The kingdom’s current energy strategy relies on a massive shift in power generation infrastructure. While peak summer demand for air conditioning drove oil-fired generation to 1.42 million barrels per day in June 2024, the government is aggressively pursuing the Jafurah unconventional gas field and a target of 130 GW of renewable capacity to curb domestic consumption. Although nuclear power will not reach full operational status by the 2030 deadline, long-term plans center on a proposed 2.8-GW plant at Duwaiheen, which could eventually displace roughly 105,000 barrels of oil daily.

A July 22 civil nuclear agreement with the United States provides the legal framework for U.S. firms to supply reactors, though the path forward remains complex. Critics point to the economic viability of nuclear versus solar, yet research from the King Abdullah Petroleum Studies and Research Center suggests nuclear provides a more cost-effective source of firm, low-carbon electricity at approximately $60/MWh. Despite the technical potential, political hurdles persist, including ongoing debates over the necessity of normalized diplomatic relations with Israel as a prerequisite for the deal's final approval in Washington.