MENA Region Renewable Energy Surge: Solar, Wind, and Hydrogen Leading the Way
Key Ideas
- Renewable capacity in the MENA region is set to triple by 2030, with solar PV accounting for over 85% of the expansion due to favorable conditions.
- Onshore wind capacity will also grow significantly, with 40% of the expansion dedicated to hydrogen production.
- Countries like Oman, Saudi Arabia, and Egypt are focusing on green hydrogen projects to meet local demand and position themselves in the global hydrogen economy.
- While solar and wind show strong growth, the future of concentrated solar power (CSP) remains uncertain due to challenges like delays and technical issues.
The MENA region is projected to witness a substantial increase in renewable energy capacity by 2030, according to the latest IEA report 'Renewables 2024'. Solar PV, onshore wind, and hydrogen production are identified as the key drivers of this surge. Solar PV projects are becoming more appealing with decreasing costs, leading to record-low bids globally, as seen in auctions like Saudi Arabia's REPDO. Onshore wind capacity is expected to rise, with a significant portion allocated to hydrogen production, especially in countries like Saudi Arabia, Oman, and Egypt. The growing demand for green hydrogen is propelling countries like Oman to allocate land for hydrogen projects aimed at both local and international markets. However, the future of concentrated solar power (CSP) faces uncertainty due to challenges in implementation and technical issues. Despite these challenges, countries in the region are utilizing renewable resources to reduce electricity imports, decarbonize industries, and meet the increasing global demand for low-carbon products. The MENA region's renewable energy targets are ambitious, aiming for 201 GW of capacity by 2030. While the forecast suggests a potential shortfall, countries like the UAE, Oman, and Morocco are on track to exceed their targets, driven by progressive policies and a focus on green hydrogen, positioning the region as a key player in the global energy transition.
Topics
Green Hydrogen
Production
Renewable Energy
Energy Transition
Solar Power
Green Economy
Sustainable Development
Wind Energy
MENA Region
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