Masdar-led consortium starts construction of solar project in Jeddah

The new plant forms part of Saudi Arabia’s clean energy strategy. (Shutterstock)
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Updated 12 April 2021
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Masdar-led consortium starts construction of solar project in Jeddah

  • The plant is located in Third Jeddah Industrial City, 50 kilometers southeast of Jeddah

RIYADH: A consortium led by Abu Dhabi’s Masdar has started construction of a solar power plant in Jeddah, after reaching financial close on the project.

The consortium, which includes France’s EDF Renewables and Saudi Arabia-based Nesma Co., announced it will start construction of the 300-megawatt utility-scale plant that will begin operation next year.

The plant is located in Third Jeddah Industrial City, 50 kilometers southeast of Jeddah.

“Saudi Arabia is fast developing into a global renewable energy player, and Masdar will continue to work closely with the Saudi government and our partners here to help the Kingdom achieve its clean energy transition,” Masdar chief Mohamed Jameel Al-Ramahi said in a statement.

The Kingdom’s Renewable Energy Project Development Office awarded the consortium the project after it had submitted the most competitive bid of SR60.9 ($16.2) per megawatt hour, the companies said.

The new plant forms part of Saudi Arabia’s clean energy strategy, where it wants to diversify its power mix and aims to generate 50 percent of its electricity from renewable sources by 2030.

Crown Prince Mohammed bin Salman earlier signed seven power purchase agreements for new solar plants in Saudi Arabia following the inauguration of the Sakaka plant.

The Jeddah solar plant will utilize the latest technology in the PV market, combining bifacial PV modules with mounting structures that utilize single-axis tracking technology to maximize energy generation by following the sun’s position throughout the day. State-of-the-art robots will also be used to clean the modules.

In 2019, a consortium led by EDF Renewables in partnership with Masdar was selected to build a 400 MW utility-scale wind farm in Dumat Al Jandal — Saudi Arabia’s first wind energy project and the largest in the Middle East. The plant will start operation and generate carbon-free electricity by late 2022. On Saturday, Mumbai-headquartered Larsen & Toubro (L&T) secured a contract to build the Sudair solar PV project in Saudi Arabia.

The renewables arm of L&T’s Power Transmission and Distribution business bagged the turnkey engineering, procurement, and construction contract for the Riyadh plant, which has a total capacity of 1.5 gigawatts.

“The project that is coming up in Riyadh province has a 30.8 square kilometer land parcel available to install a total capacity of 1.5GW PV Solar modules with associated single axial tracker and inverters,” the company said in a statement.


Apparel Group expands Saudi presence with 25 new brands 

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Apparel Group expands Saudi presence with 25 new brands 

RIYADH: Apparel Group is seeking to strengthen its presence in the Saudi market through digital commerce expansion, adding 25 new brands to its portfolio, and plans to grow its store network by 200 outlets this year to reach a total of 1,000, CEO Neeraj Teckchandani told Al-Eqtisadiah.

He noted that Saudi Arabia has been one of the group’s key markets since entering in 2007, currently operating more than 800 stores across the Kingdom. He added that the group’s current expansion plans include opening over 200 new stores this year, following 150 openings last year, with expectations that Saudi Arabia will become the group’s largest market in terms of footprint and revenue share in the coming period. 

Teckchandani added that the group continues to invest in e-commerce through its digital platform, SixFeet, launched in 2016, which contributed 10 percent of total group sales, noting that plans are underway to gradually increase this share in 2026 through technology investments and enhanced digital shopping experiences. 

The group is also preparing to launch a unified SuperApp this year, integrating its loyalty program, the SixFeet platform, and all digital assets into a single application to accelerate e-commerce growth, improve customer experience, and increase operational efficiency. 

New fashion and restaurant brands 

The CEO said the new brands added to the group’s portfolio cover fashion, footwear, restaurants, and entertainment, including Footasylum, FitFlop, and Clarins, as well as Bobbi Brown, Wagamama, Ivy Asia, and Punjab Grill. 

He noted that some brands have already opened in Saudi Arabia, with further expansion planned this year and next. 

85 brands under the group 

Apparel Group manages 85 global brands and over 2,500 stores across Saudi Arabia, the UAE, Bahrain, Qatar, and Oman. 

The company has also expanded strategically into India, South Africa, Singapore, and Indonesia, as well as Thailand, Malaysia, and Egypt. 

Its portfolio includes internationally renowned fashion, footwear, and lifestyle brands such as Tommy Hilfiger, Charles & Keith, Skechers, Aldo, Crocs, Calvin Klein and Aéropostale. The group also operates food and lifestyle brands including Tim Hortons, Jamie’s Italian, and Cold Stone Creamery, alongside beauty labels such as Inglot and Rituals. R&B, its in-house label, is currently the fastest-growing brand in the region. 

Securing locations in new centers 

Teckchandani pointed out that the Saudi market is witnessing rapid expansion in the shopping mall sector, with 30 new centers expected to open by 2030, affirming that the group has secured strategic locations in several of these projects and aims to expand its store network in parallel with real estate growth in the retail sector. 

He added that the group has also invested in operational infrastructure within Saudi Arabia, establishing a main distribution center in Riyadh to support supply chains, relocating to its new regional headquarters in Majdoul Tower, and expanding its logistics arm, “Connect Logistics,” as well as “Shopfit Interior,” a company specializing in store fit-outs. 

He added that the parent company is prioritizing investment in advanced technology and AI, along with launching the unified SuperApp in the second quarter of 2026, and has appointed a group-level chief digital officer to support this phase, with results expected in the short to medium term. 

Saudi expansion drives growth 

Teckchandani emphasized that Saudi Arabia represents the group’s main growth engine in the coming years, supported by strong consumer demand, rapid development of shopping centers, and increasing contribution from digital commerce. 

Apparel Group’s expansion comes amid a broader retail sector boom in Saudi Arabia, driven by rising consumer spending and accelerated development of malls under Vision 2030. 

The retail sector is one of the largest non-oil contributors to GDP, with increasing growth in digital sales channels as companies integrate e-commerce with traditional stores to enhance operational efficiency and expand market share. 

Major retailers are seeking to capitalize on population growth and rising purchasing power, alongside the expansion of hospitality and entertainment projects, boosting demand for global brands. Investments in logistics infrastructure and digital transformation have also become critical competitive factors, especially as e-commerce accounts for a growing share of total retail sales.