MEE 2021: Middle East renewables still attractive for developers despite falling tariffs

Economies of scale and new technologies allowing companies to remain competitive in region's rapidly growing clean energy sector

The Middle East is still an attractive proposition for investors despite a sharp drop in the tariffs, says Rajit Nanda, chief portfolio manager and acting chief investment Officer from Saudi Arabia-based developer Acwa Power.

Taking part in a panel discussion at the Middle East Energy Online 2021 conference, Nanda cited favourable economic terms, the quality of pre-development work that is being done and the sheer economies of scale of the projects as being vital factors in the continued success of the sector. 

“[Low] prices are not in themselves a deterrent for attracting investment in the sector,” Mr Nanda said. 

Nanda cited ongoing technological advancements in areas such as the project supply chain as well as digitisation that is occuring in construction and operations that is helping to reduce costs.

“[Acwa Power] is using drone technologies and robotics across all of its operations and these are taking over the operations of [our] plants,” Nanda told delegates. 

Middle East Energy Online 2021 is being held virtually over a four-week period from 17 May to 9 June.