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Saudi Arabia is planning to issue tenders for eight renewable projects this year with estimated cost of $5 to $7 billion, Bloomberg reported.
The eight projects will have a total capacity of 4.125 gigawatts, including 3.3 gigawatts of solar photovoltaic (PV) and 800 megawatts of wind, Turki Mohammed Al Shehri, head of Renewable Energy Project Development Office (REPDO) told Bloomberg.
The winning bidders will have to cover the cost of financing, with the government guaranteeing to purchase power generated for over 25 years.
Saudi Arabia plans to harness renewable resources for power generation, in a bid to diversify economy and reduce dependence on oil.
Under the reforms, the Kingdom plans to add 9.5 GW of renewables to its energy supply by 2023, of which 3.45 GW will be online by 2023, Al Shehri said.
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