Saudi Arabia Commits to Annual GHG Emission Cuts of 335 Million Tons by 2040

Kingdom Sets Ambitious Climate Target

Saudi Arabia has formally declared a new objective to reduce, avoid, and remove 335 million tons of carbon dioxide equivalent (CO2e) annually between 2030 and 2040. This significant commitment is based on a 2019 baseline and represents an escalation of the Kingdom's climate ambitions, as detailed in its most recent Nationally Determined Contribution (NDC) under the Paris Agreement. The previous target, set in 2021, aimed for an annual reduction of 278 million tons of CO2e by 2030.

The 2019 baseline for Saudi Arabia's greenhouse gas emissions was approximately 720,674 kilotons of CO2 equivalent.

Multi-pronged Strategy for Emission Reduction

To achieve this updated target, Saudi Arabia plans to implement a comprehensive strategy that combines both direct greenhouse gas reductions and non-GHG environmental metrics. Key initiatives include:

• Renewable Energy Expansion: The country has already integrated 12.3 gigawatts (GW) of renewable capacity into its national grid, with an additional 10.7 GW currently under construction and 34.5 GW in various stages of development. The broader Saudi Green Initiative (SGI) aims for renewables to constitute 50% of the energy mix by 2030.
• Large-scale Afforestation and Land Restoration: Efforts are underway for extensive afforestation, land restoration, and initiatives to combat desertification. The SGI targets the planting of 10 billion trees and the rehabilitation of 40 million hectares of degraded land.
• Advanced Carbon Management Technologies: The strategy emphasizes improving energy efficiency, managing methane emissions, and deploying technologies such as Carbon Capture, Utilization, and Storage (CCUS), 'clean hydrogen,' and 'lower carbon aviation fuel.' Saudi Arabia has set a goal to capture and store 44 million tonnes of CO2 annually by 2035.

Furthermore, Saudi Arabia is a signatory to the Global Methane Pledge, committing to a 30% reduction in global methane emissions over the next decade.

Economic Diversification and Climate Vulnerability

This climate plan is framed within a scenario of 'economic diversification with a robust contribution based on income from hydrocarbon and its derivatives' export revenues.' As the world's second-largest oil producer, Saudi Arabia is integrating its climate action with its core economic activities.

The Kingdom also acknowledges its susceptibility to the impacts of climate change, citing 'extremely high summer temperatures, very low annual rainfall, predominantly non-arable land, and a heavy reliance on deep confined groundwater resources,' with water scarcity identified as a pressing concern.

International Policy Stance

In its NDC, Saudi Arabia voiced criticism regarding certain climate-related trade measures, specifically the European Union's Carbon Border Adjustment Mechanism (CBAM) and the Corporate Sustainability Due Diligence Directive (CSDDD). The Kingdom argues that 'these unilateral trade measures distort investment signals and affect the competitiveness and continuity of mitigation activities.'

These targets align with Saudi Arabia's broader commitment to achieve net-zero emissions by 2060 through the Circular Carbon Economy approach, a goal announced by Crown Prince Mohammed bin Salman in 2021.