Key Sector Facts
In October 2022, Oman announced its 2050 net-zero emissions target.
In accordance with Oman Vision 2040 and the National Energy Strategy, Oman has embarked on a number of green energy projects with the goal of generating 30% of our electricity from renewables by 2030.
Renewable projects include the Harweel Wind Farm in Dhofar, 13 wind turbines developed by GE each with an electricity generation capacity of 3.8MW – the first large-scale wind farm in the GCC.
Two solar IPPs in Manah generating 500MW to 600MW and 11 nationwide small-scale solar PV-diesel hybrid projects are overseen by Tanweer.
A 500MW solar photovoltaic IPP at Ibri, Oman’s biggest solar PV project, opened in January 2022. At its peak, it is expected to generate enough electricity for 50,000 Omani homes, offsetting 340,000 MT of CO2 emissions a year.
The Asian Infrastructure Investment Bank (AIIB) loaned US$60 million of the US$400 million total amount, heralding AIIB’s first renewable energy financing in Oman and the region.
Energy generated from the US$94 million, 100MW PV solar project at Amin in Dhofar is enough to power 15,000 homes, reducing annual CO2 emissions by more than 204,000 MT – the equivalent of taking 23,000 cars off Oman’s roads.
Oman’s OQ Alternative Energy is to build a 250-MW to 500-MW green hydrogen project on the Special Economic Zone in Duqm. With construction scheduled to begin in 2028, the plant will be built in stages, reaching full capacity by 2038, powered by 25GW of wind and solar energy. The facility aims to produce 1.8 million tonnes of green hydrogen and up to 10 million tonnes of green ammonia a year.
Going forward, SMEs will participate in the entire clean technologies value chain, especially in equipment manufacturing, installation, civil works, retail and maintenance.