This opportunity entails setting up an assembly plant for common substation transformers. Saudi Arabia plans to significantly increase capacity of energy production from renewable sources. The government is strongly committed to unlocking the renewable energy sector, through increasing capacity and localization requirements. Current localization requirements stand at 30%, while future localization plans are set between 40% and 60%.
Today, energy generation from renewable sources is almost negligible; however, Saudi Arabia has set a renewables target of 27.3 GW by 2024 and 58.7 GW by 2030.
KSA substation transformer market is forecasted to grow from USD 7 million in 2019 to reach USD 159 million by 2030. This amounts to an estimated 2019-2030 cumulative forecast of USD 1,911 million. With forecasted market growth, multiple opportunities exist to localize the substation transformer production value chain. The main focus of this opportunity is on assembly of common substation transformers
- Assembly: core assembly, steel tank assembly, radiator assembly, OLTC assembly, other assembly
- Manufacturing: core materials processing (cutting, slicing, bunching), insulation, coil windings, resin bonding
- Testing: current test, impedance test
Sector