the Kingdom’s Future Brought to you by Saudi Arabia remains fixated on pursuing a new economic vision focusing on diversification through 2030. During its construction, the power cables market became one of the enablers of this transformation. Subsequently, the upcoming infrastructure projects, the various renewable energy programs, the development of smart cities along with sophisticated power cable solutions is positively driving the value of investment in the power cable sector.

Key Drivers of Saudi Arabia Power Cables Market Growth

• Infrastructure Boom and Urban Expansion In the past few decades the investments in Saudi Arabian power sector have increased significantly. This is mainly driven by the Kingdom's new infrastructural undertakings such as the NEOM city, Qiddiya, the Red Sea Project along with other mega projects. The electrical power distribution for these new mega projects requires further enhanced electrical networks which results in growing industrial demand for power cables. Equally, unprecedented urban agglomeration in Riyadh along with Dammam puts additional strain on the demand and supply of services and subsequently increases the need for reliable power distribution networks.
• Renewable Energy Initiatives Renewable energy initiatives undertaken by the Saudi government solely focus on wind and solar energy. The National Renewable Energy Program intends to raise NREP capacity to about 58.7GW by the year 2030. This drastic level up for the country will give rise to extensive advanced industrial infrastructure, expansion of integrated service networks and power distribution regional planning across the state which will simultaneously require development of new advanced power cable solutions that further integrate energy plants into the national grid.
• Technological Developments and Smart Grids
• The implementation of smart grid technologies is revolutionizing the framework of power distribution systems. Smart grids utilize sophisticated information and control technologies for more effective electricity distribution and enhanced reliability of the grid. The modern grids contain power cables with smart sensors and monitoring systems which provide real-time data, enabling energy management and control.
• Support from Government alongside the Regulatory Framework
• The policies of the Saudi government, including their supportive paternalism, along with the regulatory framework provide great impetus to the Saudi market growth. These policies also include exemptions from taxation, subsidies, and simplified regulatory frameworks which directly drive foreign investments into the energy industry, power cables market included. These factors build beneficial conditions for market development, available to local investors as well as foreigners.

Market Trends and Segmentation

Voltage Segmentation

Saudi Arabia’s power cables market is segmented according to shard voltage levels: low, medium, and high. Out of all segments, the low voltage subdivision is anticipated to achieve greater CAGR during the projected period due to further progress in the construction industry. Defense applications such as sound and security systems, video surveillance, lighting, motors and automation, and fire alarms are powerful stimulants for this division.

Insights for Materials Used

Power cables made available on the market will continue to use copper as the main material because of its unrivaled ability to conduct electricity and withstand damage.

Telecommunications and construction industry demand is expected to drive the expansion of the copper segment of the value chain later at a robust CAGR.