The Kingdom of Saudi Arabia, Middle East has revealed its 2025 budget plan, which includes a hefty allocation for the energy sector. The plan sets aside 87 billion Saudi riyals ($23 billion) for the Economic Resources Sector, encompassing energy, mining, and industry.
Saudi Arabia aims to replace its 2024 crude oil and gas production with new resources. To achieve this, the country plans to add 7.5 trillion standard cubic feet of crude gas reserves. The Jafurah gas plant is slated to commence production in 2025, with the Jafurah field expected to yield 2 billion cubic feet of gas per day by 2030.
Renewable energy projects are a major focus of the 2025 budget plan. Saudi Arabia has allocated 1,862 square kilometers of land for a solar power project and 260 square kilometers for a wind farm project. These initiatives are designed to increase the contribution of renewable energy to the national energy mix. The solar power project and wind farm project will play a crucial role in reducing the country’s reliance on fossil fuels and promoting sustainable economic growth.
In addition to these projects, Saudi Arabia has also announced several new renewable energy initiatives. The Red Sea Renewable Energy Project, a 2.2 GW solar power plant, is currently under construction and is expected to be completed by 2026. The project will power the Red Sea tourism development, a luxury tourism destination that will feature 50 islands, 8,000 hotel rooms, and an international airport.
Another major project is the Dumat Al Jandal Wind Farm, a 400 MW wind power plant that is expected to be completed by 2025. The project will be the largest wind farm in the Middle East. The 2025 budget plan is part of Saudi Arabia’s broader efforts to diversify its economy and reduce its reliance on oil exports. The plan aims to promote sustainable economic growth.
