ACWA has signed three Storage Services Agreements (SSAs) with the Saudi Power Procurement Company (SPPC) for battery energy storage system (BESS) projects at Haden, Muwayh and AlKahfah in Saudi Arabia.
The agreements were signed on August 20, 2026, during a ceremony at the Ministry of Energy in Riyadh, attended by Prince Abdulaziz bin Salman bin Abdulaziz, Minister of Energy.
The three projects will have a combined capacity of 1.5 GW and total storage capacity of 6 GWh. Each facility will have a capacity of 500 MW and 2,000 MWh of storage, providing up to four hours of energy storage at full output.
Under the agreements, the projects will supply power for 15 years. Haden and Muwayh are located in the western region of Saudi Arabia, while AlKahfah is located in the northern part of the Kingdom.
The projects represent one of the largest battery energy storage procurements globally and will expand ACWA’s growing energy storage portfolio. The company said the facilities will store electricity generated during periods of high renewable generation and discharge it during peak demand, supporting grid reliability and the integration of solar and wind power.
The tender was conducted by SPPC, the Kingdom’s principal electricity buyer under the supervision of the Ministry of Energy. The procurement model treats energy storage as a standalone service, providing a framework that can be replicated in future storage procurement rounds.
The development supports Saudi Arabia’s Vision 2030 objective of diversifying its energy mix and increasing the role of renewable energy and energy storage within the power system.
ACWA has incorporated energy storage into several of its projects. Its portfolio includes the Tashkent Riverside project in Uzbekistan, which combines 200 MW of solar capacity with 770 MWh of battery storage, and the Red Sea Project in Saudi Arabia, which uses 1,227 MWh of battery storage to supply a development without a grid connection.
Across Saudi Arabia, ACWA currently holds 41 assets spanning solar, wind, gas, desalination and green hydrogen. The company has also been mandated by the Public Investment Fund to develop approximately 70% of the Kingdom’s renewable energy pipeline.
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