Saudi Arabia Advances Clean Energy With Appointment Of Najran Solar Plant Contractor

Saudi Arabia has taken a major step forward in its renewable energy ambitions with the appointment of the contractor for the Najran solar photovoltaic (PV) plant, one of the largest solar projects in the Kingdom. The Najran plant will have a capacity of approximately 1,400 megawatts (MW) and was awarded as part of the country’s sixth round of competitive bidding under the National Renewable Energy Program (NREP).

Abu Dhabi Future Energy Company PJSC, commonly known as Masdar, has been chosen to lead the development of the project. Masdar will deliver the Najran PV plant under an Independent Power Producer (IPP) model, using a build, own, and operate (BOO) approach. The company has signed a 25-year Power Purchase Agreement (PPA) with the Saudi Power Procurement Company (SPPC), which is the state entity responsible for managing renewable energy tenders and securing electricity for the national grid.

Commercial operations for the Najran solar plant are expected to begin in the first half of 2028. Once completed, it will be among the largest solar facilities in the region. The project has been noted for having one of the lowest levelized costs of electricity (LCOE) for solar energy globally, reflecting Saudi Arabia’s commitment to cost-effective clean energy and accelerated renewable deployment.

Masdar’s involvement in Saudi Arabia extends beyond Najran. The company has also been appointed to develop the 600 MW Ad Darb solar plant in Jizan Province, which is scheduled to begin operations by late 2027. These projects support the country’s Vision 2030, a strategic plan to diversify the energy mix, reduce reliance on fossil fuels, and expand renewable energy capacity nationwide.

The SPPC has already awarded several renewable energy projects, bringing its total signed generation capacity to more than 43 GW, with around 12.3 GW already operating on the national grid. Masdar has consistently secured the largest share of solar capacity in SPPC’s competitive tenders, reinforcing its position as a key player in the Middle East’s renewable energy sector. Globally, the company manages a portfolio of clean energy projects exceeding 50 GW and plans to reach 100 GW by 2030.

The appointment of Masdar as the contractor for the Najran project marks a significant milestone in Saudi Arabia’s journey toward clean energy. It demonstrates the Kingdom’s continued progress in large-scale solar development and highlights the growing role of international collaboration in the renewable sector. With projects like Najran and Ad Darb, Saudi Arabia is steadily moving toward a future with a more diverse and sustainable energy mix, contributing to global efforts to combat climate change and promote sustainable development.

This development also signals growing confidence in the Middle East’s solar market, where technological advances, competitive bidding, and strategic partnerships are helping to make large-scale solar power increasingly viable and affordable.