Saudi Arabia's Oil Minister Ali al-Naimi said Thursday that investing in cleaner fossil fuels must be a priority, while his country aims to become a major player in renewable energy.
'Investment in cleaner fossil fuel technologies is essential and should be a priority,' he was quoted saying by the official news agency of his country, Saudi Press Agency (SPA).
'I also believe it is important to invest in renewable energy for the medium and longer term,' said the oil minister of the world's biggest crude oil producer and exporter.
Speaking at the Business and Climate Summit in Paris, al-Naimi said investing in cleaner and renewable energy is important in terms of energy efficiency and carbon capture utilization and storage.
He emphasized Saudi Arabia is taking initiatives to increase energy efficiency with new regulations for air conditioning, buildings and cars as the country tries to move from liquid fuel to gas.
During the summer, the country's electricity consumption peaks with increased usage of air conditioners. This seasonally lowers the kingdom's crude oil exports when demand for energy is at its highest in the year.
Stating that his country is adopting carbon capture, recovery, use and storage systems, al-Naimi said Saudi Arabia aims to become a global actor in solar and wind energy as well.
'I believe greater investment in research and development in the area of clean energy can drive progress,' he said, inviting other countries to partner with Saudi Arabia in those fields.
However, al-Naimi noted that fossil fuels will dominate the short and medium term energy mix, even beyond 2050.
- Energy efficiency plans
Saudi Arabia announced on April 9 that it aims to save 20 percent of its domestic energy consumption by 2030 through implementing energy efficiency.
The kingdom is the biggest consumer of petroleum in the Middle East, while most of its energy is used for transportation and generating power, according to the U.S.' Energy Information Administration, EIA.
The country's direct burn of crude oil generates most of its energy needs. Sixty percent of its total consumption is met through petroleum-based products while natural gas consumption generates the rest of the energy demand, the EIA says.
However, the country's state-run electricity company SEC is planning to trim direct crude oil burn for electricity generation by some 500,000 barrels a day, and aims to focus on natural gas and renewables to produce electricity in the near future.
The independent organization KACARE, King Abdullah City for Atomic and Renewable Energy, is responsible for developing renewable energy and atomic programs in Saudi Arabia.
Established by Royal order on April 2010, KACARE's energy program tries to meet a significant portion of the growing energy demand in the country. By 2032, it plans to have 50 percent of the total electricity generation derived from non-fossil fuels.
By Ovunc Kutlu
Anadolu Agency
ovunc.kutlu@aa.com.tr