Saudi Arabia expands operational renewable energy capacity by 88% to 12.3GW

Saudi Arabia’s operational renewable energy capacity increased 88% year-on-year to 12,313 megawatts (MW) by the end of 2025, driven by the addition of five new solar projects, according to the Renewable Energy Statistics 2025 report published by the General Authority for Statistics (GASTAT).

The total number of operational renewable energy projects reached 15 by year-end, with the five newly commissioned solar projects adding a combined 5,762MW of capacity, reflecting the Kingdom’s continued expansion of its clean energy portfolio.

Cumulative investment in operational renewable energy projects reached approximately $9.63 billion, with the five projects that entered operation during 2025 accounting for 45% of the total and attracting around $4.34 billion in investment.

The report also highlighted the competitiveness of Saudi Arabia’s renewable energy sector. The weighted average production cost across operational projects stood at 6.60 halalas per kilowatt-hour (kWh) in 2025, with Al-Hanakiyah (1) recording the lowest average cost at 6.30 halalas/kWh, followed by Al-Rass (2) at 6.34 halalas/kWh, underscoring the efficiency of the Kingdom’s latest solar developments.

By the end of 2025, Saudi Arabia’s operational renewable energy projects were estimated to supply electricity to around 2.08 million housing units.

The five projects that became operational during the year are expected to power approximately 939,000 homes, representing an 82.3% increase in the estimated number of housing units supplied compared with 2024.