Campaign promotes employment of Saudis in the private sector

The Saudi Human Resources Development Fund (Hadaf) has relaunched its “Hadaf Supports You” campaign to encourage Saudis employment in the private sector. (SPA/File Photo)
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Updated 14 January 2020

Campaign promotes employment of Saudis in the private sector

  • The campaign aims to spread awareness about the Hadaf program titled “Employment Subsidy Program for Upskilling”
  • An additional percentage will be added for employing females or persons with disabilities

JEDDAH: The Saudi Human Resources Development Fund (Hadaf) has relaunched its “Hadaf Supports You” campaign to encourage Saudis employment in the private sector.

The campaign aims to spread awareness about the Hadaf program titled “Employment Subsidy Program for Upskilling,” one of several initiatives to motivate the hiring of nationals and increase their participation in the labor market. The program began in 2019 and has continued this year with some amendments.

These include increasing the maximum monthly wage of the supported individual from SR10,000 ($2660) to SR15,000. The minimum supported wage remains at SR4,000.

Hadaf will provide establishments with financial support for employees’ wages for 36 months, at the rate of 30 percent of the monthly salary for the first year of support, 20 percent for the second year, and 10 percent for the third year.

An additional percentage will be added for employing females or persons with disabilities, as well as when hiring Saudis in small cities and villages and where the size of the facility is 50 employees or less.

The fund said that those amendments came after listening to suggestions from business owners and beneficiaries of the program and holding a number of workshops with the different sectors in the labor market and chambers of commerce in various regions of the country.

The program also works on improving the skills and capacities of Saudis who are seeking jobs, helping them to take advantage of the right opportunities through its training support programs provided via its platform or in collaboration with the employers and training bodies.

Training is offered online, on-the-job, and in classrooms. It includes general topics such as work ethics, teamwork skills, communication, and problem-solving skills, which are delivered as e-courses online for the first six months of employment. Moreover, employees will receive apprenticeship programs to acquire technical and vocational skills and real-time training to learn about their new work environment and values.

It serves as a link between employers and job seekers. The Hadaf stated that private sector establishments can join the employment support program by registering with the National Labor Platform (TAQAT), through which they can make their vacancy announcements.

Haya Sawan, the co-founder of She Fit Gym and Black Cardamom restaurant in Jeddah said that such an initiative would help establishments find more Saudis to join their establishments. However, she said the main problem is not finding a Saudi employee; instead, it is finding the best fit for the vacancy.

“The problem is where to find someone who is qualified and with the right experience,” she said.

“Such a service where one can find the person with the necessary experience for the job will be very useful.”

Through this initiative, Hadaf hopes to encourage private sector enterprises to offer quality employment and investment in human capital. This is in line with its objective to prepare Saudi talents for joining the labor market and participating in national development, and thus to reduce the youth unemployment rate.

The Saudi Ministry of Economy and Planning expects the unemployment rate among Saudis to fall to 10.6 percent in 2020, down from 12 percent in 2019.

Saudi Arabia joins club of Middle East’s ‘green energy’ leaders

Updated 20 January 2020

Saudi Arabia joins club of Middle East’s ‘green energy’ leaders

  • Government plans to invest up to $50bn in renewable energy projects by 2023
  • Demand for electricity in the Kingdom is forecast to rise by up to 120 GW by 2030

ABU DHABI: Saudi Arabia has become one of the Middle East and North Africa (MENA) region’s leaders in the race to use renewable energy, according to a new study.

The Solar Outlook Report 2020 was launched at the Solar Forum of the World Future Energy Summit, a highlight of this year’s Abu Dhabi Sustainability Week (Jan. 11-18).
The report, prepared by Middle East Solar Industry Association (MESIA), the largest regional body of its kind, said Saudi Arabia and Oman have joined the UAE, Morocco and Egypt as leaders in the renewables race.
“Saudi Arabia is now in the third year of implementation of its massive target of 60 gigawatts (GW) of renewable energy generation by 2030,” it said.
Martine Mamlouk, secretary-general of MESIA, said that investment in solar energy is evident across MENA countries. “Saudi Arabia has a target of almost 60 gigawatts of renewable energy, out of which 40 gigawatts are solar,” she told Arab News.
“This is in line with the Kingdom’s objective of diversification and Vision 2030. While the industry is reaching grid parity, it is great to see the deployment of new innovative technologies to increase efficiency of systems, production management and grids.”
Upcoming solar projects in the Kingdom include Madinah, Rafh, Qurayyat, Al-Faisaliah, Rabigh as well as Jeddah, Mahd Al-Dahab, Al-Rass, SAAD and Wadi Ad-Dawasir, along with Layla and PIF.
Saudi Arabia’s energy demand has been rising steadily, with consumption increasing by 60 percent in the past 10 years, according to data provided by market researchers Frost & Sullivan. Demand for electricity in 2019 reached 62.7 GW and is forecast to rise by up to 120 GW by 2030.
The value of solar-power projects in the MENA region is estimated at between $5 billion and $7.5 billion. By 2024, that figure is expected to approach $15 billion to $20 billion.
Under its Vision 2030 program, the Kingdom aims to reduce its dependency on oil revenues, diversify its energy mix and tap its renewable energy potential.

Saudi Acwa power-generating windmills that have been erected in Jbel Sendouq, on the outskirts of Tangier, Morocco. (Reuters)

After the Renewable Energy Project Development Office (REPDO) was set up within the Ministry of Energy, the goals for the Kingdom’s National Renewable Energy Program (NREP) were revised upwards in 2018, resulting in a five-year target of 27.3 GW and a 12-year target of 58.7 GW.
The Saudi government plans to invest up to $50 billion in renewable energy projects by 2023.
“At MESIA, we are excited to see solar developments in the MENA region accelerating and reaching attractive tariffs, while lowering the carbon footprint of regional economies,” Mamlouk said.
“The total investment in renewables in MENA between 2019 and 2023 is expected to be $71.4 billion, representing a 34 percent share of the total investment in the power sector, which is valued at $210 billion.”
Changes introduced by Saudi Arabia include a focus on local developers and easing of regulations for local manufacturers of solar panels.
A Local Content and Government Procurement Authority has been established to oversee and audit local content compliance.
Separately, a Renewable Energy Financing package has been launched by the Saudi Industrial Development Fund to support the growth of utility and distributed-generation sectors.
After solar photovoltaic panels were installed on the roof of a mosque in Riyadh, the King Abdullah Petroleum Studies and Research Center recommended a similar move at other mosques.
Meanwhile, plans for the use of solar panels in the Saudi agro-industry have led to burgeoning interest in the technology, with several industrial facilities expected to have their own units in the not-too-distant future.
For good measure, a regulatory framework to allow exchanges with the power grid is being studied by the Electricity Co-generation Regulatory Authority.
Flexible storage solutions, such as hydrogen, will give intermittent renewable energy a greater share in the energy system, Mamlouk said. “It may enable present-day oil and gas exporters to become key renewable energy exporters tomorrow. The solar industry is thrilled and proud to participate in this profound transformation of Saudi Arabia’s energy system.”
In the past year solar tariffs have fallen to record low levels in the MENA region, mainly due to tremendous cost declines that have brought the goal of grid parity within reach.
With installed solar electricity capacity worldwide standing at 617.9 GW, MENA governments are staying focused on energy diversification with the help of large-scale projects.
In the UAE, Dubai is targeting the completion of a 5 GW facility by 2030 at the Mohammed Bin Rashid Al-Maktoum Solar Park. Abu Dhabi has “engaged” its second-largest solar project and is considering the roll-out of more units by 2025.


62.7GW - Demand for electricity in Saudi Arabia in 2019

Morocco aims to reach 52 percent contribution by renewables in its energy mix by 2030. The figures for Tunisia and Egypt are 30 percent and 20 percent, respectively, by 2022.
Oman expects solar-power plants totaling 1.5 GW to come on stream by the end of 2022. Even Iraq, with all its political troubles and administrative paralysis, has not ignored solar power in drawing up plans for its future energy mix.
“Investments in renewable energy have reached billions in all Arab countries,” Mohammed Al-Taani, secretary-general of the Arab Renewable Energy Commission, said.
“Jordan is spending more on renewable energy, and we encourage people to have more independence with renewables by generating their own electricity to reduce their bills.”

Nevertheless challenges remain when it comes to implementing projects in rural and isolated areas, according to Mustapha Taoumi, a technology expert at the EU-GCC Clean Energy Technology Network. “With regard to issues of power grid and access to the people, we have to prepare for everything and be ready to receive new technology because there are communities with little income and education,” he said.
“Then there is the challenge of implementation on the part of different actors and sectors. Social acceptance is also important as we come with new technologies and (information on) how to use them.
“We have to be innovative when it comes to financing the facilitation process. We have to be fair and democratic,” he said.
Although this is an exciting time for the region, governments will have to step up their efforts since they are still subsidizing the cost of power, Taoumi said.
“Technologies are evolving quickly, so decision-making must keep pace,” he said. “We could end up having smart meters in rural and isolated areas in two to three years.”