Starah Wind Farm Saudi Arabia: A Powerful Next Step for Onshore Wind Investment

Interest in the starah wind farm saudi arabia theme is rising as Saudi Arabia continues to award and sign large renewable energy capacity through Saudi Power Procurement Company (SPPC). In one reported tender, Saudi Arabia awarded five renewables projects with a total estimated investment of $2.4 billion (about 9 billion Saudi riyals). That same award round covered one wind project and four solar projects, with a combined capacity of 4.5 GW. This deal flow matters for any major onshore wind investment discussion because it shows wind being contracted alongside utility-scale solar under the National Renewable Energy Program.

Wind contracting is already visible in the details. SPPC awarded the Dawadmi Wind IPP Plant in the province of Riyadh with a capacity of 1.5 GW. The winning bid came from a consortium comprising Korea Electric Power Corporation (KEPCO), Nesma Renewable Energy Company Ltd, and Etihad Water and Electricity Company. The reported levelized cost of electricity (LCOE) for the project was 1.33803 U.S. cents per kWh, described as a new world record for the lowest LCOE of wind power generation. This benchmark shapes expectations for future onshore wind pricing in Saudi Arabia.

What Recent PPA Signings Signal for New Wind Capacity

Beyond awards, SPPC has also been signing large power purchase agreements (PPAs). One report states that SPPC signed two wind PPAs totaling 3 GW, alongside five solar PPAs totaling 12 GW. The combined package was billed as the largest renewable energy capacity signed for in a single phase globally to date. These projects are scheduled to be operational across 2027 and 2028. For anyone tracking the starah wind farm saudi arabia topic, this supports the idea that wind is part of the near-term buildout calendar, not a distant plan.

Saudi Arabia has also been scaling renewables in aggregate, with solar dominating current totals. GlobalData estimates Saudi Arabia’s cumulative solar capacity increased from 4,665 MW at the end of 2024 to an estimated 12,465 MW by the end of last year. The same source places the country’s total renewables capacity at around 13 GW, describing solar as the dominant form of renewables. This context matters because grid build and dispatch practices shaped by high solar penetration will influence how future wind projects, including onshore investments, are integrated.

Looking ahead, a key constraint is not only project awards but also system readiness. Commentary cited in the same reporting highlights the need for major grid and flexibility investments, including faster interconnection, new transmission to resource areas, better forecasting, and grid codes for inverter-based resources. It also points to large-scale PV-plus-storage procurement to cover evening peaks and limit curtailment. Separately, Saudi Arabia expects its total tendered renewable energy generation capacity to reach 64 GW by the end of 2025. That pipeline sets the backdrop for how the market will evaluate the next major onshore wind investment story.

Industrial capacity is also being discussed alongside generation procurement, which can affect timelines and delivery. A separate initiative reported that Abunayyan Holding and Nextpower expect to invest around $88 million (about 330 million Saudi riyals) over the next two years to support a manufacturing facility and workforce development. The facility is under construction on a 42,000 square metre site, is expected to open in the second quarter of 2026, and is described as having manufacturing capacity of up to 12 gigawatts per year. The same report says it is expected to create as many as 2,000 jobs, including around 600 direct positions. While this is solar-focused, it signals broader momentum around local supply chains that will sit alongside wind investment decisions.