Saudi Arabia: The Saudi K.A.Care Program: A Multitude Of Opportunities

The King Abdullah City for Atomic and Renewable Energy ("K.A.CARE") was established via a Saudi Royal Order in April 2010 with the mandate principally to transition the fuel mix that powers Saudi Arabian energy generation toward a far greater use of renewable resources.

K.A.CARE set a goal of generating a total of 54 gigawatts ("GW") of energy from renewable resources by 2032, almost 80 percent of which is designated to come from solar power, with the remainder coming from a mix of wind, geothermal, and waste-to-energy resources. The aim is to reach around 5.1 GW by 2018 and 23.9 GW by 2020.

This program not only portends what will be one of the world's largest and most comprehensive alternative energy undertakings, but its ambitious scope also offers the promise of developing another major industrial sector for the economy of the Kingdom of Saudi Arabia.

In February, K.A.CARE released a white paper detailing the establishment of a competitive procurement program to attract to Saudi Arabia the best renewable energy methods and designs. Officially called the "Competitive Procurement Process," CPP was designed to reflect the K.A.CARE charter in the pursuit of a "sustainable energy mix that emphasizes education, research, global collaboration, local integration, commercialization and social benefit." The white paper invited public comment from prospective bidders into the CPP until April 5. The two stated objectives of the CPP are: "(i) to kick-start the Kingdom's renewable energy sector and (ii) to validate the existing globally benchmarked prices across multiple technologies while applying these prices to the local market context."

According to the white paper, the initial phase of the CPP will be conducted over the next two to three years and will consist of an introductory round, as well as first and second procurement rounds. The three rounds are designed to target up to seven GW of project capacity. In the introductory round, K.A.Care is targeting procurement of 500 to 800 megawatts ("MW") of renewable energy capacity. The white paper explains that this round will consist of five to seven projects of "varying technologies at pre-packaged sites offered to bidders at locations that can be easily connected to the grid."

The white paper also provides that the subsequent two rounds projected for the next two to three years will seek to procure two to three GW of capacity, and three to four GW of capacity, respectively. Although their timing will be determined based upon the length of the preceding rounds, it is expected that a single round will last between six and 10 months. According to the white paper, "[a]fter the nine to twelve month process culminating in the selection of the winners of the Introductory Round, the first full-scale procurement round shall be initiated." The timing of subsequent rounds is expected to be announced as the CPP program proceeds.

The white paper specifies that each round will follow a similar pattern, consisting of a Request for Qualifications ("RFQ") from prospective bidders followed by a Request for Proposal ("RFP") that will go out to qualified bidders. Before issuing the initial RFQ under the CPP, K.A.CARE anticipates distributing a draft RFP and draft power purchase agreement ("PPA") to bidders who have registered for the CPP on the K.A.CARE web site. In addition, K.A.CARE proposes having a series of technical workshops for bidders in order to hear comments on the draft RFP and draft PPA prior to issuing the first RFQ (which will be combined with an Expression of Interest and Statement of Qualifications from bidders).

Overall, projects are expected to be evaluated on such factors as their financial strength, project development status, and degree of local content. Tellingly, the white paper provides that "[p]roponents that integrate local content into their projects will benefit from strong incentives through the rated criteria evaluation for utilizing labor and equipment that provide a positive net benefit to the local economy." An integral part of Saudi Arabia's solar plans, detailed in the white paper, is to establish a solar technology hub in the country and ensure local companies play a major role in the country's burgeoning solar industry.

K.A.CARE expects to have 1.1 GW and 1.3 GW of photovoltaic solar power systems installed under the first and second procurement rounds. Overall, the CPP program is targeting 16 GW of photovoltaic and 25 GW of solar thermal by 2032, although it is possible that mix will change. Solar thermal systems that are bid into the introductory round must include at least four hours of storage capability.

On balance, the K.A.CARE program and the CPP appear to present excellent opportunities to international solar companies across all parts of the solar power value chain to partner with local Saudi solar developers, both to realize an incredible plan for the expansion of solar power and to help the Kingdom of Saudi Arabia build an industrial economic base to complement its oil and gas industry.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions