What impedes solar energy deployment? New evidence from power developers in the Arab Gulf states

The hydrocarbon-rich Gulf states are located in the heart of the global sunbelt which endows them with some of the highest solar resources in the world. Peak load hours in these countries also align well with daily and seasonal solar radiation levels. Nevertheless, actual deployment of renewable power, including solar, is among the lowest in the world. This article analyzes why solar power has seen some success in a few states, while in others there has been little momentum. To address the question, the authors undertake a qualitative, case-based inquiry into solar power development through data collected from interviews with solar power developers based in the Gulf. Our findings are two-fold. First, the quality of a regulatory regime (planning and enforcement) plays a significant role in explaining variations in solar deployment across the Gulf. Second, the most impactful pathways through which regulatory regimes affect solar power deployment include governance, competition among differently-sized developers, procurement, labor, and evenness within the same national jurisdiction. In so doing, the article offers policy-relevant implications for scaling up solar power sector in the Gulf and contributes to the wider literature on business-state relations in the region. • Interviews reveal pathways through which variations in regulatory regimes impact solar power deployment. • Utility-scale and distributed power developers share common but also possess distinct perspectives on solar power regulations. • Local content requirements should evolve and align with local capacities to support growth in solar power.