This thesis studies the electrical power challenges of the Central Region, Saudi Arabia. This includes a look into the geography of Saudi Arabia, to assess the lack of traditional power sources such as coal and hydroelectric. Next, a comprehensive look into the nature of demand in Riyadh, which include the demand types, and comprehensive data about the peak demand and the times associated with it. A problem of very high peak demand that is unique to the region is identified. Then, a study into current electric generation methods to meet this demand, and the associated technologies and fuel costs. This thesis then goes on into discussing the current implemented solutions to reduce peak demand by the Saudi Electricity Company, and then a further discussion about possible further improvements to the system, which includes a study of renewable energy resources, which includes solar and wind. These proposed solutions were evaluated for cost and return on investment, with a particular interest into the price of crude oil