Over the last few years, the electric energy demand in the Kingdom of Saudi Arabia (KSA) has increased many folds due to several factors including increased population, industrialization, economic activities, and urbanization. The main source of electric power generation in KSA is the burning of petroleum products. Almost one third of greenhouse gas (GHG) emissions are contributed from the electric power generation sector, mainly, by burning diesel and natural gas. As a result, it makes it necessary to consider alternate forms of electricity generation in order to cut down emissions and to keep sustainable growth alive. The government has planned to diversify energy sources and suppliers. In recent years, energy generation from renewable sources including solar photovoltaic (PV), wind, concentrated solar power (CSP), biomass, geothermal, and tidal, has been given more importance. The ambitious Saudi Vision 2030 targets of 58.7 GW of power generation from renewable energy sources will cause a significant reduction in GHG emissions from the energy sector. This article systematically reviews the impact of renewable energy generation on GHG emissions. The detailed breakdown of GHG emission is discussed. Then, the status of renewable energy generation is investigated, focusing on the technical and economic potentials. The correlation of renewable energy generation and GHG emissions is then explained. The most distinguishing feature of this review is that it provides a comprehensive list of recommendations to reduce GHG emissions. The discussions and recommendations of this article will support decision makers, system planners, industry personnel, researchers, and academics to develop sustainable energy pathways for the Kingdom.