Meeting 2030 Vision: Saudi Arabia announces USD 200 bn solar project
The project is so vast that it will support the creation of a domestic solar equipment manufacturing industry in the kingdom.
SoftBank Group, a Japanese multinational company and Saudi Arabia have announced their collaboration to create the world's biggest solar power generation company in Saudi Arabia.
The project was announced during the New York leg of Crown Prince Mohammed bin Salman's trip across the United States in New York. The agreement was inked between Saudi Arabia's Public Investment Fund and the SoftBank Vision Fund.
According to SoftBank CEO Masayoshi Son, the project is estimated to have a capacity of 200 gigawatts and will cost USD200 billion by 2030. The project is so vast that it will support the creation of a domestic solar equipment manufacturing industry in the kingdom.
The cost of the two parks is estimated to be around USD 5 billion, with USD 1 billion investment from Softbank's Vision Fund and USD 4 billion from project financing.
The project is part of the Saudi Vision 2030 to focus largely on renewable energy sources. It sets an initial target of generating 3.45GW of renewable energy by 2020, 9.5GW by 2023, and 54GW (41GW solar, 9GW wind, 3GW waste-to-energy and 1GW geothermal) by 2040.