MENA renewable energy use to more than triple by 2035
The Middle East is expected to more than triple its share of renewables in the power mix from 5.6 per cent (16.7 gigawatts) in 2016 to 20.6 per cent (100GW) in 2035, according to a new report by Siemens.
Natural gas will remain the number one power source in the region, representing 60 per cent of installed capacity through 2035.
“We expect the majority of new power generation capacity to be via highly efficient combined-cycle power plants, but renewables will also gain a substantially increased share of the energy mix,” said Dietmar Siersdorfer, CEO, Siemens Middle East and UAE.
With economic diversification and population growth accelerating, the growth in power demand in the region—approximately 3.3 per cent per year – will be realised through efficient natural gas-fired power plants.
Aside from new capacity additions, an additional 45GW could also be realised through efficiencies brought about by upgrading facilities more than 30 years old.
By 2035, the region will require a total of 483GW of power generation capacity, an additional 277 GW from 2016.
Solar power will account for additions of around 61GW. There is significant potential for wind power generation in Saudi Arabia and Egypt, but this potential is not entirely reflected in the moderate capacity additions expected.
The report also highlights digitalisation as a tool to increase the efficiency and flexibility of energy supply, while decreasing production costs.
“Digitalisation is an essential part of the future energy landscape, and turning big data into smart data will enable us to be more reliable, energy efficient and cost effective,” said Siersdorfer. “However, we must remember that with greater interconnectivity, the use of data analytics and cloud technologies comes greater exposure to cyber security threats so organisations need to be well prepared.”