
Author: Thamir Al Shehri
Key insights:
This KAPSARC Data Insight uses historical monthly load data and monthly crude oil use for
Saudi Arabia’s electricity sector. The data are gathered from multiple sources, including the Saudi
Electricity Company (SEC) and the Joint Organisations Data Initiative (JODI).
• Saudi Arabia’s buildings sector accounts for the largest share (76%) of the country’s total
electricity demand, with the industrial sector accounting for around 19%. Other sectors account
for the remaining 5%.
• Residential users account for around 50% of total electricity demand from buildings, followed
by commercial users (16%) and governmental ofces (11%). Air conditioning accounts for
around 60-70% of total household electricity consumption.
• Electricity demand from buildings grew by 6.7% per year on average between 2010 and
2017. This growth was largely driven by rising average temperatures, low energy prices, rapid
population growth, rising incomes, and more residential and commercial units to be cooled
during the summer.
• Crude oil has historically been used by the power sector to meet rising peak demand. However,
this strategy cannibalized lucrative export volumes. In the last three years, crude burn volumes
have fallen, partly due to the increasing use of natural gas in the power sector.
• The crude burn associated with peak summer electricity demand fell from a peak of 894,000
barrels of oil per day in July 2015 to 580,000 barrels of oil per day in July of 2018.
• Improvements in the energy efciency of air conditioners, home insulation and air leakage in
buildings could further reduce crude burn in the power sector.
• Moving forward, solar photovoltaic (PV) generation, solar thermal integrated air conditioning
and cold storage technologies could help further diversify the country’s fuel mix, shave peak
electricity load, reduce crude burn and lower the Kingdom’s carbon dioxide emissions.