Chinese Firm Partners with MODON to Build PV Facility in Jeddah

(CTN News) – A Chinese solar energy infrastructure business has agreed with the Saudi Authority for Industrial Cities and Technology Zones (MODON) to construct a photovoltaic production facility in Jeddah, the kingdom’s major port city.

Arctech Solar Holding Co. Ltd announced on Thursday that the new factory will span approximately 97,000 square meters and have a planned production capacity of 3 gigawatts (GW), making it the company’s second significant foreign operation after its Gujarat site in India.

Arctech, located in Kunshan, eastern China, expects the factory to be capable of delivering up to 10 GW through localized production.

MODON CEO Majed Al-Argoubi welcomed the agreement, noting how it aligns with MODON’s goals of promoting development in Saudi Arabia’s industrial cities and technological zones.

Arctech’s Chairman, Cai Hao, emphasized the importance of collaboration, adding that it coincides with the company’s global strategic ambitions and demonstrates its commitment to global sustainable development.

The two parties inked the deal on Thursday, according to an Arctech release.

In a landmark breakthrough for renewable energy in Saudi Arabia, a leading Chinese solar energy infrastructure company has signed a key agreement with the Saudi Authority for Industrial Cities and Technology Zones (MODON). This collaboration seeks to create a cutting-edge photovoltaic production facility in Jeddah, the kingdom’s thriving port city.

The importance of solar energy in Saudi Arabia

Saudi Arabia, known for its massive oil reserves, is increasingly realizing the value of diversifying its energy sources. The country has set lofty goals for reducing its dependency on fossil fuels and embracing renewable energy sources. Solar energy, in particular, has great promise due to the amount of sunlight in the area and its environmental friendliness.

Partnership Details

According to the deal, the Chinese company would partner with MODON to build a cutting-edge photovoltaic production facility in Jeddah. This factory will be outfitted with cutting-edge equipment to manufacture solar panels and other components required for harvesting solar power.

Effect on Jeddah’s Economy

The solar production facility’s creation is expected to have a substantial positive influence on Jeddah’s economy. It will create jobs for local citizens, boost economic growth, and strengthen the city’s standing as a renewable energy innovation hub.

Advantages of Photovoltaic Production

The decision to locate the production facility in Jeddah has various advantages. First, it will lessen the country’s reliance on foreign solar components, thereby improving energy security. Furthermore, regional production might result in cost savings and greater flexibility in responding to market demands.

Sustainable Development Goals.

This strategy is consistent with Saudi Arabia’s overall sustainable development goals, which include measures to mitigate climate change and promote clean energy solutions. The kingdom is taking proactive steps toward a more sustainable future by investing in solar energy infrastructure.