Saudi Arabia is accelerating efforts to diversify its energy sector, balancing traditional power generation with a growing focus on renewable energy. In its latest step, NEM Energy, a company based in the Netherlands, has announced it will supply advanced Heat Recovery Steam Generators (HRSGs) and Exhaust Gas Bypass Systems (EGBSs) for a new combined cycle power plant in the kingdom. Expected to deliver 1,300 MW (1.3 GW) of electricity to the grid by the end of 2028, the plant is owned by the Saudi Electricity Company (SEC).
While this plant focuses on improving efficiency and reliability in traditional energy production, it complements Saudi Arabia’s broader push into renewable energy. Under the National Renewable Energy Program (NREP), the country has initiated a series of large-scale projects to reduce its dependence on oil and embrace cleaner energy sources. Among these is the Sudair Solar Power Plant, which, once completed, will provide 1,500 MW of power and rank as one of the largest solar facilities in the Middle East. Wind energy is also making its mark with the Dumat Al Jandal Wind Farm, now operational and delivering 400 MW of capacity to the grid.
The transition is part of Saudi Arabia’s Vision 2030, a long-term initiative aimed at reshaping the country’s economy and reducing its reliance on hydrocarbons. By 2030, the kingdom plans to generate 50% of its electricity from renewable sources.
The new combined cycle power plant, equipped with NEM Energy’s technology, fits into this broader energy transformation. While it will serve immediate needs for reliable power, it also represents a bridging solution as Saudi Arabia continues its investments in solar, wind, and other renewable technologies. Together, these efforts underscore a shift toward a more balanced and forward-looking energy approach.