous application of those standards and has a major role in the national plan for responding to radiological and nuclear emergencies. " 


The King Abdullah City for Atomic and Renewable Energy has also established a nuclear holding company as an independent legal entity concerned with achieving the National Atomic Energy Project's aims by participating and investing in economically viable projects locally and internationally. 

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Targeted sectors

Industry:

The industrial sector is interested in improving energy efficiency and the use of values in the industrial sector, which consumes about 48% of the total primary energy consumed in the Kingdom. From this point of view, efforts and initiatives in the field of high-consumption industries have been focused through the development of the necessary policies, regulations and procedures in full cooperation and coordination with the relevant authorities and benefiting from international expertise in this field.
The current scope of work covers all existing and new plants that fall within the petrochemical, cement, iron and aluminum sectors that are under operation, feasibility study, design or implementation phase.
With regard to the efficiency of using values, the scope of work focuses only on raw materials, which have been identified to include the split of hydrocarbons, ammonia, methanol, dehydrogenation of propane (PDH), isobutylene, and benzene-toluene-xylene (BTX).

Buildings:

The building sector consumes about 29% of the primary energy consumed in the Kingdom, and the Buildings Department seeks to improve and raise the efficiency of energy consumption in the building sector through the development of technical regulations, policies, and procedures necessary for this in cooperation with the relevant authorities.
Scope of work:
The scope of work covers all government, commercial and residential buildings, as it includes building systems as well as electrical and electronic systems and devices used in those buildings.


 
Transportation:

The transport sector consumes 18% of the total primary energy consumption in the Kingdom, which is equivalent to 810,000 barrels of fuel per day. Since 2012, the center has worked in cooperation with all concerned authorities to implement several initiatives to improve the fuel economy in imported light vehicles. The Saudi fuel economy standard aims to improve the fuel economy rate of vehicles in the Kingdom by about (3%) annually to transfer. 


Scope of work:

  • Light Veichles LDVs
  • Heavy Vehicles HDVs

Services

If you want to buy a light vehicle or a tire, make sure that the fuel economy card data is correct on the vehicle or the energy efficiency card on the tire by scanning the QR code contained in the Verify-Sy application developed by the Saudi Standards, Metrology and Quality Organization (SASO) in cooperation with the Center.

E-services

Description of the service

A dedicated platform for submitting applications for the allocation of energy resources to consumers in all sectors, network licenses, gas pipelines and liquids.
 

Description of the service

Issuing and renewing the establishment's qualification certificate for the management, operation and maintenance of gas stations and service centers.
 

Description of the service

licensing service of the petroleum products trade system.
 

Description of the service

Licensing the licensing service of the petroleum products trade system.
 


For more information, click here.

Programs of the system

  1. Integrated energy strategy
  2. Integration of the electricity sector
  3. Optimal energy mix
  4. ​​​​​​​Renewable energy
  5. ​​​​​​​Saudi Energy Efficiency Center
  6. National Company for Energy Efficiency Services "Tarshid"Sustainability

 
Rules and regulations

The Committee of Experts was established as a division of the Council of Ministers by royal decree in 1373 AH and the royal order was issued to amend its name from division to body in 1414 AH. One of the tasks of the Commission is to discuss the transactions referred by the Council of Ministers to it, prepare draft regulations, review and amend the regulations in force, and develop appropriate formulas for some regal orders, royal decrees and decisions of the Council of Ministers, in addition to the participation of government agencies in studying the topics referred to them by the Supreme Court, the Council of Ministers or the The authority's link.

Systems

  1. The electricity system
  2. Petroleum products trading system
  3. Gas supply and pricing system
  4. Dry gas and liquid petroleum gas distribution system for residential and commercial purposes
  5. The executive regulations of the electricity system for the ministry's tasks
  6. Executive Regulations of the Petroleum Products Trade Law
  7. Executive Regulations of the Gas Supply and Pricing System