Analysis of government incentives and the feasibility of investing in home solar energy projects in the Kingdom of Saudi Arabia

Abstract

The research addresses an important and vital issue related to the Kingdom of Saudi Arabia's journey towards achieving sustainability and reducing its dependence on oil as a primary source of energy. Thanks to its abundant solar energy resources, the Kingdom has a unique opportunity to exploit this energy as a renewable and sustainable source to meet household needs. From this perspective, the importance of studying the role of government incentives in supporting this transformation emerges, especially in light of the growing global shift towards renewable energy and the availability of home solar systems. The sample size reached 174 participants from different age and educational groups. The study's results revealed important insights into the factors influencing the adoption of home solar systems. Government incentives, such as tax exemptions, financial support, and targeted programs, play a pivotal role in reducing costs and accelerating recovery. Furthermore, the study highlighted the importance of raising public awareness of the economic and environmental benefits of these systems, which enhances their societal acceptance and integration into the residential sector. The study also focused on the main challenges hindering the spread of these systems, most notably: technical barriers, weak infrastructure for managing electricity surplus, and the need for comprehensive regulatory frameworks. The study's most important recommendations for decision-makers included enhancing financial incentives, providing innovative financing solutions, and implementing effective awareness campaigns. This would contribute to achieving economic and environmental sustainability by integrating renewable energy solutions into the residential sector.