The regulations for renewable energy are influenced directly by legal frameworks. This study conducts a comparative analysis of the laws having the biggest impact, the authoritative legal instruments setting in place the otherwise straightforward kinds of rule necessary to make renewable energy investable, comprehensible, and thus realizable.
In Saudi Arabia, the legal system is singular and centralized and provides uniform rules and policies across the nation. This may sound favorable, and in many ways, it certainly is: The absence of rule and policy divergence fosters regulatory consistency, especially important for private sector actors wanting to make long-term investments. At the same time, though, such rule and policy uniformity comes at the cost of regional legislative flexibility and responsiveness. Conversely, Jordan has adopted a legal framework that is much more permissive of private sector participation.
This study looks at enforceability, legal coherence, and investor protection in key legal instruments across a selection of Middle Eastern countries. It zeros in on statutes, court decisions, and administrative rules that govern renewable energy. It’s quite possible for something to be legal but for the lack of enforcement to render it nonfunctional in practice. Or something might be legal but easily circumvented if there are large holes in the governing statutory scheme.
