Saudi Arabia achieves highest evaluation level in UN’s Competition Law Systems Report

Saudi Arabia achieves highest evaluation level in UN’s Competition Law Systems Report
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Updated 12 May 2024
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Saudi Arabia achieves highest evaluation level in UN’s Competition Law Systems Report

Saudi Arabia achieves highest evaluation level in UN’s Competition Law Systems Report

RIYADH: Saudi Arabia has received global recognition from a UN commission for its robust legal framework and “very strong” competition law.

The Kingdom attained the highest evaluation level in the Competition Law Systems Report for 2023, issued by the UN Economic and Social Commission for Western Asia, surpassing the “developed” level achieved in 2020, according to the Saudi Press Agency.

The Competition Law Index measures the strictness of regulations and is categorized according to the maturity of eight key criteria. 

The Kingdom achieved a perfect score of seven in the index concerning regulatory frameworks for economic concentration operations.

Saad Al-Masoud, the spokesperson for the General Authority for Competition, affirmed that this advancement reflects the support GAC receives from the wise leadership to achieve the goals of Vision 2030 programs.

He added that these objectives aim to improve a sustainable business atmosphere, foster economic growth, and advance consumer welfare.

Al-Masoud further noted that this achievement is the result of significant developments in several areas, including laws combating monopolistic practices and anti-competitive agreements, as well as his authority’s efforts to review economic concentrations.

He also said that several additional factors have contributed to upholding the competitive landscape of the business sector, ensuring fairness, transparency, and adherence to reasonable competition regulations.

An initial competition system was established in Saudi Arabia in 2004, and in October 2017 the Kingdom’s Council of Ministers endorsed the change of the name to the GAC and a new organizational structure.

The authority was also made a financially and administratively independent entity, and in March 2019, another royal decree was issued approving the updated competition system.

Since its inception 20 years ago, GAC has imposed fines totaling nearly SR1 billion ($270 million) on around 252 companies found to be violating its regulations, according to a recent interview Al-Masoud conducted with Arab News. 

As a prominent regulatory body, it aims to safeguard the integrity of market mechanisms while fostering innovation and diversity in products and services.


IsDB, multilateral banks aim for $120bn in annual climate finance by 2030

IsDB, multilateral banks aim for $120bn in annual climate finance by 2030
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IsDB, multilateral banks aim for $120bn in annual climate finance by 2030

IsDB, multilateral banks aim for $120bn in annual climate finance by 2030

RIYADH: Multilateral development banks are aiming to mobilize $120 billion annually by 2030 for climate financing in low- and middle-income countries, according to recent projections.

This ambitious funding goal includes $42 billion dedicated to climate adaptation efforts, with an additional $65 billion expected to come from private sector investments.

The target was unveiled in a joint statement issued during COP29 in Baku, Azerbaijan, by several prominent MDBs, including the Islamic Development Bank, African Development Bank, the Asian Development Bank, the Asian Infrastructure Investment Bank, the Development Bank of the Council of Europe, the European Bank for Reconstruction and Development, and the European Investment Bank. Additionally, the Inter-American Development Bank, the New Development Bank, and the World Bank Group are part of the initiative.

The statement emphasized that setting a strong, collective climate finance target is crucial to meeting the goals of the Paris Agreement.

“A new collective quantitative target on climate finance that is both strong and ambitious is essential to achieving the Paris Agreement’s objectives,” the statement read. “We urge parties to reach a robust conclusion on this target.”

For high-income countries, the MDBs have set a target of $50 billion in annual climate finance, including $7 billion specifically for adaptation, with private sector mobilization expected to generate an additional $65 billion. This new target builds on the success of previous climate finance goals, with MDBs already surpassing their climate financing projections for 2025. Since 2019, the MDBs have increased direct climate finance by 25 percent and doubled climate mobilization efforts over the past year.

In response to the urgent need for enhanced climate action, the MDBs also emphasized the importance of establishing a new collective quantitative target for climate finance at COP29. The institutions highlighted their commitment to ensuring that the finance provided leads to meaningful, measurable impacts on both climate mitigation and adaptation.

To further enhance the effectiveness of climate finance, the MDBs released the “Common Approach to Measuring Climate Outcomes,” a framework that provides standardized indicators for tracking global progress on climate mitigation and adaptation. This framework aims to better align MDB activities with global climate goals and improve transparency in measuring outcomes.

Additionally, the MDBs published their “Country Climate Action Platforms,” reaffirming their commitment to strengthening collaboration between host countries, MDBs, donors, and the private sector. These platforms are designed to ensure that climate finance is targeted effectively and that developing countries have the support they need to implement robust climate policies.

COP29 has emerged as a critical moment in global climate negotiations, especially for the Global South, where developing nations are pushing for significant climate financing, stronger adaptation measures, and equitable policy outcomes. These countries continue to advocate for a climate finance framework based on the principle of common but differentiated responsibilities, recognizing that nations’ contributions should reflect their respective capabilities and historical responsibilities.


World’s largest green hydrogen plant on track for 2026 launch in Saudi Arabia, CEO says

World’s largest green hydrogen plant on track for 2026 launch in Saudi Arabia, CEO says
Updated 21 min 45 sec ago
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World’s largest green hydrogen plant on track for 2026 launch in Saudi Arabia, CEO says

World’s largest green hydrogen plant on track for 2026 launch in Saudi Arabia, CEO says

BAKU: The world’s largest green hydrogen plant, which is under construction in Saudi Arabia, is on-track to begin production in December 2026, the company’s CEO told Arab News.

NEOM Green Hydrogen Company is now 60 percent complete, according to CEO Wesam Al-Ghamdi.

Al-Ghamdi emphasized the ambition of the project, which he described as “being built at a scale no one has attempted before.”

The plant will rely entirely on solar and wind energy to power a 2.2 gigawatt electrolyzer, designed to produce hydrogen continuously, he said.

Green hydrogen, created through electrolysis powered by renewable energy, is seen as a critical component in reducing global carbon emissions, because it produces no greenhouse gases in the production process.

It has broad potential throughout industry, from heavy-duty transport to steel production, where conventional methods rely heavily on fossil fuels. As countries and companies face increasing pressure to decarbonize, green hydrogen is gaining traction as a viable alternative to fossil fuels, despite the challenges of cost and scale that currently limit widespread adoption.

In discussing NGHC’s competitive edge, Al-Ghamdi pointed to the cost advantages tied to NEOM’s renewable resources.

The plant’s reliance on Saudi Arabia’s abundant solar and wind energy reduces production expenses, which are crucial in making green hydrogen more commercially viable.

“We have the abundance of solar and wind, so we have that renewable power competitive advantage,” he said, explaining that the large-scale setup at NEOM allows for efficient production at a cost level that few projects can match globally.

Coupled with a 30-year offtake agreement in place with Air Products, NGHC has secured a pathway for its hydrogen output to reach international markets in ammonia form, making it easier to transport and distribute. This structure reflects a calculated move to meet projected demand from sectors such as heavy transport and industrial manufacturing.

Located within NEOM, NGHC’s project is strategically positioned in Saudi Arabia’s northwest Red Sea development zone, where consistent solar and wind resources provide a substantial cost advantage for energy production. The plant is part of Saudi Arabia’s broader Vision 2030 initiative, led by Crown Prince Mohammed bin Salman, which aims to reduce the Kingdom’s economic reliance on oil by expanding into new industries such as renewable energy, tourism, and technology.

Al-Ghamdi said that staffing the project is key to establishing Saudi expertise in the green energy sector. Currently, more than 60 percent of NGHC’s workforce is composed of Saudi citizens, a mix of experienced industry professionals and recent graduates.

Through partnerships with Saudi universities and special training initiatives, NGHC is working to fill the highly technical roles necessary to operate a facility of this scale.

“Our goal isn’t just to produce hydrogen but to build a foundation of expertise here in Saudi Arabia,” he said, adding that the project seeks to build a lasting skills base in the country.

NGHC has also developed a 10-year research and development partnership with Germany’s ThyssenKrupp to refine and optimize its electrolyzer technology.

The early installation of the project’s first electrolyzer, scheduled to go online ahead of the main facility launch, is expected to provide valuable insights into operational efficiencies.

By testing and optimizing the equipment well in advance of full-scale production, NGHC aims to streamline processes, reduce maintenance costs, and extend equipment life cycles as the plant moves toward its 2026 production target.

While global interest in hydrogen is accelerating, Al-Ghamdi sees NEOM’s project as especially well placed to capitalize on Saudi Arabia’s natural advantages.

“We have the scale, location, and the partnerships in place that give us a significant lead,” he said, describing NGHC as a potential model for Saudi Arabia’s broader push into renewable energy and a significant part of Vision 2030’s economic transformation goals.


IEA sees 2025 oil market in supply surplus

IEA sees 2025 oil market in supply surplus
Updated 58 min 16 sec ago
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IEA sees 2025 oil market in supply surplus

IEA sees 2025 oil market in supply surplus

LONDON: The world’s oil supply will exceed demand in 2025 even if OPEC+ cuts remain in place, the International Energy Agency said in its monthly oil market report on Thursday, as rising production outside the producer group is met by sluggish global demand growth.

“Our current balances suggest that even if the OPEC+ cuts remain in place, global supply exceeds demand by more than 1 million barrels per day next year,” the IEA said.

The Paris-based agency left its 2025 oil demand growth forecast little-changed on the month, expecting oil demand to rise by 990,000 bpd next year.

It meanwhile expects non-OPEC+ supply growth to rise by 1.5 million bpd next year, driven by higher output from the US, Canada, Guyana and Argentina.

In its own monthly oil report on Tuesday, OPEC cut its global oil demand growth forecast this year and next, its fourth consecutive monthly downward revision, on weakness in China, India and other regions.

Global demand growth below 1 million bpd this year follows close to 2 million bpd of growth in 2023, the IEA said.

“The sub-1 million bpd growth pace for both years reflects below-par global economic conditions with the post-pandemic release of pent-up demand now complete,” it said.

Waning Chinese demand continues to hit global oil demand growth, with 2024 annual oil demand growth set to reach just 140,000 bpd, the IEA said, a tenth of the 1.4 million bpd demand growth of 2023.

The rapid development of cleaner energy technologies is also increasingly displacing oil, the agency said in its November report. The IEA made a slight upward adjustment to its 2024 oil demand growth forecast, up by 60,000 bpd on the month to 920,000 bpd, on higher-than-expected gasoil demand in OECD countries in the third quarter.


COP29: UN Secretary-General calls for urgent collaboration to halt ‘catastrophic’ climate change

COP29: UN Secretary-General calls for urgent collaboration to halt ‘catastrophic’ climate change
Updated 14 November 2024
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COP29: UN Secretary-General calls for urgent collaboration to halt ‘catastrophic’ climate change

COP29: UN Secretary-General calls for urgent collaboration to halt ‘catastrophic’ climate change

RIYADH: UN Secretary-General Antonio Guterres emphasized the high stakes of climate inaction in a roundtable discussion held during the ongoing COP29 in Baku. 

At the High-Level Event on the stocktake of “Integrity Matters” at the gathering, global leaders convened to discuss the urgent need for climate action, reflecting on progress, challenges, and the role of non-state actors in achieving net-zero commitments. 

“We are racing the clock,” Guterres said, adding that with extreme weather events bringing “human tragedy and economic destruction worldwide,” the global goal of limiting temperature increases to 1.5 degrees Celsius is becoming progressively more challenging to reach.

Reflecting on the achievements so far, the secretary-general acknowledged the scale of efforts already made, saying: “We did a massive global effort to steer our world onto a pass-through safety, a pass to net zero by mid-century.” 

However, he underscored that these efforts will only bear fruit if supported by stronger collaboration across sectors. Guterres urged “businesses, financial institutions, cities, regions, and more” to align with national governments on climate action plans and make coordinated strides toward decarbonization. 

“We must make sure that governments facilitate the work of other actors in this regard, and not that they complicate the work of other actors in compliance with the 1.5 aligned future,” he said.

In a show of support for the gathered climate leaders and activists, Guterres said: “Time is racing, and you are on the right side of history, and I’m very glad to be here with you.” 

Yet he issued a reminder that while a low-carbon transition is inevitable, “doesn’t mean that it will come on time.” 

He stressed that if delays continue, the consequences for the planet could be catastrophic. 

Brazilian Vice President Geraldo Alckmin also addressed the assembly, outlining his country’s continued dedication to combating global warming through policies targeting deforestation and renewable energy. 

“Brazil has a commitment to fighting climate change,” Alckmin said, adding that in the past two years, the country had achieved a significant 45.7 percent reduction in deforestation rates. 

He detailed Brazil’s efforts to shift toward greener fuels, with 15 percent of the nation’s diesel now comprising biodiesel, a fuel derived from plant oils. Alckmin highlighted that Brazil’s ethanol usage in gasoline, which currently stands at 27 percent, is set to increase to 35 percent in the near future. 
 
Additionally, the South American country is aiming to position itself as a leading producer of sustainable aviation fuel, which could replace kerosene in the flight industry, as part of its broader commitment to green energy. “Brazil will be prepared to be a major producer of SAF ethanol,” he said.

Helena Vines Fiestas, chair of the EU Platform on Sustainable Finance, provided an update on climate policies among the G20 countries, highlighting a surge in policies geared toward supporting non-state actors in their net-zero transitions. 

“All G20 countries now have policies, or some form of policies, to support the transition of non-state actors to net zero further. The number of policies has tripled since 2020,” she reported. 

Fiestas emphasized that while considerable work remains, the international community has demonstrated that net-zero regulation is feasible. “Progress is clear,” she said. “Work lies ahead, but the leaders have demonstrated that regulating on net zero is doable.”

Executive Secretary of the UN Framework Convention on Climate Change Simon Stiell highlighted a new initiative aimed at strengthening transparency in environmental action. He announced that the UNFCCC’s Global Climate Action Portal is undergoing redevelopment to provide better accountability in tracking commitments. 

He shared that the portal would be relaunched shortly after COP29 concludes, and he emphasized the role of the entire global community in driving this agenda forward. 

Washington State Governor Jay Inslee addressed the concerns around recent political shifts in the US, asserting that state-level commitments to climate action would remain the same 

“I know there’s concern about the last election last Tuesday, but I want to make it really clear, if you take anything home from this meeting, this election will not stop, will not slow down, and will not retire the absolute commitment of states to lead this battle against climate change,” he affirmed. 

He added: “Donald Trump can do anything he wants, but he cannot stop me from committing to (tackling) climate change in my state.”

Catherine McKenna, chair of the UN High-Level Expert Group on Net-Zero Emissions Commitments of Non-State Actors, emphasized the urgency of high-integrity net-zero plans in her latest report, titled “Integrity Matters: The Hard Work is Now,” presented during the session. 

“The leaders highlighted in this review show that high-integrity net zero can be achieved. It’s no longer credible for companies, investors, cities, and regions to claim that moving faster on the climate crisis is too difficult or expensive,” McKenna said. She further urged a “much broader range” of stakeholders to establish comprehensive transition plans by 2025.

McKenna’s report, commissioned by Guterres, underscored that while voluntary net-zero pledges have risen, there remains a significant gap in alignment with rigorous standards, particularly in the phasing out of fossil fuels. 

“Voluntary efforts are not sufficient for the scale and pace of change we need to see,” McKenna said, advocating for stronger governmental regulations to ensure credible climate commitments and promote competitive investments. 

She added: “Every fraction of a degree matters, and every tonne of CO2 makes a difference. We must do the hard work now, or we will all face the consequences tomorrow.”

Guterres closed with a reminder of the significant obstacles that remain on the path toward net-zero goals. “We need not only to do the right thing, but we need to fight those that are trying not to allow us to do the right thing,” he said. 
 


COP29: Saudi Arabia signs major green energy pact with Central Asian nations

COP29: Saudi Arabia signs major green energy pact with Central Asian nations
Updated 14 November 2024
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COP29: Saudi Arabia signs major green energy pact with Central Asian nations

COP29: Saudi Arabia signs major green energy pact with Central Asian nations

RIYADH: Saudi Arabia has signed a joint executive program with Azerbaijan, Uzbekistan, and Kazakhstan to strengthen collaboration on renewable energy development and transmission. 

The deal was signed on the sidelines of the 29th UN Climate Summit in Baku by Saudi Energy Minister Prince Abdulaziz bin Salman and his counterparts from the three nations, according to a press statement. 

The initiative aims to foster a strategic partnership to assess regional power grid interconnection projects centered on renewable power.

Saudi Arabia, a leader in Middle Eastern clean energy, aims to meet 50 percent of its power needs from renewable sources by 2030.

“This signing is in implementation of bilateral memorandums of understanding previously signed between Saudi Arabia and Kazakhstan in the energy sector on Jun 12, 2023, as well as two energy cooperation agreements with Azerbaijan on May 24, 2023, and with the Republic of Uzbekistan on Aug. 17, 2022,” noted the Ministry of Energy.

The ministry highlighted that this partnership will enhance energy infrastructure efficiency and promote integration of renewable energy into the national grids of the partner nations.

The program will also explore joint investment opportunities, laying groundwork for regional grid interconnection projects to support renewable electricity generation and storage. 

Azerbaijan President Ilham Aliyev talking with Saudi Energy Minister Prince Abdulaziz bin Salman. Saudi Ministry of Energy

ACWA Power, a major Saudi utility company, will oversee these renewable energy projects in Azerbaijan, Uzbekistan, and Kazakhstan. 

“The signatory parties also agreed to adopt a mechanism for exchanging information and expertise, which includes knowledge-sharing among experts and specialists, organizing specialized conferences and seminars, as well as holding joint working sessions to strengthen close cooperation among the countries,” the statement added. 

Also on the COP29 sidelines, ACWA Power signed agreements to bolster renewable initiatives, including a deal with Uzbekistan’s Ministry of Energy to develop battery energy storage systems with a capacity of up to 2 gigawatts per hour. This initiative is aimed at enhancing grid stability. 

Additionally, ACWA Power entered into a memorandum of understanding with Azerbaijani firm SOCAR and Masdar to develop up to 3.5 GW of offshore wind projects in the Caspian Sea — the first of its kind for Azerbaijan. 

Energy Minister Prince Abdulaziz bin Salman watches as Saudi Electricity Co. signs an MoU. Saudi Ministry of Energy

Another deal struck on the sidelines of the summit saw Saudi Electricity Co. sign an MoU with network operators in Azerbaijan, Kazakhstan, and Uzbekistan to develop regional interconnection projects. 

SEC also signed another MoU with AzerEnergy for cooperation in electricity transmission and integrating renewable energy sources into the power grid. 

During COP29, Saudi Arabia and Azerbaijan signed a comprehensive roadmap outlining a timeline and action plan for priority energy projects, facilitating cooperative efforts in various fields. 

“This roadmap aims to outline an action plan and establish a timeline for priority projects, facilitating procedures to achieve shared objectives,” said the Energy Ministry. 

It added: “The roadmap includes cooperation in several vital areas, such as renewable energy, carbon capture, utilization, and storage, clean hydrogen, energy efficiency, and enhancing the sustainability and resilience of supply chains, in addition to trade in refined and petrochemical products.”