Despite significant reforms and Saudi Vision 2030’s progress, Saudi nationals remain a minority in their own labor market, comprising less than 25% of the 14.45 million employed in 2023. This reliance on expatriate labor persists as Saudi Arabia diversifies its energy sector, particularly through the development of a clean hydrogen industry. The kingdom’s strategy emphasizes both renewable energy for domestic use and global exports, requiring foreign expertise and local skill development. Investments in education aim to build domestic capacities in green energy and engineering, aligning with Saudization policies. This chapter examines the growth of the hydrogen industry, trends in high-skilled migration, and educational reforms, highlighting the sector’s role in job creation for Saudi nationals. Despite offering new opportunities, the clean hydrogen industry will continue to depend on a mix of national talent and foreign labor, reflecting broader challenges in achieving labor market self-sufficiency.

 

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Mulligan, Cian
Energy Macro & Microeconomics
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