RIYADH — Saudi Minister of Energy Prince Abdulaziz bin Salman said that there is an urgent need to increase localization in the energy sector. "Saudi Arabia aims to localize 75 percent of the energy sector by 2030," he said while inaugurating the "Energy Localization Forum 2024" in Riyadh on Wednesday. The forum, with the theme of "Enabling localization for energy supplies," is organized by the Ministry of Energy in strategic partnership with Saudi Aramco, the Saudi Electricity Company, and SABIC. "Energy is a fundamental driver of our economic growth. The coronavirus pandemic prompted us to think about securing our supply chains, and emphasized to us the importance of localizing all sectors, including the energy sector," he said. Prince Abdulaziz said that Crown Prince Mohammed bin Salman tasked us with preparing a study to fill the gaps in the supply chains in the energy sector. "When we saw the end of the study, we realized the gap and the danger we face so that we can provide what is required of us to localize the sectors," he said while stressing that there is strategic importance to localizing supply chains. He said that the ministry has established a committee to accelerate the pace of localizing the energy sector in cooperation with 15 entities, to address the obstacles facing the localization of the energy sector, and we seek to localize raw materials to final products. The conference aims to enhance Saudi Arabia's global leadership in all energy markets and fields, and support its contribution to energy security and sustainability and its global supplies, as well as the sustainability of supply chains in order to meet global demand for energy. The forum sees the participation of several government officials, executive leaders from the Saudi and international private sector, a wide range of specialists and experts specifically in the energy sector, decision-makers, investors, and international partners. All this is in addition to holding interactive discussion panels, dialogue sessions, and various workshops. A number of agreements, memoranda of understanding, and partnerships were signed on the sidelines of the forum. It is noteworthy that the energy sector localization programs contribute significantly and effectively to supporting and developing the capabilities of the national value chain, by encouraging local content, creating high-value job opportunities in advanced sectors of the energy industry, localizing equipment, procurement, services, and developing engineering works, as localization programs and initiatives include implementation work related to oil and gas, utilities, electricity, renewable energy, petrochemicals, hydrogen, carbon management, and maritime sectors.
