Israel's largest solar energy company, SolarEdge, has signed a joint venture with Ajlan & Bros Holding (AHB) to adopt solar energy in Riyadh.
The joint venture will support the deployment of smart renewable energy solutions in Saudi Arabia and aligns with the Saudi Vision 2030 initiative, aiming to reduce the country's dependence on oil by the end of the decade. The venture will offer organizations in the country a portfolio of SolarEdge products in areas such as production, storage, and energy management, as well as site modeling and consultancy for the transition to renewable energy.
"We are proud to collaborate with AHB and support Saudi Arabia's journey towards' Vision 2023,'" said SolarEdge CEO Tzvi Lando. "SolarEdge is committed to driving the global transition to renewable energy, and this joint venture exemplifies that. With proper support for local facilities in Saudi Arabia, they will be able to swiftly transition to clean solar energy and meet the country's ambitious energy goals."
Ajlan & Bros is a major conglomerate in the Middle East and North Africa's private sector. The venture will serve leading facilities in Saudi Arabia.
Last year, Globes reported that dozens of Israeli business and tech figures were visiting the kingdom for advanced talks on Saudi investments in Israeli companies and Israeli investment funds despite Israel and Saudi Arabia having no official diplomatic relations. Quietly, ties have strengthened in recent years, as the Saudi crown prince, Mohammad bin Salman, reportedly sees Israel as a strategic partner for helping achieve his Vision 2030 goals.
Saudi Arabia's environmentally sustainable missions
The kingdom's Vision 2030 is described on its website as "a unique transformative economic and social reform blueprint that is opening Saudi Arabia up to the world."
The plan aims to ensure environmental sustainability through three verticals: reducing all types of pollution, safeguarding the environment from natural threats, and protecting and rehabilitating natural landscapes.
According to GlobalData, Saudi Arabia will hit 1.5 gigawatts of renewable energy capacity this year, of which 1GW will be solar, an increase from 22.5 megawatts in 2013. However, according to the data, fossil fuels still account for 99% of the overall power generation in the country.
About 10% of Israel's energy comes from solar. Environmental experts have said that if Israel invested properly in building the necessary infrastructure, 40% and 50% of its energy could come from the sun.