The Public Investment Fund (PIF) is likely to sign a deal with China’s Envision Energy Company to build a wind turbine manufacturing plant in Saudi Arabia to localise supply chains, Bloomberg reported. 

The agreement is likely to be signed this week, the news agency reported, citing people familiar with the matter.

Vision Industries, a privately owned renewable-energy manufacturing company, will be part of the agreement.

Envision Energy is supplying wind turbines for the $9 billion Neom Green Hydrogen Company, the report said.

In May, state-backed Saudi Power Procurement Company (SPCC) signed two power purchase agreements (PPA) with a consortium led by Japan’s Marubeni Corporation to procure power from the 600-megawatt AlGhat and 500-MW Wa’ad Alshamal wind projects.

The Kingdom has more than doubled its renewable energy production capacity from 700 MW in 2022 to over 2.2 GW, with more than 8 GW and 13 GW of renewable energy under development.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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