ACWA Power has officially commenced commercial operations of the Red Sea project, the world’s largest off-grid integrated renewable energy system featuring 340MW solar PV capacity paired with 1,227MWh battery energy storage.
Officially launched on 6 September, the landmark project is operated by Marafiq Red Sea for Energy Company, a joint venture comprising ACWA Power, Chinese developer SPIC Huanghe Hydropower, and Saudi district cooling provider Saudi Taubreed. The commercial operation launch was marked by a signing ceremony last week with The Red Sea Utilities Company, a subsidiary of Red Sea Global. Notably, both ACWA Power and Red Sea Global are backed by Saudi Arabia’s Public Investment Fund (PIF).
The renewable energy installation will supply clean power to the Red Sea International Airport, surrounding supporting facilities, and a portfolio of hotels developed and run by Red Sea Global. Slated for a 25-year operational lifespan, the project will be fully operated and maintained by ACWA Power throughout its lifecycle.
Mohammad Abunayyan, Founder and Chairman of ACWA Power, highlighted the project’s global pioneering significance. “As the world’s largest integrated off-grid utilities system and the first of its kind at this scale, the project sets a new global benchmark for sustainable development,” he stated. “It delivers a world-leading model for unified utility system operation, effectively boosting energy efficiency, operational resilience and long-term power supply reliability.”
The development serves as a key pillar of Saudi Vision 2030, the national strategic initiative aimed at scaling up domestic renewable energy investments. The Saudi government targets around 100GW of operational solar PV capacity by 2030, a substantial upgrade from the country’s 5–7GW total renewable energy capacity in operation earlier this year, with the Red Sea project making a tangible contribution to this national target.
Localized industrial supply is a core highlight of the project. ACWA Power confirmed that all eligible equipment, materials and on-site services were procured from local Saudi suppliers in compliance with project specifications. This focus on domestic manufacturing aligns with the rapid development of solar industrial chains across Saudi Arabia and the broader Middle East region.
