Saudi Arabia Waste to Energy Market

Market Overview:

Saudi Arabia waste to energy market size reached USD 417.6 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 664.2 Million by 2033, exhibiting a growth rate (CAGR) of 4.75% during 2025-2033​. The increasing advances in waste to energy technologies, such as improved incineration processes, gasification, and anaerobic digestion, which have increased the efficiency of energy conversion, are driving the market.

Waste to energy (WTE) is a process that converts non-recyclable waste materials into usable forms of energy, typically electricity or heat. This method helps address the dual challenges of waste disposal and energy generation. In WTE facilities, various technologies such as incineration, gasification, and anaerobic digestion are employed to extract energy from municipal solid waste, industrial waste, or agricultural residues. During combustion or other processes, heat is generated, which is then used to produce steam that drives turbines connected to generators, ultimately generating electricity. WTE not only reduces the volume of waste destined for landfills but also contributes to a more sustainable energy mix by harnessing the calorific value of waste materials. Despite environmental concerns related to emissions, modern WTE technologies incorporate advanced pollution control measures to minimize their environmental impact, making them a potential component of integrated waste management strategies.

Saudi Arabia Waste to Energy Market Trends:

Growing Demand for Sustainable Energy Solutions

Saudi Arabia, as well is going under an extreme shift with sustainable energy solutions in light of the aspirations towards Vision 2030. The country has been motivated to reduce its reliance on oil, and it increases investment in diversifying its energy mix. The use of WTE technologies are one such move towards waste management while generating renewable energy. The growing population and rapid urbanization are leading to significant increases in waste generation. Authorities are continuously exploring innovative ways to manage waste more effectively. WTE technologies are being seen as an effective solution to address these challenges, converting municipal solid waste into electricity and heat. The increasing need for cleaner energy sources, especially in industrial and residential sectors, is pushing forward investments into WTE plants and research. Moreover, Saudi Arabia’s drive to reduce carbon emissions and meet international environmental commitments is leading to greater government support for WTE projects, including incentives, subsidies, and regulatory frameworks that inspire private sector participation. In 2025, following fifty years as the leading oil exporter globally, Saudi Arabia is channeling its oil revenue to establish itself as a significant contributor to the worldwide clean energy shift, aiming to profit from the demand for essential minerals/ The nation is estimated to possess $2.5 trillion in minerals such as lithium, rare earths, zinc, and copper, essential components for rechargeable batteries in electric vehicles (EVs), energy storage, and solar panels. It is allocating billions of dollars to invest in overseas transition minerals projects.

Government Policies and Investments in Waste Management

The Saudi government is consistently creating favorable policies and investing in the waste management sector. Some notable initiatives include the National Industrial Development and Logistics Program (NIDLP), with goals related to enhancing waste management and recycling facilities, thus opening up further potential for waste-to-energy projects. The government continually provides financial aid through public-private partnerships to support large-scale installations of waste-to-energy. These measures go side by side with increasing recycling plants and better waste sorting methods as a future vision to change the landscape of waste management operations. By investing in WTE technologies, Saudi Arabia is not only addressing waste disposal challenges but also enhancing its energy security. These investments are also aligned with the broader environmental goals of the country, enabling sustainable urbanization and economic growth. Furthermore, a nationwide regulatory push is encouraging the development of cleaner technologies, including energy recovery from waste, which is making WTE increasingly attractive to investors and entrepreneurs. In 2025, The Saudi Investment Recycling Company (SIRC), fully owned by the Public Investment Fund (PIF), has entered into a memorandum of understanding (MoU) with EIG Management Company, LLC, which is based in the US. The MoU seeks to strengthen investment collaboration and broaden funding avenues for the development and operation of infrastructure projects associated with the circular economy and waste management in Saudi Arabia.

Increased Environmental Consciousness and Popular Support

There is growing public consciousness in Saudi Arabia regarding the environmental effects of waste and pollution, and there is a demand for more environmentally friendly practices by individuals, industry, and the government. With the implications of climate change clearly becoming more apparent, there is a growing demand to decrease landfill space, reduce waste dumping in natural environments, and reduce carbon emissions. The shift towards waste-to-energy technologies is being driven by both consumer demand for greener solutions and industrial innovation. WTE plants are not only helping to reduce harmful waste but also generating energy in a way that is perceived as environmentally responsible. Public support for such projects is growing, especially as they align with global trends toward circular economies and the promotion of green energy. In addition, educational campaigns and public outreach programs are educating citizens on the need for recycling and waste-to-energy systems. Moreover, people are becoming conscious of plastic waste and actively recycling plastic components. IMARC Group predicts that the Saudi Arabia plastic recycling market is expected to reach USD 826.59 Million by 2033.

Saudi Arabia Waste to Energy Market Growth Drivers:

Appreciation of New Waste-to-Energy Technologies

Improved technologies in waste-to-energy (WTE) processes have been contributing to making the process of turning waste into energy increasingly feasible and efficient. Saudi Arabia takes full advantage of these developments to enhance waste management systems by generating energy efficiently. The modern WTE, advanced thermal conversion methods, particularly gasification and pyrolysis, are becoming more efficient and cost-effective and therefore more attractive to large-scale projects. These technologies are being adapted to handle the large quantities of various types of waste, especially industrial and agricultural waste, which Saudi Arabia generates in such surplus. Because WTE systems are mature, they are producing higher electricity and heat with fewer emissions, contributing directly to the nation's sustainability goals regarding the environment. Innovations in waste sorting and pre-treatment techniques are further improving energy recovery efficiency processes.

Available Land and Investment in Infrastructure

Saudi Arabia is using land on a strategic basis for large-scale waste-to-energy projects. The nation has ample space in industrial areas, surrounding major cities, and on desert landscapes such that gigantic WTE plants may be constructed without the problem of land availability. This is especially desirable compared to densely populated areas, where space for such undertakings may be scarce. Government investments in infrastructures like transportation networks, electricity grids, and waste collection systems support these initiatives, thus making the management more efficient for WTE plants. The land also makes it easy to create integrated waste management systems that involve waste collection, sorting, recycling, and energy recovery in a central location. All of these are more optimized when a waste-to-energy project integrates economic and environmental benefits. The focus on infrastructure investment is part of Saudi Arabia’s broader efforts to create sustainable, smart cities that prioritize resource efficiency and waste reduction, making the country an attractive destination for domestic and international investors in the WTE sector.

Economic Diversification and Job Creation

Saudi Arabia is movimg away from what it traditionally relied on for the growth of oil revenues, and instead, it is entering other trades that include investments into renewable energy and waste management. Waste-to-energy projects are part of that diversification and contribute to the development of a green economy. Development of WTE infrastructure creates jobs in various sectors, from engineering to construction, operations, environmental management, among others. It is also generating employment in urban and rural areas, especially in technical fields relating to energy recovery and waste management, as the country expands its WTE capabilities. However, this growth is also promoting entrepreneurship and innovation in the space of environmental technology since local companies are increasingly becoming involved in providing solutions and services for waste-to-energy projects. This aligns with Vision 2030’s goal of reducing unemployment and fostering local talent in the renewable energy and sustainability industries. The positive impact on employment and economic growth is driving both public and private investments in WTE technologies, further propelling the market's expansion.

Saudi Arabia Waste to Energy Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for ​2025-2033​. Our report has categorized the market based on technology and waste type.

Technology Insights:

• Thermal
  • Incineration
  • Pyrolysis
  • Gasification
• Biochemical
• Others

The report has provided a detailed breakup and analysis of the market based on the technology. This includes thermal (incineration, pyrolysis, and gasification), biochemical, and others.

Waste Type Insights:

• Municipal Waste
• Process Waste
• Agriculture Waste
• Medical Waste
• Others

A detailed breakup and analysis of the market based on the waste type have also been provided in the report. This includes municipal waste, process waste, agriculture waste, medical waste, and others.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Waste to Energy Market News:

• September 2025: Hydrogen Utopia International PLC (HUI) has declared its growth into Saudi Arabia by designating Mr. Iman Ramani as its representative for the Gulf Cooperation Council. This action aligns with HUI’s strategy to leverage Saudi Arabia’s Vision 2030, which emphasizes the importance of clean energy advancement, as stated by company sources. HUI focuses on transforming non-recyclable mixed waste plastics into hydrogen, renewable heat, and carbon-neutral fuels. The business functions in areas with high private sector engagement and considerable government or EU backing, earning income from the sale of syngas, hydrogen, electricity, heat, and waste management services.
• September 2025: Veolia (Paris:VIE) declares the conclusion of a pact among the consortium of Veolia, Marafiq, and Lamar, in collaboration with SATORP (a partnership between Saudi Aramco and TotalEnergies Refining and Petrochemical Company) to carry out a significant initiative for recycling water from intricate industrial wastewater in Jubail Industrial City, the largest petrochemical center in the Middle East. In 2025, Veolia established a partnership with the Royal Commission for Jubail and Yanbu to create a sustainable industrial hazardous waste-to-energy plant in Jubail 2, boasting an incineration capacity of 121,000 tons annually, which enhances its overall industrial waste management capabilities in the area.
• March 2025: Saudi Investment Recycling Co. has inaugurated the first solid waste processing facility within Jeddah Islamic Port, representing an important advancement in sustainability and a circular economy. The facility will be managed by the subsidiary, Reviva, of the company owned by the Public Investment Fund to improve operational safety and efficiency, as stated in a release. The initiative supports Saudi Arabia's Vision 2030 objective of reaching net-zero emissions by 2060 and incorporating environmental, social, and governance principles into the economy.

Saudi Arabia Waste to Energy Market Report Coverage:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia waste to energy market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia waste to energy market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia waste to energy industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.