Green megacity Neom? Saudi “Apollo Mission” attracts German companies

Green Megacity Neom in the desert
Saudi “Apollo Mission” attracts German companies

By Andrea Sellmann and Mary Abdelaziz-Ditzow
11/05/2022, 06:50 am

For 500 billion US dollars, Saudi Arabia wants to build a green city for nine million people in the middle of the desert. An attractive project, also for German companies. An acceptable chance or simply an expensive fantasy of a murdering crown prince?

A huge, green city is to be built in the middle of the desert in Saudi Arabia. The first construction measures have begun: excavators and bulldozers have arrived, concrete is already being poured in some places, and the steel is already in place in other places. Planning teams with thousands of people are working on the megacity “Neom”. This is how Alexander Rieck describes it in the ntv podcast “Wirtschaft Welt & Weit”. He is actively involved in the development of the city as the director and founder of the international architectural office Lava.

The plans for north-west Saudi Arabia seem utopian: among other things, a building complex called “The Line” is to be built on a site about the size of Belgium. As if drawn with a ruler, the building is to extend over a length of 170 kilometers – only 200 meters wide, but 500 meters high as a skyscraper.

city ​​without cars

Nine million people are expected to live in the gigantic complex made of concrete and glass. Far more than a million people are expected by 2030 – without streets and cars, instead with pools, sports stadiums, short distances, public transport and a green lung made up of an infinite number of trees and green plants: Neom should be the first city in the world to be completely relies on renewable energies and no longer produces any CO2 emissions.

“Neom is something like an Apollo mission,” states Alexander Rieck – and compares the desert project in “Wirtschaft Welt & Weit” with the American moon mission. An unbelievable amount of energy and expertise would be drawn together to make it happen. For the Middle East researcher Sebastian Sons, too, the project has a signal effect: “Even if only ten or twenty percent of Neom are implemented, that’s still historic for Saudi Arabia.”

lucrative market

But does Crown Prince Mohammed bin Salman really want to declare war on climate change with Neom, or is this simply about greenwashing, as some experts claim? The construction sector is one of the dirtiest industries in the world. The production of steel and concrete in particular eats up vast amounts of natural resources and causes very high CO2 emissions. And the $500 billion that Saudi Arabia is guaranteeing for the financing comes primarily from the oil business.

Nevertheless, the kingdom is a lucrative sales market for the German economy. Saudi Arabia imports machines, vehicles, vehicle parts and chemical products – and soon also German know-how? “Saudi Arabia is interested in locating industries in Neom with an honest partner from German business,” explains architect Rieck, who was involved in the project. The kingdom wants to cooperate more closely with Germany.

The first German companies are convinced of the potential of the green utopia. Thyssenkrupp and Volocopter are already involved in the construction project in the desert, which is set to last for decades. And Chancellor Olaf Scholz also expressed interest in intensifying economic relations during his visit in September. Above all, to open up new energy partnerships apart from Saudi oil. A wish that is mutual: The country has understood that the oil wells will not flow forever, says Middle East researcher Sons. That is why Saudi Arabia is now primarily relying on solar energy and hydrogen.

Neom is not only interesting for German companies because solar energy should be available in the near future at a ridiculous price of one cent per kilowatt hour. The proximity to the Suez Canal also makes the location logistically interesting for Germany. Just like the fact that the centuries-old and strict Sharia law should no longer apply in the megacity of tomorrow, but rather laws that are more oriented towards western democracies.

Human rights in Saudi Arabia

German industry in Neom will probably not be confronted with 81 executions in one day, as happened in Saudi Arabia in March 2021. Nevertheless, the human rights perspective in particular remains a major risk for interested entrepreneurs. Crown Prince Mohammed bin Salman is going through with his vision of a climate-neutral megacity, against all odds. Bedouins in the desert region complain about evictions and arrests. There is even talk of the hushed-up murder of a critic.

It would not be the first incident of this kind: the government-critical journalist Jamal Khashoggi was murdered by Saudi security forces four years ago in the Saudi consulate general in Istanbul – according to information from US secret services on behalf of the crown prince.

A signal to the world

Middle East researcher Sebastian Sons believes that the crown prince wants to shake off exactly this image with Neom and we can just see his attempt to transform Saudi society on a large scale. Neom symbolizes a new Saudi Arabia. “There is a political calculation behind it,” Sons is certain. “Neom is meant to be a draft horse to legitimize and consolidate the ruler’s power.” And let it be a signal to the world to show what the kingdom is capable of.

By the way: The Asian Olympic Committee recently decided that the 2029 Asian Winter Games should take place in Neom. By then at the latest, part of Neom should be finished.