The Saudi desert unfolds before the eye an astonishing scene: the dark geometry of the layout divides the ochre sandy space, where a close-up reveals a grid of numerous solar panels, gleaming under the scorching sun roughly 60 miles south of Jeddah.

“Al-Shuaiba 2” is the largest solar farm in Saudi Arabia, with a capacity of over 2 gigawatts, enough to power about 350,000 homes. But leadership is not lasting: the country is developing even larger projects, as big solar fields scale up the reach of clean energy across the desert landscape.

There is a solar boom, and no one can deny it.

Speed and scale of Saudi Arabia’s solar rollout

The country has set an ambitious goal: by 2030, half of electricity should be generated from renewable sources, and this race is already in full swing.

At first glance it may seem odd for a country with some of the world’s largest oil reserves and a leading fossil-fuel exporter. However, current development shows that even in oil-rich states interest in clean energy is rising – and this is not only under global pressure but also from the internal need for a diversified energy system.

The pace of deploying solar capacity in Saudi Arabia is impressive. “No country is moving faster.”

In 2020 the country had almost no renewable energy. By the end of 2020, an installed solar capacity of around 12 gigawatts was expected, according to Kumar. In 2025 Saudi Arabia for the first time entered the top-10 global markets by the amount of new solar energy capacity, according to BloombergNEF.

The boom continues. ACWA Power, the country’s energy giant that co-owns Al-Shuaiba, in July announced an investment of $8.3 billion in 15 gigawatts of renewable energy, mostly solar, jointly with the state oil and gas company Saudi Aramco.

“By 2030 there is expected to be very rapid growth in solar energy,” said Kumar. Rystad forecasts installing more than 70 gigawatts by the end of the decade. “Moreover, they are also deploying onshore wind production,” he added.

There are plans to supply clean energy to large infrastructure projects, notably the futuristic city NEOM and a luxury tourist project on the Red Sea.

Economy, technology and policy: why it makes sense

The transition is compelled, as “black gold” gave Saudi Arabia the chance to move from a nomadic desert to one of the world’s leading economies. But experts emphasize the real reasons for the boom: solar energy is becoming cheaper and cheaper.

“Solar energy is so price-competitive that it makes financial sense,” said Karen Young, senior fellow at the Center on Global Energy Policy at Columbia University. This is especially important against the backdrop of rising electricity demand from cooling and desalination of water.

The cost of solar panels has fallen thanks to a flood of cheap Chinese modules. According to Jones from Ember, prices have been “unusually low” in recent years. Storage costs have also fallen: in 2024 the average price dropped by about 40%, according to Ember. Batteries make solar energy more flexible and attractive, since the sun does not always shine.

Saudi Arabia also benefits from economies of scale: “All of their installations are massive,” said Abdullah Alkattan, an analyst on energy-efficiency transitions in the Middle East and North Africa at BloombergNEF.

Another reason for the shift to renewables is to displace oil from electricity generation domestically and sell it on world markets for profit.

Plans for 2030 and the global context

Under the strategic Vision 2030 Saudi Arabia commits to diversify the economy and by the end of the decade ensure 50% of electricity from clean energy and the remainder from gas. The reasons are simple: using oil domestically is inefficient, and exporting fuel yields significant profits on world markets – so most of the demand should be directed there, explained Alkattan.

Although Saudi Arabia’s clean-energy policy is not limited to climate dreams: “50% renewables, 50% gas” does not mean the cheapest electricity – this is part of the country’s “green initiative,” added Alkattan.

Some experts warn about excessive ambition: “What’s important is that previously they did nothing… and only in the last few years has there been a sharp shift,” said Ana Missirlou from Climate Action Tracker. “But compared to what is needed, this is still very, very insufficient,” she added.

CAT assesses Saudi Arabia’s policy as “critically insufficient” in the overall picture of energy efficiency. The share of renewables stood at about 2% of the grid by the end of 2024; significant additions were made in 2025, but the 2030 target looks far from achievable.

Other analysts from Rystad are convinced: Saudi Arabia should move toward obtaining more than a third of electricity from renewables by 2030, and their 50% target could be achievable in a few years.

Regardless of whether the renewables target is reached, solar projects send a simple signal: even such a petrostate acknowledges the inevitability of clean energy.

Saudi Arabia also plans to obtain 50% of electricity from natural gas, increasing its share in the energy balance, as demand for electricity grows so quickly that even with the adoption of renewables, using fossil fuels cannot be reduced.

Meanwhile, the country remains an important player on the oil scene, both in business and on the diplomatic stage. Together with the United States, Saudi Arabia helped block the introduction of a tax on pollution from maritime shipping last year. Perhaps they are developing solar inside the country, but global contexts prove: the end of oil is not coming quickly.

While COP30 in Brazil is underway, experts are watching Saudi Arabia closely. “The country has always played a very disruptive role in climate negotiations,” Ana Missirlou said. “Whether that will change now – time will tell,” they added.