IDEAS home Printed from https://ideas.repec.org/a/ibn/ijefaa/v12y2020i9p1.html
   My bibliography  Save this article

Renewable Energy Challenges and Opportunities in the Kingdom of Saudi Arabia

Author

Listed:
  • Mohammed A. Al Yousif

Abstract

This paper seeks to introduce the advantages of investing in renewable energy in Saudi Arabia. It concludes that investment in renewable energy is a promising strategy for creating more sustainable jobs for Saudi citizens and promoting the domestic economic diversification. The Saudi renewable energy sector shall increase the Saudi non-oil private sector’s contribution to the total Saudi economic activities. This research paper uses Leontief’s method to estimate the impact of investment in renewable energy through three main scenarios (investment of 25, 50, and 85 billion Saudi Riyal) over 5 years (2020-2025). The total value added, an additional expected growth in the gross domestic product (GDP) during the period from 2020 to 2025, is estimated to be around 2.7, 4.7, and 6.0 percent of the investment of 25, 50, and 80 billion Saudi Riyal in renewable energy respectively. The expected number of new jobs that would be generated in all three scenarios are 44,000, 90,000, and 150,000 thousand jobs. Moreover, further development of the Saudi renewable energy sector should encourage domestic energy consumption to be more efficient and less polluted. However, challenges typically thwart progress in the renewable energy sector. These challenges include technical problems, cost issues, and lack of financial sources. This paper proposes some solutions that should help circumvent these particular challenges.

Suggested Citation

  • Mohammed A. Al Yousif, 2020. "Renewable Energy Challenges and Opportunities in the Kingdom of Saudi Arabia," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 12(9), pages 1-1, September.
    • Handle: RePEc:ibn:ijefaa:v:12:y:2020:i:9:p:1
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ijef/article/download/0/0/43370/45525
    Download Restriction: no
    File URL: http://www.ccsenet.org/journal/index.php/ijef/article/view/0/43370
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Al-Abbadi, Naif M., 2005. "Wind energy resource assessment for five locations in Saudi Arabia," Renewable Energy, Elsevier, vol. 30(10), pages 1489-1499.
    2. Commander, Simon, 2012. "A Guide to the Political Economy of Reforming Energy Subsidies," IZA Policy Papers 52, Institute of Labor Economics (IZA).
    3. N/A, 2015. "The UK Economy," National Institute Economic Review, National Institute of Economic and Social Research, vol. 234(1), pages 3-3, November.
    4. Aksakal, Ahmet & Rehman, Shafiqur, 1999. "Global solar radiation in Northeastern Saudi Arabia," Renewable Energy, Elsevier, vol. 17(4), pages 461-472.
    5. N/A, 2010. "The UK economy," National Institute Economic Review, National Institute of Economic and Social Research, vol. 213(1), pages 3-3, July.
    6. N/A, 2015. "The UK economy," National Institute Economic Review, National Institute of Economic and Social Research, vol. 231(1), pages 3-3, February.
    7. N/A, 2015. "The UK economy," National Institute Economic Review, National Institute of Economic and Social Research, vol. 232(1), pages 3-3, May.
    8. N/A, 2015. "The UK Economy," National Institute Economic Review, National Institute of Economic and Social Research, vol. 233(1), pages 3-3, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dennis Fixler & Marina Gindelsky & David S. Johnson, 2020. "Distributing Personal Income: Trends over Time," NBER Chapters, in: Measuring Distribution and Mobility of Income and Wealth, pages 589-603, National Bureau of Economic Research, Inc.
    2. Steve Harris & Jan Weinzettel & Gregor Levin, 2020. "Implications of Low Carbon City Sustainability Strategies for 2050," Sustainability, MDPI, vol. 12(13), pages 1-23, July.
    3. Swati Sharma, 2021. "Towards an Understanding of the Indian Tourist Buying Airbnb Services," International Journal of Asian Business and Information Management (IJABIM), IGI Global, vol. 12(3), pages 1-14, July.
    4. Olga Porro & Francesc Pardo-Bosch & Núria Agell & Mónica Sánchez, 2020. "Understanding Location Decisions of Energy Multinational Enterprises within the European Smart Cities’ Context: An Integrated AHP and Extended Fuzzy Linguistic TOPSIS Method," Energies, MDPI, vol. 13(10), pages 1-29, May.
    5. Lijuan Wang & Songbai Liu, 2020. "Study on the Influencing Factors and Consumer Behaviors of Bicycle Sharing in Beijing," International Journal of Marketing Studies, Canadian Center of Science and Education, vol. 11(1), pages 1-40, March.
    6. Mustapha Ziky & Raja Daouah, 2019. "Exploring Small and Medium Enterprises¡¯ Perceptions Towards Islamic Banking Products in Morocco," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 11(10), pages 106-117, October.
    7. Stefan Ćetković & Aron Buzogány & Miranda Schreurs, 2016. "Varieties of clean energy transitions in Europe: Political-economic foundations of onshore and offshore wind development," WIDER Working Paper Series wp-2016-18, World Institute for Development Economic Research (UNU-WIDER).
    8. Magali Duque & Abigail McKnight, 2019. "Understanding the relationship between inequalities and poverty: mechanisms associated with crime, the legal system and punitive sanctions," CASE Papers /215, Centre for Analysis of Social Exclusion, LSE.
    9. Arye L. Hillman & Heinrich W. Ursprung, 2016. "Academic exclusion: some experiences," Public Choice, Springer, vol. 167(1), pages 1-20, April.
    10. Anđelković Aleksandra & Milovanović Goran, 2021. "Supplier Selection Process Based on Green Approach," Economic Themes, Sciendo, vol. 59(3), pages 391-407, September.
    11. Gkogkidis, Vasilis & Dacre, Nicholas, 2020. "Exploratory Learning Environments for Responsible Management Education Using Lego Serious Play," SocArXiv ek7th, Center for Open Science.
    12. István Kunos & Somayeh Kariman & Aigul Meirmanova, 2020. "Green Economy Sustainability in the UAE and Agrarian Leadership," Theory Methodology Practice (TMP), Faculty of Economics, University of Miskolc, vol. 16(02), pages 51-60.
    13. Massimo Peri, 2017. "Climate variability and the volatility of global maize and soybean prices," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 9(4), pages 673-683, August.
    14. Anelí Bongers & Carmen Díaz-Roldán, 2019. "Stabilization Policies and Technological Shocks: Towards a Sustainable Economic Growth Path," Sustainability, MDPI, vol. 11(1), pages 1-19, January.
    15. Jaakko J. Jääskeläinen & Sakari Höysniemi & Sanna Syri & Veli-Pekka Tynkkynen, 2018. "Finland’s Dependence on Russian Energy—Mutually Beneficial Trade Relations or an Energy Security Threat?," Sustainability, MDPI, vol. 10(10), pages 1-25, September.
    16. repec:prg:jnlpep:v:preprint:id:686:p:1-19 is not listed on IDEAS
    17. Chris Turner & Mariale Moreno & Luigi Mondini & Konstantinos Salonitis & Fiona Charnley & Ashutosh Tiwari & Windo Hutabarat, 2019. "Sustainable Production in a Circular Economy: A Business Model for Re-Distributed Manufacturing," Sustainability, MDPI, vol. 11(16), pages 1-19, August.
    18. Renato Ritter, 2022. "Banking Sector Exposures to Climate Risks - Overview of Transition Risks in the Hungarian Corporate Loan Portfolio," Financial and Economic Review, Magyar Nemzeti Bank (Central Bank of Hungary), vol. 21(1), pages 32-55.
    19. Hee‐Chan Song, 2020. "Sufficiency economy philosophy: Buddhism‐based sustainability framework in Thailand," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 2995-3005, December.
    20. Duque, Magali & Mcknight, Abigail, 2019. "Understanding the relationship between inequalities and poverty: mechanisms associated with crime, the legal system and punitive sanctions," LSE Research Online Documents on Economics 103459, London School of Economics and Political Science, LSE Library.
    21. Kolcava, Dennis & Bernauer, Thomas, 2020. "Greening the Economy Through Voluntary Private Sector Initiatives or Government Regulation? A Public Opinion Perspective," OSF Preprints zsk43, Center for Open Science.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijefaa:v:12:y:2020:i:9:p:1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.