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Peter Terium, Head of the Energy Sector at NEOM
NEOM has four main goals for the energy sector, which include building an innovative carbon-free system supported by local energy networks, as well as creating an optimal mix of energy at a cost below the global average price, Peter Terium, Head of the Energy Sector, told Argaam.
He added that the city also aims to invest in green hydrogen and secure a leading position in research, development and innovation of renewable energy.
NEOM will rely on sustainable energy to fulfill all its energy needs, as it has unparalleled potential from solar and wind energy that will be used to develop the latest and most innovative energy systems, with the aim of producing 18 gigawatts (GW) of renewable energy by 2030, Terium said.
He added that this is equivalent to a quarter of the total electricity consumption in the Kingdom during peak times currently, which will reduce the cost of hydrogen and electricity.
Investment in green hydrogen is no longer a temporary option, but rather a strategic necessity to combat the causes of climate change and maintain environmental sustainability. This is because the green hydrogen burns without carbon dioxide emissions, which will serve the Kingdom's goals to reach net-zero carbon emissions by 2060.
NEOM's commitment to producing green hydrogen will make the Kingdom a world leader in this industry through providing sustainable solutions that attract investors and talents to accelerate human development.
In July 2020, NEOM, ACWA Power and US-based Air Products signed an agreement for a $5 billion world-scale green hydrogen-based ammonia production facility powered by renewable energy, Argaam earlier reported.
The project, equally owned by three partners, will be located in NEOM and will produce green ammonia for export to global markets.
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