Jeffrey Clark, President – Advanced Power Alliance
In Saudi Arabia’s Tabuk Province, along the Red Sea coast, a project of unprecedented scale is taking shape that could redefine the trajectory of the global energy economy. The NEOM Green Hydrogen Plant, a joint venture between NEOM, ACWA Power, and Air Products, is the largest green hydrogen project under construction anywhere in the world. With an $8.4 billion capital investment and $6.1 billion in non‑recourse financing secured from 23 international banks, this initiative is more than a showcase of engineering ambition. It is a decisive step by one of the world’s largest oil producers to position itself as a leader in the clean energy transition.
The Saudi vision of the future where they lead in advanced energy technologies should terrify Americans who are watching the Trump administration work diligently to take the US back to 1950 instead of positioning the nation to lead the energy economy of 2050.
The Saudi project’s construction progress underscores the seriousness of the undertaking. As of June 2025, the project was reported to be approximately 80 percent complete, with its solar and wind farms, transmission infrastructure, electrolysers, and storage systems advancing in parallel. Renewable generation is scheduled for completion by mid‑2026, with hydrogen production expected to begin by the end of 2026 and the first ammonia available for export in 2027.
Upon full commissioning, the facility will be powered by nearly four gigawatts of renewable energy—approximately 2.2 GW from vast solar arrays and 1.6 GW from a Wind Garden featuring more than 250 turbines. This renewable power will drive electrolysis to produce up to 600 tons of zero‑carbon hydrogen each day, which will then be converted into over 1.2 million tons of green ammonia annually for international export.
The implications of this project are profound. Saudi Arabia, a nation whose economy has long been defined by oil, is deliberately making itself a future supplier of carbon‑free fuels. This is not a symbolic gesture; it is a strategic pivot, and one that the United States should note. Hydrogen has emerged as a critical solution for sectors that are difficult or impossible to electrify directly, including heavy‑duty transport, maritime shipping, steel production, and aviation. Green ammonia, which can be safely transported across oceans, offers a viable mechanism for global hydrogen trade.
The NEOM project sends a clear message: resource‑rich countries are willing to invest heavily to dominate the markets of the future, and they laugh all the way to the bank when the world’s leading economy commits economic malpractice by enacting unforced errors like the failures enshrined in the “One Big Beautiful Bill.”
American politicians need to wake up to the economic and technological realities that lie ahead. The lessons are clear and urgent. The country remains a leader in oil and natural gas production and should continue to strengthen those industries. However, leadership in conventional energy alone will not be sufficient in an era when other nations are building the infrastructure, technology, and supply chains required for the next generation of clean fuels. Without comparable investments in renewable energy, hydrogen production, energy storage, and advanced manufacturing, the United States risks surrendering strategic ground to global competitors.
This is not simply a matter of environmental stewardship. It is a question of economic opportunity, technological preeminence, and geopolitical influence. Emerging industries such as green hydrogen, electrolyzer manufacturing, and grid‑scale energy storage are expected to generate trillions of dollars in global economic activity in the decades ahead. Nations that lead in these sectors will capture new export markets, shape the standards that govern international trade, and build domestic industries that provide high‑quality jobs.
The NEOM hydrogen plant represents a turning point. It demonstrates that the energy transition is no longer theoretical. It is being built, at scale, by nations willing to act decisively. If the United States intends to shape the future of energy rather than watch it unfold elsewhere, it must embrace the same sense of urgency and ambition. Investments in research, commercialization, and infrastructure must be treated as a matter of national competitiveness.
The choice is clear. The United States can continue to lead the world in oil and gas production while simultaneously emerging as the global leader in clean energy innovation. Or, it can fall behind as other nations seize the initiative. The NEOM hydrogen project is a reminder that the race for leadership in the 21st‑century energy economy has already begun and under its current policies America is forfeiting.