Saudi Arabia Signs Landmark Agreements to Export Green Hydrogen and Electricity to Europe

Riyadh, Saudi Arabia — Saudi energy giant ACWA Power has signed a series of agreements with major European energy and engineering firms to develop a new export corridor for green hydrogen and renewable electricity between Saudi Arabia and Europe. The initiative forms part of the India-Middle East-Europe Economic Corridor (IMEC), a strategic infrastructure program aimed at boosting energy connectivity and trade across three continents. The agreements were signed during a high-level workshop on renewable energy exports held in Riyadh, in the presence of Saudi Arabia’s Minister of Energy, Prince Abdulaziz bin Salman bin Abdulaziz Al Saud.

Among the signatories are Italy’s Edison S.p.A, France’s TotalEnergies Renewables SAS, Zhero Europe B.V., and Germany’s Energie Baden-Württemberg AG (EnBW). These organizations signed a multi-party memorandum of understanding (MoU) with ACWA Power to study the feasibility of large-scale renewable energy projects in Saudi Arabia. The projects would be developed specifically for export, alongside the creation of a high-voltage electricity transmission corridor connecting the Kingdom to Europe.

“This marks a pivotal step in Saudi Arabia’s strategy to become a global leader in renewable energy and hydrogen exports,” said a statement from the Ministry of Energy. “It reflects our long-term vision to leverage our low-cost solar and wind potential for the benefit of international partners.”

In addition to the MoU, bilateral agreements were also signed with key European technology providers, including CESI and Prysmian from Italy, GE Vernova, Siemens Energy of Germany, and Hitachi of France. These companies will work with ACWA Power on advanced high-voltage direct current (HVDC) transmission systems, a crucial technology for long-distance, efficient cross-border electricity delivery.

One of the cornerstone projects under the agreement is the Yanbu Green Hydrogen Hub, a joint development effort between ACWA Power and EnBW. Scheduled to become operational by 2030, the facility will generate renewable electricity, desalinate water for electrolysis, and convert green hydrogen into ammonia for export.

Located along the Red Sea, Yanbu offers strategic maritime access to Europe, making it an ideal location for hydrogen production and export infrastructure. The project is expected to play a central role in Saudi Arabia’s hydrogen roadmap and aligns with the nation’s Vision 2030 diversification goals.

These new agreements fall within the broader framework of the IMEC project, which was launched to deepen economic and infrastructure ties among India, the Middle East, and Europe. The corridor is seen as a rival to China's Belt and Road Initiative and has received strong backing from the G20 and the European Union.

“Saudi Arabia’s unique geographic position and its ability to generate renewable energy at very low cost make it a natural energy bridge between continents,” said ACWA Power CEO Marco Arcelli. “These partnerships move us closer to building that bridge.”

As global demand for green hydrogen accelerates, particularly in Europe where decarbonization targets are driving interest in clean fuels, Saudi Arabia is positioning itself as a central supplier. These latest developments reflect both commercial opportunity and geopolitical significance in the emerging green energy landscape.

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