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Middle East Renewables 2021 - Renewable Energy Policy, Investment and Projects in the Middle East and North Africa - MEED Insights

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    Report

  • 355 Pages
  • May 2021
  • Region: Africa, Middle East
  • GlobalData
  • ID: 5328607
Summary

Despite the devastating impact of the Covid-19 pandemic, the outlook for investment in the Middle East’s renewable energy sector is bright. The long-term rise in demand for energy remains undimmed by the pandemic, while the need to diversify energy sources and to decarbonise the economy to combat climate change has put renewables at the top of the energy policy agenda. At the same time, new technologies, such as green hydrogen, are catching the eye of policymakers and investors.

While the Middle East lags major markets such as China, Europe and the US in the scale of renewables investment, the world’s largest and cheapest solar projects are now found in Saudi Arabia, Abu Dhabi and Dubai. While Egypt, Jordan and Morocco have built significant renewable energy capacity. The region’s ambition is to be a hub for the development of renewable energy and alternative fuels.

With about 28GW of renewable energy production capacity installed across the Middle East and North Africa (Mena), of which by far the biggest component is hydropower with 21GW, renewable energy represents only 7 per cent of the region’s power generation capacity. But with electricity demand rising at about 5 per cent a year, and with a shortage of readily available natural gas supplies, expanding renewables capacity is one of the top policy priorities for governments in the region.

Boosted by falling technology costs and the drive to reduce carbon dioxide emissions, most countries are planning and procuring solar and wind projects. Across the region, governments have set ambitious clean energy targets, with Dubai the most aggressive, aiming for 75 per cent of its energy to come from clean sources by 2050. At the start of 2021, about 98GW of new renewable energy generation capacity was planned across the region, with 39GW of additional capacity due to come on stream by 2025.

Over the past 12 months, the desire for a ‘green’ recovery from the economic impact of the Covid-19 pandemic has provided impetus for a wave of ventures and projects to produce hydrogen fuel in the Middle East. In particular, tapping the region’s abundant supply of low-cost solar energy to sustainably produce ‘green’ hydrogen from water is generating huge interest from governments and investors.

Hydrogen is the latest alternative fuel to emerge in the Middle East’s renewable energy journey and in many ways is in a similar place to the one held by solar and wind energy a decade ago. As with solar ten years ago, hydrogen fuel in 2021 is expensive to produce compared with fossil fuels, and there is only a limited market for the low-carbon fuel. But solar energy production costs have tumbled over the past decade, while regulatory changes have reduced the commercial risk of investing in renewables. It is a trend that will continue, and which is supporting the region’s energy diversification as new technology emerges making clean fuels commercially and technologically viable.

Written by MEED, the publisher's Middle East market experts, 'Middle East Renewables 2021' provides a comprehensive country-by-country guide to the Middle East’s renewable energy sector with in-depth analysis of investments, policy and legislative frameworks, and the projects planned and under way. The report a valuable asset for anyone doing business in the Middle East energy sector.

Reasons to Buy

  • Detailed assessment of the opportunities for business in the Middle East’s renewable energy sector
  • Comprehensive review of renewable energy projects in the Mena region
  • Assessment of renewable investment programmes in the region
  • Assessment of the key policies and organisations drive renewable energy in the Middle East and North Africa
  • Review of the impact of Covid-19 on the renewable energy sector
  • Outlook for renewable energy policy and investment
  • The report covers all sources of renewable energy including solar, wind, hydro-electric and waste-to-energy, as well as alternative fuels
  • Special focus on the potential of green hydrogen in the region
  • Projects opportunities with client and procurement details
  • Investment drivers and client spending plans
  • Understand risks and set strategy in the renewable energy sector
  • Complete assessment of the outlook for the solar, wind and other renewable energy sources across the Middle East and North Africa
  • Detailed analysis of sustainable energy strategies and renewables projects in 14 markets across the Middle East and North Africa

Table of Contents

1. Introduction
1.1 Decarbonising the Middle East
1.1.1 The decarbonisation agenda
1.1.2 Gulf oil pushes carbon capture
1.2 The impact of Covid-19
1.3 The impact of Covid-19 on demand for renewable energy
1.4 Outlook for Middle East renewables
1.5 Targets
1.6 Drivers
1.6.1 Capacity
1.6.2 Localisation
1.7 Technology costs
1.8 Economic growth
1.9 Financing models
1.10 Other initiatives
1.10.1 Hydrogen key to Abu Dhabi’s energy transition
1.10.2 Small-scale solar
1.10.3 Solar desalination
1.10.4 Hydrogen fuel economy
2. Technology
2.1 Solar
2.1.1 Photovoltaic
2.1.2 Concentrated solar power (CSP)
2.1.3 Integrated solar combined-cycle (ISCC)
2.1.4 Solar-powered desalination
2.2 Wind
2.3 Cost of renewables
2.4 Waste-to-energy
2.5 Hydrogen energy
2.6 Energy storage and grid integration
2.7 Digitalisation and smart grids
3. Algeria
3.1 Overview
3.2 Structure
3.3 Renewable capacity and generation
3.3.1 Installed renewable capacity
3.3.2 Renewable power generation
3.3.3 Generation capacity challenges
3.4 Renewable energy policy
3.5 Projects
3.5.1 Renewable projects under execution
3.5.2 Upcoming renewable projects
3.6 Key contacts
4. Bahrain
4.1 Market overview
4.1.1 Impact of Covid-19
4.2 Market structure
4.2.1 Government
4.3 Renewable capacity and generation
4.3.1 Installed renewable capacity
4.3.2 Renewable power generation
4.4 Renewable energy policy
4.5 Projects
4.6 Key contacts
5. Egypt
5.1 Market overview
5.2 Market structure
5.2.1 Government
5.3 Renewable capacity and generation
5.4 Renewable energy policy
5.4.1 Fuel and alternative energy
5.4.2 Targets
5.4.3 Feed-in tariff (FIT) programme
5.4.4 Renewables procurement models
5.5 Projects
5.5.1 Solar power projects
5.5.2 Wind power projects
5.6 Key contacts
6. Iran
6.1 Overview
6.2 Structure
6.2.1 Government
6.2.2 Private sector
6.3 Renewable capacity and generation
6.3.1 Installed renewable capacity
6.3.2 Renewable power generation
6.4 Renewable energy policy
6.4.1 Fuel & alternative energy
6.5 Projects
6.5.1 Solar projects
6.5.2 Wind projects
6.5.3 Waste-to-energy projects
6.6 Key contacts
7. Iraq
7.1 Overview
7.2 Structure
7.2.1 Government
7.2.2 Private sector
7.3 Renewable capacity and generation
7.3.1 Installed renewable capacity
7.3.2 Renewable power generation
7.4 Renewable energy policy
7.5 KRG region
7.5.1 Overview
7.5.2 Structure
7.5.3 Renewable energy policy
7.6 Projects
7.6.1 Renewable projects planned and underway
7.7 Key contacts
8. Jordan
8.1 Market overview
8.1.1 Impact of Covid-19
8.2 Market structure
8.2.1 Government
8.2.2 Private power
8.2.3 Sector reform
8.3 Renewable capacity and generation
8.3.1 Installed renewable capacity
8.3.2 Renewable power generation
8.4 Renewable energy policy
8.5 Projects
8.5.1 Major renewable projects under execution
8.5.2 Upcoming renewable energy projects
8.5.3 Renewable projects (operation/completed)
8.5.4 Storage project
8.5.5 International electrical interconnection
8.6 Key contacts
9. Kuwait
9.1 Market overview
9.2 Market structure
9.2.1 Government
9.2.2 Private sector
9.2.3 Sector reform
9.3 Renewable capacity and generation
9.3.1 Installed renewable capacity
9.3.2 Renewable power generation
9.4 Renewable energy policy
9.4.1 Renewable energy status in Kuwait
9.5 Projects
9.5.1 Major upcoming renewable energy projects
9.5.2 Major cancelled/on hold renewable projects
9.5.4 Other renewable energy initiatives
9.6 Key contacts
10. Morocco
10.1 Market overview
10.1.1 Impact of Covid-19
10.2 Market structure
10.2.1 Government
10.2.2 Private power
10.2.3 Sector reform
10.3 Renewable capacity and generation
10.3.1 Installed renewable capacity and generation
10.3.2 Challenges
10.4 Renewable energy policy
10.4.1 Solar power
10.4.2 Wind power
10.5 Projects
10.5.1 Solar projects under execution
10.5.2 Upcoming solar projects
10.5.3 Wind power projects
10.5.4 Waste-to-energy project
10.5.5 Hydro power projects
10.6 Key contacts
11. Oman
11.1 Overview
11.2 Structure
11.2.1 Government
11.2.2 Private sector
11.3 Renewable capacity and generation
11.3.1 Installed renewable capacity
11.3.2 Renewable power generation
11.4 Renewable energy policy
11.4.1 Targets
11.5 Projects
11.5.1 Renewable projects under execution
11.5.2 Upcoming renewable projects
11.6 Key contacts
12. Qatar
12.1 Market overview
12.2 Market structure
12.2.1 Government
12.2.2 Private power programme
12.3 Renewable capacity and generation
12.3.1 Installed renewable capacity
12.3.2 Renewable power generation
12.3.3 Solar potential
12.4 Renewable energy policy
12.4.1 Targets and initiatives
12.5 Projects
12.6 Key contacts
13. Saudi Arabia
13.1 Market overview
13.2 Market structure
13.2.1 Government
13.2.2 Private power
13.3 Renewable capacity and generation
13.4 Renewable energy policy
13.4.1 Historical overview
13.5 Projects
13.5.1 Saudi Arabia plans CSP project
13.5.2 National Renewable Energy Programme
13.5.3 Smart grid implementation
13.5.4 Carbon trading scheme and other emission reduction schemes
13.5.5 Storage project
13.6 Key contacts
14. Syria
14.1 Market overview
14.1.1 Impact of Covid-19
14.2 Market structure
14.3 Renewable capacity and generation
14.3.1 Installed renewable capacity
14.3.2 Renewable power generation
14.4 Renewable energy policy
14.5 Projects
14.6 Key contacts
15. Tunisia
15.1 Market overview
15.1.1 Impact of Covid-19
15.2 Market structure
15.2.1 Government
15.2.2 Private power
15.2.3 Sector reform
15.3 Renewable capacity and generation
15.3.1 Installed renewable capacity
15.3.2 Renewable power generation
15.4 Renewable energy policy
15.4.1 Historical overview
15.4.2 Renewable energy policy and targets
15.5 Projects
15.5.1 Recently awarded projects
15.5.2 Major upcoming renewable projects
15.6 Key contacts
16. UAE
16.1 Market overview
16.2 Market structure
16.3 Renewable capacity and generation
16.3.1 Alternative fuel and capacity
16.4 Renewable energy policy
16.4.1 Other policies
16.5 Abu Dhabi
16.5.1 Overview
16.5.2 Major renewable energy projects
16.6 Dubai
15.6.1 Overview
16.6.2 Solar IPP Programme
16.6.3 Other projects
16.6.4 Renewable energy policy
16.7 Northern Emirates
16.7.1 Overview
16.7.2 FEWA
16.7.3 SEWA
16.8 Key contacts
  • Disclaimer

List of Tables
Table 1: Major CSP projects in the Mena region ($m)
Table 2: Completed ISCC projects in the Mena region ($m)
Table 3: Major wind projects in the Mena region in the pre-execution phase ($m)
Table 4: Major WTE projects in the Mena region ($m)
Table 5: Algeria power and renewables sector key facts, 2020
Table 6: Algeria planned capacity increases by fuel type (MW), 2015-2030
Table 7: Algeria renewable energy projects underway
Table 8: Algeria renewable energy projects planned
Table 9: Algeria key contacts
Table 10: Bahrain power and renewables sector key facts, 2020
Table 11: Bahrain renewable power generation projects, planned, underway and operation
Table 12: Bahrain key contacts
Table 13: Egypt power and renewables sector key facts, 2020
Table 14: Egypt, renewable energy supporting policies, laws, and regulations
Table 15: Renewable energy schemes by institutions in Egypt
Table 16: Solar FITs
Table 17: Wind FITs
Table 18: Egypt round II solar FIT tariffs ($c/kWh)
Table 19: Egypt round II wind FIT tariffs ($c/kWh)
Table 20: EBRD backed projects, FIT round 2
Table 21: IFC-backed projects, Egypt FIT round 2
Table 22: Planned merchant IPP renewables projects up to 2022
Table 23: Solar power projects in Egypt ($m) under execution
Table 24: Upcoming solar power projects in Egypt ($m)
Table 25: Wind power projects in Egypt ($m) under execution
Table 26: Upcoming wind power projects in Egypt ($m)
Table 27: Egypt key contacts
Table 28: Iran power and renewables sector key facts, 2020
Table 29: Renewable energy capacity from solar PV, wind, and small hydropower (MW), 2010-2020
Table 30: Iran electricity production by fuel type (% of total), 2010-2020
Table 31: Companies with renewable and clean power purchase agreements at the end of December 2019 in Iran
Table 32: Renewables FIT rates, October 2019
Table 33: Iran renewable energy projects under execution
Table 34: Iran renewable energy projects in pre-execution phase
Table 35: Iran key contacts
Table 36: Iraq power and renewables sector key facts, 2020
Table 37: Renewable energy projects planned and underway in Iraq ($m)
Table 38: Iraq power sector key contacts
Table 39: Jordan power and renewables sector key facts, 2020
Table 40: Jordan Installed capacity (MW), 2016-2020
Table 41: Jordan’s CEGCO installed capacity by plant
Table 42: SEPCO installed capacity, 2011-2018
Table 43: Jordan’s renewable energy tariffs
Table 44: Jordan, renewable power projects under execution
Table 45: Jordan, planned renewable power projects
Table 46: Jordan key contacts
Table 47: Kuwait power and renewables sector key facts, 2020
Table 48: Existing power plants generation capacity
Table 49: Kuwait, upcoming renewable power projects
Table 50: Small-scale solar schemes in Kuwait
Table 51: Kuwait renewable sector key contacts
Table 52: Morocco power and renewables sector key facts, 2020
Table 53: Solar power projects planned in Morocco
Table 54: Morocco wind power projects under construction
Table 55: Morocco hydro power projects under construction
Table 56: Upcoming hydro power generation projects in Morocco
Table 57: Morocco key contacts
Table 58: Oman power and renewables sector key facts, 2020
Table 59: Renewable Energy Development Plan - MIS (MW), 2019-2025
Table 60: Renewable power projects under execution
Table 61: Major renewable power projects, planned
Table 62: Oman key contacts
Table 63: Qatar power and renewables sector key facts, 2020
Table 64: Renewable power projects, planned and underway
Table 65: Qatar key contacts
Table 66: Saudi Arabia power and renewables sector key facts, 2020
Table 67: Saudi Arabia, Upcoming Renewables projects in 2021
Table 68: Repdo renewable energy projects by capacity (MW) and value ($m)
Table 69: List of bidders with prices for the 300MW PV solar project at Sakaka
Table 70: List of bidders with price for the 400MW wind scheme at Dumat al-Jandal
Table 71: Repdo third round projects
Table 72: Saudi Arabia, renewable energy projects under execution ($m)
Table 73: Saudi Arabia, upcoming renewable energy projects ($m)
Table 74: Saudi Arabia key contacts
Table 75: Syria power and renewables sector key facts, 2020
Table 76: Syria planned renewable energy projects
Table 77: Syria key contacts
Table 78: Tunisia power and renewables sector key facts, 2020
Table 79: STEG’s technical and financial performance indicators, 2014-2017
Table 80: Main indicators
Table 81: Hydropower plants
Table 82: Wind power plants
Table 83: Tunisia 2020-Renewable energy projects
Table 84: Renewable power projects planned in Tunisia
Table 85: Tunisia key contacts
Table 86: UAE power and renewables sector key facts, 2020
Table 87: Abu Dhabi power and renewables sector key facts
Table 88: Abu Dhabi renewable power generation projects, planned and underway by value ($m)
Table 89: Dubai power and renewables sector key facts
Table 90: Dubai renewable power generation projects, planned and underway by value ($m)
Table 91: Northern Emirates renewable power generation projects, planned and underway by value ($m)
Table 92: UAE Renewables sector key contacts
List of Figures
Figure 1: The carbon challenge
Figure 2: Carbon dioxide emissions per capita (tonnes), 2019
Figure 3: Carbon emissions by country (million tonnes of carbon dioxide), 2009-2019
Figure 4: GCC solar photovoltaic IPP tariffs, Low bid ? LCOE ($cents/kWh)
Figure 5: Renewable power project contract awards ($m), 2019?2020
Figure 6: Renewable power project award pipeline ($m)
Figure 7: GCC countries renewable energy targets
Figure 8: LCOE of different forms of technology ($/MWh)
Figure 9: Untapped potential of renewable energy sources by region
Figure 10: PV technologies
Figure 11: Efficiency of solar cells in laboratory tests
Figure 12: Global Cumulative Solar PV Installation by Region , 2019
Figure 13: Projected growth of CSP generated electricity (TWh a year), 2010-2050
Figure 14: The Ain Beni Mathar ISCC
Figure 15: Configuration of a wind turbine
Figure 16: Indexed average cost of onshore wind and utility-scale solar PV
Figure 17: Hydrogen applications and decarbonisation
Figure 18: Green hydrogen production, conversion and end uses across the energy system
Figure 19: Middle East hydroden projects and agreements
Figure 20: Hydrogen export potential per country
Figure 21: Forecasted battery storage dedicated to the power sector by region (GWh)
Figure 22: Algeria's installed generation capacity by fuel type in 2020 (MW)
Figure 23: Oil fields in the Divided Zone
Figure 24: Algeria installed renewable capacity (MW), 2015-2030
Figure 25: Algeria installed renewable capacity by fuel type (per cent), 2015-2020 (Phase 1)
Figure 26: Algeria installed renewable capacity by fuel type (per cent), 2021-2030 (Phase 2)
Figure 27: Algeria annual renewable power generation (GWh), 2015-2030
Figure 28: Bahrain installed renewable capacity by fuel type (MW), 2015-2030
Figure 29: Bahrain annual renewable power generation by fuel type (GWh), 2015-2030
Figure 30: Renewable energy projects, 2011-2020 ($m)
Figure 31: Structure of the Egyptian electricity sector
Figure 32: Egypt installed renewable capacity (MW), 2015-2030
Figure 33: Egypt annual renewable power generation (GWh), 2015-2030
Figure 34: Total renewables installed capacity by technology (%), 2020
Figure 35: Evolution of installed power capacity (GW) by fuel-type as in the ISES, 2019-2035
Figure 36: Iran installed renewable capacity (MW), 2015-2030
Figure 37: Iran installed renewable capacity by technology (%), 2020
Figure 38: Iran annual renewable power generation (GWh), 2015-2030
Figure 39: Iran renewable energy installations
Figure 40: Iraq installed renewable capacity (MW), 2015-2030
Figure 41: Iraq annual renewable power generation (GWh), 2015-2030
Figure 42: Comparison of LCOE of solar power and electricity from oil and gas ($/MWh), 2015-2030
Figure 43: Comparison of peak electricity demand and average power generation in Iraqi Kurdistan (MW), 2004-2017
Figure 44: Structure of the KRG Electricity Ministry
Figure 45: Kurdistan region location of existing power generating plants
Figure 46: Jordan electricity sector
Figure 47: Jordan, measures to integrate high shares of variable renewables in the power mix
Figure 48: Jordan installed renewable capacity (MW), 2015-2030
Figure 49: Location of CEGCO power plants in Jordan
Figure 50: Jordan renewable power generation (GWh), 2015-2030
Figure 51: Spatial distribution of global solar irradiation in kWh/m2 resource maps for Jordan
Figure 52: Spatial distribution of wind irradiation in Jordan
Figure 53: Jordan, renewable energy financing landscape
Figure 54: Kuwait installed renewable capacity (MW), 2015-2030
Figure 55: Kuwait annual renewable power generation (GWh), Kuwait, 2015-2030
Figure 56: Solar thermal electricity generating potential in Kuwait
Figure 57: Proposed output levels from the Al-Abdaliya ISCC
Figure 58: Morocco installed renewable capacity (MW), 2015-2030
Figure 59: Morocco annual renewable power generation (GWh), 2015-2030
Figure 60: Morocco target fuel mix (%), 2020
Figure 61: Solar radiation map of Morocco
Figure 62: Wind map of Morocco
Figure 63: Renewable energy power contract awards, 2010-2020 ($m)
Figure 64: The MIS and Salalah systems
Figure 65: Oman installed renewable capacity (MW), 2015-2030
Figure 66: Oman annual renewable power generation (GWh), 2015-2030
Figure 67: Global solar radiation average (kWh/m2/d)
Figure 68: Annual direct normal irradiance map of Oman*
Figure 69: Qatar installed renewable capacity (MW), 2015-2030
Figure 70: Qatar annual renewable power generation (GWh), 2015-2030
Figure 71: Institutional structure of decision-making in the Saudi Arabia energy sector
Figure 72: Saudi Arabia’s electricity industry structure, 2020
Figure 73: Saudi Arabia installed renewable capacity (MW), 2015-2030
Figure 74: Saudi Arabia annual renewable power generation (GWh), 2015-2030
Figure 75: NREP 2030 Renewables Target
Figure 76: Syria, Operational power plants
Figure 77: Syria Power Sector Structure
Figure 78: Syria installed renewable capacity by fuel type (MW), 2015-2030
Figure 79: Syria annual renewable power generation by fuel type (GWh), 2015-2030
Figure 80: Syria total installed renewable capacity (MW) and annual renewable power generation (GWh), 2015-2030
Figure 81: Institutional Organisation of the Tunisian Power Sector
Figure 82: Tunisia installed renewable capacity (MW), 2015-2030
Figure 83: Tunisia annual renewable power generation (GWh), 2015-2030
Figure 84: Targeted share of technology in Tunisian Solar Plan by 2030 (MW)
Figure 85: UAE installed renewable capacity (MW), 2015-2030
Figure 86: UAE annual renewable power generation (GWh), 2015-2030
Figure 87: UAE, clean energy targets, 2050
Figure 88: Planned renewables projects value by emirate ($m)