Saudi Arabia Finance Minister calls on OPEC to fund green transformation

Saudi Arabia Finance Minister calls on OPEC to fund green transformation
Saudi Arabia Finance Minister Mohammed Al-Jadaan (File/AFP)
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Updated 24 June 2022

Saudi Arabia Finance Minister calls on OPEC to fund green transformation

Saudi Arabia Finance Minister calls on OPEC to fund green transformation

RIYADH: Saudi Arabia’s Finance Minister has called on the Organization of the Petroleum Exporting Countries to fund more green transformation projects, in the wake of oil giant Aramco pushing ahead with solar and wind energy developments.

Speaking at the ministerial meeting of the OPEC Fund for International Development in Austria, Mohammed Al-Jadaan warned no country will be able to grow without the availability of reliable energy sources,

Addressing the meeting in Vienna, Al-Jadaan said: “Security of energy supplies, economic development, and addressing the climate change challenges are crucial and parallel axes to ensure the growth and prosperity of countries.”

OPEC has proven in recent years its reliability in providing stability to energy supply and maintaining global economic health, Al-Jadaan said.

He added that the recent fuel shortfall was largely driven by a lack of refining capacity followed by investment in energy capital expenditures.

His words came amid reports that Aramco will plow money into Saudi Arabia’s national renewable energy programme as it aims to invest in 12,000MW of renewable energy by 2030.

Those investments will likely primarily come in the form of investments in Public Investment Fund’s solar and wind projects.

“We will use the allocation of renewable energy credits from these investments towards decarbonising the power supplied to our operations,” it said.

Aramco is also expected to expand off-grid and grid-connected solar and wind energy solutions as an important source of low-carbon energy for its operations, similar to its adoption of cogeneration facilities to boost energy efficiency.  

The Minister of Finance touched on the efforts of the Fund regarding global strategic development challenges, such as the climate change program and the energy transition, as well as the looming food crisis.

He praised the initiative announced by the Fund at the meeting of the Arab Coordination Group regarding the $10 billion support for the food security joint work plan.

Al-Jadaan signed a memorandum of understanding the Fund on the sidelines of the ministerial meetings, as part of the ministry's keenness to provide opportunities for Saudis to work for regional and international organizations.

The Fund was established in 1976 with the aim of strengthening cooperation among member states to help poor, low-income countries increase their economic and social growth.


Hong Kong says it would support Aramco to list in the city

Hong Kong says it would support Aramco to list in the city
Updated 16 sec ago

Hong Kong says it would support Aramco to list in the city

Hong Kong says it would support Aramco to list in the city
  • Hong Kong leader John Lee posted on Facebook said the city would be able to assist the Saudi oil firm

HONG KONG: Hong Kong leader John Lee said on Monday the financial hub would support Saudi oil giant Aramco if it chose to list in the city.

Hong Kong will be able to handle any of Aramco's future funding arrangements and investment opportunities, John Lee said in a post on his official Facebook account after meeting the group's chief executive.

On Monday, Aramco also announced a strategic partnership with Zoom and an increase in funding for Wa’ed Ventures during the second edition of LEAP, being held in Saudi Arabia.


PIF-owned Saudi Downtown Company signs MoU with MCIT to build digital infrastructure

PIF-owned Saudi Downtown Company signs MoU with MCIT to build digital infrastructure
Updated 06 February 2023

PIF-owned Saudi Downtown Company signs MoU with MCIT to build digital infrastructure

PIF-owned Saudi Downtown Company signs MoU with MCIT to build digital infrastructure

RIYADH: The PIF-owned Saudi Downtown Company on Monday signed a memorandum of understanding with the Ministry of Communications and Information Technology to develop digital infrastructure and communication technologies.

The MoU was signed at the second edition of LEAP, a major international technology conference held annually in Saudi Arabia.

The Saudi Downtown Company aims to build and develop downtown areas and mixed-use destinations in 12 Saudi cities.

The 12 cities include Madinah, Alkhobar, Al-Ahsa, Buraidah, Najran, Jazan, Hail, Al-Baha, Arar, Taif, Dumat Al-Jandal, and Tabuk. The company will develop over 10 million sq. m of land across all projects, creating modern destinations drawn from Saudi Arabia’s diverse local culture and traditional architectural motifs, while using cutting-edge technology in every project.

The agreement was signed between Nayef bin Saleh Al-Hamdan, a member of the board of directors and acting CEO of Saudi Downtown Company, and Bassam bin Abdullah Al-Bassam, undersecretary of the Ministry of Communications and IT for communications and infrastructure.

Al-Hamdan said the deal aims to encourage investment in the digital infrastructure of the company’s projects.

With more than 700 speakers from 50 counties and 900 local and international companies in attendance at the Riyadh Front Center for Exhibitions and Conventions, this year’s edition of LEAP represents a huge economic advance in the Kingdom through many partnerships, deals, and investment tours.

 


Arab region making headway on climate change, says UN official

Arab region making headway on climate change, says UN official
Updated 35 min 4 sec ago

Arab region making headway on climate change, says UN official

Arab region making headway on climate change, says UN official

RIYADH: Events such as the IAEE Conference currently underway in the Saudi capital and COP27 held in Egypt and the upcoming COP28 in the UAE are important milestones for the region toward a successful transition to green energy transition.
This was underlined by Rola Dashti, executive secretary of the UN Economic and Social Commission for Western Asia while speaking at a session titled “Energy, Development and Climate Change” at the 44th IAEE International Conference in Riyadh on Monday.
“The Arab region is making significant headway toward climate change with two back-to-back COP conferences, the last one held in Egypt and next to be held in the UAE, and this IAEE conference will add more value to it,” she said.
Dashti praised Saudi Arabia for its green initiatives, measures for green energy transition, commitment to circular carbon economy, and scaling up the hydrogen energy program.
Echoing similar sentiments, Noura Alissa, a senior international policy analyst at the Saudi Energy Ministry, highlighted the importance of energy transition.
“Having a diverse energy mix is an important part of energy security,” she said.
Green hydrogen has a crucial role in the energy transition and the decarbonization of the economic sectors in the Arab region, said Sausan Al-Riyami, director of the Oman Hydrogen Center, German University of Technology in Oman.
“We should be ready in Oman and the Arab countries, and this could be done if we boost cooperation between all the stakeholders in the region,” she said.
Sarah Najm, assistant professor at King Saud University’s Department of Economics, noted that energy transition requires greater international cooperation.
Manjeet Kripalani, executive director at Gateway House, pointed out that India is a densely populated country with massive energy consumption. The situation is different from other countries facing energy transition challenges.
“The only country we can compare with is China,” she said.
She, however, added that China is taking a cautious approach to balancing its carbon-neutral commitment against the need for energy security, and India can follow the idea.
India is an energy-consuming country, and a large part of the energy produced locally is by coal, which is cheaper, she said.
Kripalani said there is a need to improve the efficiency of coal used to make the value chain more sustainable.
The session was moderated by Steven Griffiths, senior vice president for research and development, at Khalifa University.
 


Cigna Worldwide becomes 1st foreign health insurance firm to operate in Saudi Arabia

Cigna Worldwide becomes 1st foreign health insurance firm to operate in Saudi Arabia
Updated 06 February 2023

Cigna Worldwide becomes 1st foreign health insurance firm to operate in Saudi Arabia

Cigna Worldwide becomes 1st foreign health insurance firm to operate in Saudi Arabia

CAIRO: Cigna Worldwide Insurance Co. has become the first foreign health insurance company to start operations in the Kingdom following the issuance of a license by the Saudi Central Bank.

The permit aims to fulfill the objectives of the bank’s “Rules for Licensing and Supervision of Branches of Foreign Insurance and Reinsurance Companies in Saudi Arabia” initiative. 

It also comes as part of its role in supporting financial stability and contributing to economic growth aligned with Vision 2030’s objectives. 

The licensing falls under the strategy of the central bank, also known as SAMA, to encourage foreign direct investments to increase the sector’s competitiveness and utilize the Kingdom’s economic potential. 

“SAMA reaffirms its ongoing efforts to support the financial sector as a whole, raise the level of effectiveness and flexibility of financial transactions and encourage innovation in financial services,” stated SAMA’s website. 

Moreover, enabling new international entrants will enhance the quality of provided services, increase the diversification of investors and introduce unique business models to the market, according to the site.

 


Aramco announces deal with Zoom at LEAP 2023 

Aramco announces deal with Zoom at LEAP 2023 
Updated 06 February 2023

Aramco announces deal with Zoom at LEAP 2023 

Aramco announces deal with Zoom at LEAP 2023 

RIYADH: In line with the Kingdom’s aim to accelerate digital transformation, the Saudi Arabian Oil Co., also known as Saudi Aramco, announced a strategic partnership with Zoom and an increase in funding for Wa’ed Ventures on Feb. 6.  

The announcements were made at the second edition of LEAP, a major international technology conference held annually in Saudi Arabia. 

With more than 700 speakers from 50 counties and 900 local and international companies in attendance at the Riyadh Front Center for Exhibitions and Conventions, this year’s edition of LEAP represents a huge economic advance in the Kingdom through many partnerships, deals and investment tours.

The strategic partnership with Aramco aims to build Zoom’s first global data center in the Kingdom to support the digital transformation ecosystem.

It is expected to connect to the Zoom global data center network and will serve Saudi Arabia and the region.

The two companies will also explore the joint development of innovative technology solutions for the energy sector. 

The partnership aims to contribute to the digital transformation of various market sectors, such as energy, industry, education and healthcare. 

Aramco also announced that additional funds had been allocated by the company to Wa’ed Ventures, increasing the size of its Kingdom-focused venture capital arm from $200 million to $500 million.

The increase aims to enable the company to deliver an accelerated investment performance regionally and globally.

Wa’ed Ventures intends to localize global frontier technologies to advance the Kingdom’s innovation ecosystem; expand investments in mid and growth-stage startups; and fund underserved domains such as environmental, social and governance, the metaverse and quantum computing. 

Amin Nasser, Aramco’s president and CEO, said: “Our establishment of a diversified network of partners has helped us maintain a track record of reliability, and our new strategic partnership with Zoom is expected to further enable innovative solutions focusing on the digital transformation ecosystem.”

“Furthermore, with an expanded fund size, Wa’ed Ventures aims to facilitate the cross-pollination of innovation between the global and local markets,” he added.