JEDDAH: Saudi Arabia’s waste management sector is undergoing a structural transformation, positioning itself as a promising investment avenue.

The shift is driven by a modern regulatory framework, a national strategy aligned with Vision 2030, and environmental and economic targets.

The National Center for Waste Management, known as MWAN, told Al-Eqtisadiah that investment opportunities in the sector are estimated at about SR420 billion ($112 billion) by 2040, primarily targeting private sector participation.

According to MWAN’s licensing database, the number of licensed entities in the sector reached 1,348, with an additional 145 permits for recycling facilities, bringing the total number of investing companies to 1,493, underscoring the sector’s growing investment base and the diversity of activities.

Leap in treatment indicators, reduced landfilling

MWAN reported notable improvements in 2024, with the proportion of waste diverted from landfills reaching 18 percent, signaling progress in recycling and treatment initiatives.

The comprehensive national plan aims to increase this figure to 90 percent by 2040, with the private sector as the main driver.

The center oversees all waste types in the Kingdom, excluding radioactive and military waste, spanning seven main categories: municipal solid waste, industrial waste, and healthcare waste, as well as sludge, agricultural waste, construction and demolition debris, and special waste such as tires and electronic devices.

230 landfills … shifting from dumping to value

Saudi Arabia currently has more than 230 landfills, ranging from engineered sites that meet environmental standards to traditional facilities, with Riyadh’s Al-Sulay landfill among the largest.

However, strategic priorities have shifted from expanding landfill capacity to reducing it and turning waste into an economic resource through recycling, advanced treatment, and waste-to-energy initiatives.

Sustainability and circular economy

Saudi Arabia’s waste management model is based on circular economy principles, maximizing resource utilization, minimizing environmental impact, and promoting investment in advanced technologies and smart solutions.

MWAN is also developing an electronic waste transport document system, enabling tracking from source to final destination, enhancing oversight, preventing irregular practices, and providing a reliable database to support long-term investment planning.

Landfill scientifically selected

The Saudi Geological Survey confirmed that landfill locations are chosen based on rigorous technical criteria, including geological, environmental, and hydrological factors, ensuring urban needs are met for at least 25 years.

Waheed Baamer, director of the Applied Geology Center, said studies have been conducted for major cities, including Riyadh, Tabuk, and Taif, to protect natural resources and minimize environmental impact, supporting sustainable development.

Jeddah figures reflects market size 

Jeddah Municipality reported that its landfills received nearly 5 million tonnes of waste in the first half of 2025, including 3.9 million tonnes of construction and demolition debris and 693,000 tonnes of household and bulky waste collected through cleaning contracts.

The municipality added that the Corniche area alone recorded 4,237 tonnes, underlining the urgent need for advanced treatment and recycling investment solutions.

Promising market for the private sector by 2040

The sector is expected to offer SR420 billion in investment opportunities by 2040, reflecting its transformation from a service burden to a fully-fledged economic industry.

With a clear regulatory framework, rising demand, and adoption of sustainability and circular economy principles, the waste management sector is set to become a key long-term investment path in Saudi Arabia and a vital contributor to environmental and economic targets.