12 firms eye bids for Oman's gas power projects
The list includes global heavyweights such as ACWA Power, Marubeni Corporation, Reliance Power, Sembcorp Utilities, Samsung C&T Corporation, and Sumitomo Corporation. They are among 12 companies that had submitted Statements of Qualifications demonstrating their technical capabilities and financial wherewithal to develop the IPPs on a Build, Own and Operate (BOO) basis, Nama Power and Water Procurement Company (PWP) – the sole procurer of new capacity in Oman – announced on Sunday, March 30, 2025.
Sites at Misfah in Bausher Wilayat (Muscat Governorate) and Duqm in Al Wusta Governorate have been identified for the establishment of the two IPPs. Based on advanced thermal Combined Cycle Gas Turbine (CCGT) technology, the two projects will be the first such capacity to be developed in Oman for nearly a decade, when they come into operation during the 2028-29 timeframe.
Also in contention for the contracts at this stage of the competitive procurement process are: Korea Western Power Co Ltd, Nebras Power, Al Ghanim International, Etihad Water and Electricity Company, Shenzhen Energy Group, and Al Jomaih Energy & Water Co.
Nama PWP officials have stressed that new gas-based capacity is critical to addressing intermittency challenges as Oman presses ahead with its ambitious strategy to deploy renewable resources – chiefly solar and wind – to progressively decarbonize the power generation sector. The new IPPs will also help supplant older generation capacity which is not only less energy efficient, but also slated to fall out of contract in the coming years.
Ahmed bin Salim al Abri, Chief Executive Officer of PWP, outlined this imperative in an earlier statement to the Observer: 'This project will enhance grid stability in Oman by integrating advanced thermal power plants, ensuring reliable and sustainable energy through a balanced energy mix. It marks a significant step in the company's ongoing commitment to providing a sustainable energy future for Oman.'
In the next stage of the competitive process, a Request for Proposals (RfP) is expected to be issued to the prequalified participants before the end of Q2 2025, with an award likely before the end of this year. The new capacity is scheduled to be operational by Q2 2029 with early power provision by Q2 2028.
In parallel with the procurement of these gas-based schemes, Nama PWP has also unveiled plans for the procurement of a major portfolio of solar and wind based IPPs designed to lift the contribution of renewables to around 40 per cent of total generation capacity by around 2030. Investment inflows totalling around $5 billion are anticipated in this sector over this timeframe.
2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (Syndigate.info).
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