On 24 October, Saudi Minister of Energy Prince Abdulaziz bin Salman highlighted the critical need for increasing localisation within the energy sector. Speaking at the inauguration of the "Energy Localisation Forum 2024" in Riyadh, he announced Saudi Arabia’s ambition to localise 75 percent of the energy sector by 2030.

The forum, held under the theme "Enabling Localisation for Energy Supplies," was organised by the Ministry of Energy, with strategic support from Saudi Aramco, the Saudi Electricity Company, and SABIC.

Prince Abdulaziz emphasised energy as a key economic growth driver, pointing out that the COVID-19 pandemic had revealed vulnerabilities in global supply chains and emphasised the necessity of strengthening local sectors. “The pandemic urged us to rethink supply chain security and underscored the need to localise all sectors, including energy,” he said.

He also disclosed that Crown Prince Mohammed bin Salman had directed the preparation of a comprehensive study to identify and address supply chain gaps in the energy sector. “The study’s findings unveiled the scale of these gaps and the dangers they present. It became evident that to meet our responsibilities, we must act decisively to localise our supply chains,” Prince Abdulaziz stressed.

The Energy Minister revealed that the Ministry has formed a specialised committee, in collaboration with 15 entities, to expedite localisation efforts and tackle challenges head-on. This initiative includes localising raw materials through to final products, ensuring the entire supply chain is anchored within Saudi Arabia.

The conference aims to cement Saudi Arabia’s leadership across global energy markets, bolster energy security and sustainability, and maintain robust energy supply chains to meet global demands.

The forum featured extensive participation from government officials, top executives from Saudi and international private sectors, energy experts, decision-makers, investors, and global partners. Attendees engaged in interactive discussion panels, dialogue sessions, and specialised workshops. Numerous agreements, memoranda of understanding, and strategic partnerships were signed on the sidelines of the event.

The energy sector’s localisation programmes are designed to strengthen the national value chain, fostering local content and generating high-value employment opportunities. These initiatives are set to advance the energy industry’s capabilities, covering everything from equipment manufacturing and procurement to engineering services. Additionally, the programmes extend across oil and gas, utilities, electricity, renewables, petrochemicals, hydrogen, carbon management, and maritime sectors, underpinning Saudi Arabia’s drive for comprehensive energy sector localisation.