Saudi Arabia’s ACWA Power Signs Landmark Deals to Export Green Hydrogen and Electricity to Europe
21 July 2025, Riyadh – Saudi Arabia has taken a decisive step toward establishing itself as a global clean energy powerhouse, with ACWA Power, the Kingdom’s flagship utility-scale renewables developer, entering into a suite of strategic agreements with leading European energy firms. On July 20, 2025, the Kingdom’s Ministry of Energy announced that ACWA Power had signed Memoranda of Understanding with TotalEnergies, Edison, EnBW, and Siemens Energy to develop infrastructure for exporting renewable electricity and green hydrogen to the European Union. The agreements were formalized in Riyadh in the presence of the Minister of Energy, HRH Prince Abdulaziz bin Salman.
The agreements, which fall under the broader vision of transforming Saudi Arabia’s role in global energy markets, establish the framework for a green energy corridor linking the Kingdom with Europe. They include plans for the development of high-voltage electricity transmission systems, hydrogen offtake arrangements, and long-term infrastructure integration. Siemens Energy is expected to play a key role in grid transmission, reinforcing the technical backbone of what will become one of the world’s most ambitious cross-border clean energy projects.
This move consolidates Saudi Arabia’s green export strategy under the auspices of Vision 2030. ACWA Power, with more than 77 GW of power generation and desalination capacity under development across twelve countries, is central to that effort. Backed by sovereign capital and anchored in the Kingdom’s national diversification agenda, the company continues to expand its renewable footprint across Africa, Central Asia, and the Middle East.
Among ACWA’s flagship developments is the NEOM Green Hydrogen Project—currently the world’s largest utility-scale green hydrogen undertaking. A joint venture with NEOM and Air Products, the facility is scheduled to begin operations in 2026 and aims to produce up to 1.2 million tonnes of green ammonia annually. That project has already secured an offtake agreement with Germany’s Securing Energy for Europe (SEFE), through which ACWA Power will export 200,000 tonnes of green hydrogen per year to the European market. This aligns squarely with Europe’s dual push to decarbonize its industrial sector and reduce dependency on Russian energy.
The implications extend well beyond Europe and the Gulf. For Africa, where green hydrogen potential remains largely untapped despite abundant solar and wind resources, Saudi Arabia’s rapid progress presents a challenge. While countries like Egypt and Morocco have forged early-stage agreements with European and Gulf partners, much of Sub-Saharan Africa is yet to develop commercially viable hydrogen infrastructure at scale. Without a continent-wide approach to investment, project de-risking, and offtake alignment, Africa risks being bypassed in the emerging global hydrogen trade.
Ultimately, this latest announcement affirms Saudi Arabia’s transformation from a fossil fuel exporter to a clean energy architect. As Europe’s hydrogen appetite grows and global energy flows are redefined, the Kingdom’s ability to shape both supply and infrastructure may well position it at the center of a new energy order. For Europe, the corridor offers strategic security. For Africa, it is a wake-up call.
