The MENA region is experiencing remarkable growth in solar photovoltaic (PV) energy, with capacity projected to exceed 180 GW peak by 2030, according to the Solar Outlook Report 2025 by the Middle East Solar Industry Association (MESIA). This latest report highlights trends, innovations, challenges, and opportunities in the region’s rapidly evolving solar landscape.
In 2024, MENA’s solar PV capacity reached 24 GW (AC), marking a 25% year-on-year increase. Solar energy’s share in the regional energy mix also rose significantly, with 2023 seeing a 23% increase to 32 GW.
More than 80% of this expansion is concentrated in Saudi Arabia, the UAE, and Egypt. Morocco continues to lead in North Africa, surpassing 2 GW of solar capacity, with Tunisia and Algeria rapidly advancing.
Speaking on the transformation, MESIA President Fazle Moyeen Quazi noted: “Record-breaking giga-scale projects and the region’s lowest LCOE place MENA at the forefront of the global energy transition, with solar energy shaping a sustainable and transformative future.”
The UAE: A Leader in Solar Innovation
The UAE remains a driving force in the region’s renewable energy sector. Ranked 10th globally for per capita solar capacity in 2023 with 708 watts per capita, the nation’s initiatives include the Dubai Clean Energy Strategy 2050 (targeting 75% clean energy by 2050) and Abu Dhabi Vision 2030 (aiming for 30% renewable energy within five years).
The UAE’s solar capacity surged from 12 MW in 2012 to 6.1 GW in 2023, underscoring its commitment to clean energy. Under the UAE Energy Strategy 2050, the nation plans to triple renewable energy contributions by 2030, supported by an AED 150-200 billion investment. Efforts extend beyond solar to include waste-to-energy facilities and clean hydrogen development, solidifying the UAE’s position as a global renewable energy leader.
Saudi Arabia’s Renewable Energy Transformation
Saudi Arabia is also making bold strides in renewable energy, with solar and wind projects reshaping its energy mix. By the end of 2024, the Kingdom’s 19 renewable energy projects generated 43,698 GWh annually, with solar contributing 12,313 MW and wind 2,200 MW.
The Kingdom has allocated $235 billion for clean energy investments, up from $148 billion, as part of a strategy to diversify its economy and reduce reliance on oil. By 2030, 66% of residential energy needs are expected to be met through renewables.
Technological and Market Advancements
The report emphasizes the role of advanced technologies such as digital twins, automated cleaning systems, and energy storage in improving solar plant efficiency and reducing costs. Innovations like advanced solar cells and grid integration tools are further boosting performance, while public-private partnerships and innovative financing are accelerating solar adoption.
Efforts to localize solar manufacturing are critical for long-term success, with countries like Morocco, Egypt, and Tunisia expanding capacities to meet local demand and global clean energy goals.
The Role of Green Hydrogen
Green hydrogen is emerging as a pivotal sector for MENA, leveraging the region’s abundant solar and wind resources. Despite challenges like infrastructure and funding, international collaboration and advancements are unlocking new opportunities, positioning MENA as a competitive player in the global green hydrogen market.
“With growing investments and global collaboration, the MENA solar sector is poised to create substantial opportunities for both local and international stakeholders,” concluded Quazi.