What's Happening?
Abunayyan Holding and Nextpower have formed a joint venture, Nextpower Arabia, to localize solar tracker manufacturing in Saudi Arabia. The venture aims to support utility-scale solar projects across the Middle East and North Africa (MENA) region, aligning
with Saudi Vision 2030 and regional net-zero targets. A new manufacturing facility is being developed in Jeddah, expected to begin operations in Q2 2026. This facility will produce solar tracking systems and is projected to create up to 2,000 jobs. The joint venture will enhance local manufacturing capabilities and support the growth of renewable energy projects in the region.
Why It's Important?
The establishment of Nextpower Arabia is a significant step towards advancing Saudi Arabia's clean energy goals and diversifying its economy. By localizing solar tracker manufacturing, the joint venture will reduce reliance on imports, lower costs, and strengthen the local supply chain. This initiative supports the country's National Renewable Energy Program, which aims to increase the share of renewables in the energy mix by 2030. The collaboration between Abunayyan Holding and Nextpower also highlights the strategic importance of international partnerships in achieving sustainable energy solutions.
What's Next?
As the manufacturing facility in Jeddah becomes operational, Nextpower Arabia will focus on scaling production and expanding its market presence across the MENA region. The joint venture plans to invest approximately USD 88 million over the next two years to support its growth and development. This investment will fund the manufacturing facility and enhance engineering capabilities. The success of this venture could serve as a model for similar initiatives in other regions, promoting the adoption of renewable energy technologies and contributing to global sustainability efforts.
