NEW SAUDI MEGAPROJECTS WILL COST US$25 BILLION & REQUIRE AN EXTRA 15GW OF POWER

$25 billion megaproject in Saudi Arabia will be the largest metro project in the world to be built in a single phase, says the Saudi government. The King Abdulaziz Project for Riyadh Public Transport will include six metro lines and 84 stations. It will be capable of transporting 1.7 million passengers a day in its initial operation phase, potentially rising to 3.6 million.

   In addition to the 176 kilometres (109 miles) of train lines with 190 train sets, the project's plans include 2,860 bus stops spanning 80 bus routes, populated by 842 buses. The new network will be connected to the King Khalid International Airport, King Abdullah Financial District, and downtown Riyadh, as well as several universities and the public transportation centre.  The organizers say all of the metro stations will be airconditioned and provide internet access, with select stations offering shops and car parking. The metro cars running on the lines will be fully automated and will incorporate the world's latest technologies. Reports indicate the Riyadh Metro is set to commence operations before the end of the year. An extra 15 GW of electricity is estimated to be required to power these new transport developments.

  The project comes as the Middle Eastern nation seeks to diversify its oil-reliant economy and branch out into other sectors, such as tourism and financial services. Construction is underway on the Jeddah Tower, set to be the world's tallest skyscraper upon completion – muscling out Dubai's Burj Khalifa, which currently claims that title. Also in the works is the $500 billion Neom megaproject, pitched by developers as the future of urban living.

   Projects like these are being paid for by major financial  initiatives. For example, in just this month alone Saudi Arabia’s Public Investment Fund (PIF) secured US$2 billion by issuing a mix of sukuk (Islamic bonds) and green bonds to finance its major projects.  PIF issued $1.5 billion in three-year sukuk and $500 million in green bonds maturing in October 2032, based on a bank document. This marks the fourth time this year that PIF has entered the global bond market.