MENA Solar PV Market Experienced Fast Development in 2017
/22nd February 2018, by Renewable Market Watch™/
Electricity demand in the Middle East and North Africa (MENA) region has historically been growing between 7% and 8% CAGR in 2017, total electrical energy demand in the MENA region is expected to exceed 1,000 TWH.
In order to help satisfy this thirst for energy, the Middle East has been setting new benchmarks in terms of adopting large-scale solar power plants. In the GCC, for example, DEWA achieved 2.99 US$ cents per kWh at a point when the global market average was around 7-8 US$ cents per kWh with DEWA’s previous project setting a previous world record at 5.85 US$ cents as recently as September 2014. The region’s energy market will be affected by these low solar prices, even more as fuel and electricity subsidies will be increasingly removed across the region in countries such as Kuwait, Saudi Arabia, Oman and the UAE.
With the emphasis on large-scale power plants in the region driven by the need to achieve an ideal balance between a plant’s size, EPC economies of scale and optimal financing terms, utilities in the region are adopting more and more solar plants not only in the hundreds of megawatts, but now in the gigawatts.
During COP22, the Middle East and North African countries announced initiatives and increased targets to combat climate change by reducing gas emissions while increasing resilience of the local eco-systems. Saudi Arabia, Morocco and Tunisia put forward ambitious targets to curb the impact of climate change. The world record tariffs provided solar with an important jump-start of more large scale solar projects in the Middle East in 2016 and 2017(e.g. Saudi Arabia, Kuwait, and Jordan) and will drive even more large-scale project announcements and executions in 2018 in other countries (e.g. Oman and Tunisia). This will also be supported by market price reforms for natural gas and subsidy adjustments in net energy exporting countries in the GCC, which have just led to dramatic energy price hikes in a number of countries in the Middle East in the course of 2017.
Solar energy in expected to continue the growth trends in the MENA region, as there is a growing energy demand and an interest to increase solar photovoltaic (PV) capacity and to diversify the existing power generation capacity.
The more information about solar PV market in the Middle East and North Africa (MENA) region, including full contact details of solar PV project owners and developers you may read here: MENA Countries Solar Photovoltaic (PV) Power Market: Outlook 2018÷2027
For better understanding about benefits from using our reports you may read here: Benefit List - Reports of Renewable Market Watch
About Renewable Market Watch™
Renewable Market Watch™ is delivering strategic insight about emerging renewable energy markets through its experienced research team and cutting edge predictive analytics data platform. We partner with our customers to provide research, data and consulting reports in areas appropriate to their specific requirements. Our primary focus is emerging renewable energy markets of the Asia Countries, Balkan countries, Central and Eastern Europe, CIS states (former Soviet union), LATAM countries and MENA countries. For more information about Renewable Market Watch™ please visit:
http://renewablemarketwatch.com/about-us