ECONOMY

The Saudi Electricity Company (SEC) and its subsidiary National Electricity Transmission (NET) have inked two pivotal agreements with Emaar, The Economic City (EEC), the primary developer of King Abdullah Economic City (KAEC).

These agreements signify the robust growth of the Saudi economy and the rapid industrial and developmental progress witnessed by the kingdom, in line with the objectives laid out for Vision 2030 projects.

The first agreement aims to establish electrical connectivity between the main substation in KAEC and the general electrical system network of the NET Company, while the second agreement focuses on delivering electrical services to support ongoing projects.

Notably, these projects include the burgeoning international industrial sector, particularly the manufacturing of EV in the third phase of the Industrial Valley of KAEC, housing the Saudi Ceer factory and the Lucid electric car facilities.

PIF also recently launched Alat, a national champion to propel Saudi Arabia into a global hub for sustainable technology manufacturing, with a focus on advanced technologies and electronics.

Alat's strategic focus encompasses seven key business units: advanced industries, semiconductors, smart appliances, smart health, smart devices, smart buildings, and next-generation infrastructure. The company seeks to bolster the capabilities of the Saudi technology sector, augment local content contribution, enhance the nation's attractiveness, and foster investment opportunities.

Alat will also facilitate the private sector through strategic partnerships with leading international players in manufacturing and technology, thereby enriching the economic ecosystem locally and regionally.

Furthermore, Alat endeavours to transform the global industrial sector by providing sustainable solutions based on clean energy sources, thus meeting commercial demand and advancing manufacturing capabilities in Saudi Arabia.

By manufacturing over 30 product categories serving vital sectors, including robotic systems, communication systems, advanced computers, digital entertainment products, and heavy machinery for construction and mining, Alat aims to stimulate innovation, research and development, and talent localisation within the industrial and electronics sectors. The company anticipates creating 39,000 direct jobs in Saudi Arabia by 2030 and contributing a direct non-oil GDP of USD 9.3 billion by the same year.

In its pursuit of sustainable manufacturing solutions, Alat plans to leverage clean energy resources in Saudi Arabia to achieve carbon neutrality by 2060, aligning with PIF's goal of carbon neutrality by 2050. Additionally, Alat aims to enable global industrial companies to capitalise on the competitive advantages oered by the Saudi economy, its strategic geographical location, and its investments in the technology sector.