ACWA Power Forms Green Hydrogen Export Alliance with European Partners

ACWA Power, a Saudi energy company, has signed agreements with international partners to establish a green hydrogen and renewable energy export value chain between Saudi Arabia and Europe. MoUs have been signed with Edison SpA, TotalEnergies Renewables SAS, Zhero Europe BV, and EnBW. The agreements aim to assess market demand and feasibility for large-scale renewable energy projects in Saudi Arabia dedicated to export and plan a power transmission route to Europe. A joint development agreement with EnBW has also been established to co-develop the Yanbu Green Hydrogen Center, expected to be operational by 2030.

In a significant move towards sustainable energy, Saudi Arabia's ACWA Power has signed preliminary agreements with international partners to establish a green hydrogen and renewable energy export value chain between Saudi Arabia and Europe. The agreements, part of the India-Middle East-Europe Economic Corridor (IMEC) project, aim to assess market demand and feasibility for large-scale renewable energy projects in Saudi Arabia dedicated to export, with a focus on developing advanced energy transmission corridors to Europe.

The multi-party deal, signed on July 20, 2025, includes agreements with Italy's Edison SpA, France's TotalEnergies Renewables SAS, the Netherlands' Zhero Europe BV, and Germany's EnBW. These agreements establish a collaborative framework to evaluate market demand and the feasibility of developing large-scale renewable energy projects in Saudi Arabia for export. Additionally, ACWA Power has signed individual pacts with technical consultants and energy transmission technology providers to enhance the reliability and efficiency of cross-border energy infrastructure.

A joint development agreement has also been established with EnBW to co-develop the Yanbu Green Hydrogen Center, which is planned to be operational by 2030. The center will be a fully integrated base with its own captive electricity generation from renewable sources, desalination plants to support hydrogen electrolysis, and an export terminal. This project leverages Saudi Arabia's potential to develop renewable energy at competitive rates and supply global industrial demand.

The latest pacts, signed in Riyadh, are part of the IMEC, which was announced during the G20 summit in 2023. The project consists of an eastern route connecting India to the Gulf and a northern pathway connecting the Gulf to Europe. The cross-border, ship-to-rail transit corridors are expected to reduce shipping costs across the network and support trade in goods and services to, from, and between the UAE, Saudi Arabia, India, and Europe. The combined exports from these regions are projected to account for 44% of global trade by 2030.

ACWA Power, backed by Saudi Arabia's sovereign wealth fund, the Public Investment Fund, is one of the largest renewable energy developers in the Middle East. With operations in 14 countries across the Middle East, Africa, and Central and South-east Asia, ACWA Power is an investor in and operator of 101 power generation and water desalination projects in operation, construction, and advanced development, with an overall portfolio size of about $107.5 billion as of February.

The agreements are part of Saudi Arabia's broader strategy to boost its green energy capacity. Last week, the kingdom signed agreements worth more than 31 billion riyals ($8.3 billion) for seven renewable energy projects with an ACWA Power-led consortium. In February, ACWA Power also signed a preliminary agreement with the German company Securing Energy for Europe (Sefe) to produce and supply green hydrogen to Europe. Under the pact, ACWA Power and Sefe will establish a hydrogen bridge between Saudi Arabia and Germany, with an initial target of supplying 200,000 tonnes of green hydrogen annually by 2030.

References:
[1] https://www.thenationalnews.com/business/energy/2025/07/20/acwa-power-signs-pacts-to-export-renewable-energy-and-green-hydrogen-to-europe/