Long a pivotal player in the global energy and chemicals market, in recent years Saudi Arabia has emerged as a hotbed for the research and development of technologies that can help make contemporary life more energy efficient and environmentally sustainable.
Leading this charge, and spearheading the diversification of the Saudi economy, is one of the world’s largest chemicals companies – the Saudi Basic Industries Corporation, better known as SABIC.
In the last couple of years, SABIC and its partners have helped bring to market high-potential breakthroughs such as silver-coated glass which can cut air conditioning bills by 8% – a critical improvement in Saudi Arabia’s torrid desert climate.
To develop new applications and markets for advanced materials and specialty products, in 2016 SABIC teamed up with a select group of multinationals to launch the SABIC Home of Innovation.
Partners in the initiative are focused on four main areas: developing new building materials for the construction sector; enhancing fuel economy and safety in the automotive industry; increasing energy efficiency in the power and lighting sectors; and improving the sustainability and performance of a huge variety of consumer products, ranging from electronics and healthcare to home appliances and furnishings.
The main showcase of the Home of Innovation programme is a high-performance Demonstration House, a solar-powered building in Riyadh which is the first LEED-Platinum rated house in the Middle East.
Energy-efficient solutions from Home of Innovation partners, including intelligent water pumps from Grundfos and high-performance glass from Guardian Glass, help to reduce the energy consumption of the building by almost 40%.
Designed to generate more electricity than it consumes, the 800-square-metre house makes full use of environmentally responsible building materials and techniques such as lightweight construction panels made from glass-fibre reinforced compounds.
And as well as pushing the envelope of sustainable performance, SABIC’s Home of Innovation initiative is catalysing a new wave of investments in local downstream industries, providing Saudi Arabia with a starring role in this dramatic new chapter for global chemicals innovation.
Q&A with Dr. Khaled F. Al-Hajeri, senior manager, Home of Innovation
How has the Home of Innovation™ grown since it was established in 2016?
SABIC’s Home of Innovation™ (HoI) initiative combines marketing, innovation and technology to create demand and promote the development of downstream industry in line with the objectives of Saudi Vision 2030. It now has strategic partnerships with more than 35 global companies from 13 countries.
What do you think are the program’s main successes?
As the main mission of the HoI initiative is to create tangible demand in the downstream industry and localize technology, a major portion of our accomplishments was in creating business opportunities.
We have also succeeded in bridging the gap between HoI participants, including demand creators, specifiers, material experts and OEM manufacturers.
A recent example of a technical breakthrough is the notable energy savings we achieved by upgrading the exterior glass at our facility.
We accomplished this through our leadership level participant, Guardian Glass, and by utilizing our data acquisition system of over 10,000 data points.
How is the Home of Innovation growing demand and developing new markets for SABIC?
With our diverse range of stakeholders, the HoI connects decision makers and demand creators having common business interests. Along with SABIC’s Local Content and Business Development Unit, the HoI identifies strategic potential for developing the downstream value chain. The program, which was launched in 2016 with promising strategic markets such as building and construction, energy, consumer goods and transportation, has broadened its portfolio in 2020. It now incorporates all the 12 National Industrial Development and Logistics Program sectors in line with Saudi Arabia’s national industrial strategy.
What are the benefits to your partners of participating in Home of Innovation?
There are several benefits depending on the level of participation. They generally fall under business development that covers localization activities and resource accessibility, and marketing engagements that include, but not limited to, digital and traditional showcasing opportunities, media exposure through newsletters and websites, knowledge-transfer workshops, facility utilization, and participation in HoI events.
How does Home of Innovation contribute to Vision 2030 and to the growth of the Saudi downstream?
Among the main objectives of Vision 2030 are reducing dependency on oil and gas revenues, increasing SMEs’ contribution to the GDP, and decreasing unemployment. Both HoI and SABIC’s NUSANED™ local content program are contributing to the achievement of these objectives.
We are supporting the national industrial strategy, elevating SMEs and creating more jobs for Saudi youth, including both men and women
