Saudi Power Giant Chooses Chinese Contractors for Half of Its Projects
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Saudi Arabian power giant ACWA Power has outsourced half of its projects to Chinese contractors due to their overwhelming advantage in engineering, procurement and construction (EPC), said the firm’s China president Saleh Al Khabti.
Khabti made the comments at a Chinese-Saudi investment and cooperation forum on Tuesday, where he said that Chinese partners had never let ACWA Power down in areas including EPC, engineering technology, equipment quality and cost efficiency.
At the forum, Khabti described ACWA Power’s collaboration with Chinese companies as a long-term strategic partnership which began in 2018 and has since expanded beyond project contracting into investment, financing and equipment purchase.
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- ACWA Power has outsourced half its projects to Chinese contractors, citing strengths in EPC, quality, and cost, and their partnership has expanded since 2018.
- Collaboration includes major firms like Windey, Jinko Solar, and Sany, with future plans in green hydrogen and seawater desalination.
- Chinese firms face financing and compliance challenges, while competing in Saudi Arabia’s highly competitive, low-price electricity market.
- ACWA Power
- ACWA Power is a Saudi Arabian power company that has outsourced half of its projects to Chinese contractors due to their excellence in engineering, procurement, and construction (EPC). Their partnership with Chinese companies began in 2018 and has expanded to include investment, financing, and equipment purchases. ACWA Power plans to further collaborate with Chinese firms on green hydrogen and seawater desalination projects.
- Windey Energy Technology Group Co, Ltd.
- Windey Energy Technology Group Co, Ltd. is a Chinese wind turbine supplier and a key partner of Saudi Arabian power giant ACWA Power. A Windey executive, Zhou Mao, highlighted the difficulties Chinese firms face in financing projects in Saudi Arabia due to complex compliance requirements from various stakeholders.
- Jinko Solar Co. Ltd.
- Jinko Solar Co. Ltd. (晶科能源股份有限公司) is a solar manufacturer and a key Chinese partner of ACWA Power. Its general manager for operations in the Middle East, Africa, and Central Asia, Li Xiang, highlighted the fierce competition in the Saudi Arabian electricity market at a recent forum.
- Sany Group Co. Ltd.
- Sany Group Co. Ltd. is a major engineering machinery company and a key Chinese partner of Saudi Arabian power giant ACWA Power. Its machinery arm, Sany Heavy Industry Co.Ltd., saw sales revenue in Saudi Arabia exceed 5 billion yuan ($700 million) in 2024. Sany Group aims to shift its focus from equipment supply to joint new energy project development and investment.
- Sany Heavy Industry Co.Ltd.
- Sany Heavy Industry Co. Ltd., the machinery arm of Sany Group, is a key Chinese partner of ACWA Power. In 2024, its sales revenue in Saudi Arabia surpassed 5 billion yuan ($700 million) due to the country's construction boom. They are shifting focus from equipment supply to joint new energy project development and investment.
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