Middle East embraces solar energy revolution

This briefing by Zero Carbon Analytics examines the rapid expansion of renewable energy in the Middle East, highlighting the region's shift toward solar power, the role of sovereign wealth funds in financing the transition, and specific national progress in countries like Oman and Jordan.

• The Middle East experienced significant growth in renewable energy capacity in 2022, with a percentage increase of 11.2%, marking the second largest gain of any region globally that year.
• Solar photovoltaic (PV) technology is the primary driver of renewable growth in the Middle East and North Africa (MENA) region, accounting for 92.7% of total installed renewable capacity in 2022. Between 2015 and 2022, cumulative installed solar capacity in the Middle East grew 30 times, significantly outpacing the global growth rate of 4.6 times.
• The UAE and Saudi Arabia have some of the lowest utility-scale solar PV installation costs globally. In 2022, the UAE's weighted average total installed cost was USD 578 per kW, which is 48% below the global average. Saudi Arabia's costs were USD 653 per kW in 2022.
• Gulf sovereign wealth funds (SWFs), which manage USD 3.7 trillion in assets, are increasingly financing renewable energy. Examples include the UAE-owned Mubadala Investment Co's USD 2.5 billion acquisition of a 50% stake in Skybourne Renewables and the Abu Dhabi Investment Authority's USD 2.4 billion purchase of a 14% stake in Climate Technologies.
• Oman is leading the Middle East in projected renewable capacity, with over 18 GW of prospective solar projects announced, in development, or under construction. In 2022, Oman installed more renewable capacity than it had in the previous ten years combined.
• Jordan has seen a rapid increase in the share of renewables in its energy mix, growing from 1% in 2015 to 21% in 2020. This growth was supported by a 2012 law exempting renewable energy equipment from custom duties and sales tax following gas import disruptions from Egypt.
• The Middle East remains a global leader in fossil fuels, accounting for 46% of global oil exports, 36% of oil production, 30% of liquified natural gas (LNG) exports, and 22% of natural gas output.

APA

Zero Carbon Analytics (2023). Middle East embraces solar energy revolution. https://zerocarbon-analytics.org/wp-content/uploads/2023/12/2023-11-Middle-East-embraces-solar-energy-revolution-.pdf

Chicago

Zero Carbon Analytics. Middle East embraces solar energy revolution. 2023. https://zerocarbon-analytics.org/wp-content/uploads/2023/12/2023-11-Middle-East-embraces-solar-energy-revolution-.pdf.

Wikipedia

{{cite report |author=Zero Carbon Analytics |title=Middle East embraces solar energy revolution |date=November 2023 |url=https://zerocarbon-analytics.org/wp-content/uploads/2023/12/2023-11-Middle-East-embraces-solar-energy-revolution-.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{zerocarbonanalytics2023middle, author = {{Zero Carbon Analytics}}, title = {{Middle East embraces solar energy revolution}}, institution = {Zero Carbon Analytics}, year = {2023}, month = nov, url = {https://zerocarbon-analytics.org/wp-content/uploads/2023/12/2023-11-Middle-East-embraces-solar-energy-revolution-.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }