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As many as four new Solar IPPs for envisioned for implementation over the next six years: official
MUSCAT: In one of its biggest capacity procurements to date, Nama Power and Water Procurement Company (PWP) – the sole procurer of new power generation capacity – has announced plans for the development of a swathe of new Solar Independent Power Projects (IPPs) with a capacity aggregating around 4,500 megawatts (MW) and an estimated investment of $2.8 billion.
Taken together with parallel plans for the implementation of a raft of Wind IPPs and gas-based thermal power capacity as well, investments in the power sector are set to balloon to well over $5 billion over the next six years through to 2030, helping Oman achieve its goal of securing at least 30 per cent of total electricity consumption from renewables.
The announcement came during the Korea-Oman Renewable Energy Roundtable held on Thursday, December 12, 2024, under the auspices f Eng Salim bin Nasser al Aufi, Minister of Energy and Minerals. Also in attendance were Kiejoo Kim, Ambassador of the Republic of Korea to the Sultanate, and high-level executives from the Korea Trade Investment Promotion Agency (KOTRA), and a number of Korean energy corporations.
According to Eng Said al Abri, Nama PWP’s Acting Director for Project Development, as many as four new Solar IPPs for envisioned for implementation over the next six years.
The biggest by far is dubbed ‘Solar PV IPPs 2030’, representing one or more projects with a combined capacity of a groundbreaking 3 gigawatts (GW). A Request for Proposals (RfP) for this mega scheme, estimated to cost between $1 billion - $1.5 billion, is expected to be issued in Q1 2027, with commercial operation slated during Q1 2030.
This giant venture will be preceded by ‘Solar PV IPPs 2029’, centring on the development of a 1 GW capacity PV project. Slated to cost around $600 – 800 million, the project is planned to come online in Q1 2029.
While the locations of the 2029 and 2030 Solar IPPs are yet undecided, Sinaw in North Al Sharqiyah Governorate is tipped to host a 250 – 300 MW solar PV project worth around $200 – 250 million in investment. An RfP for the procurement process is likely to be issued in Q1 2025, with the project slated to be operational in Q2 2028.
Recently, PWP launched a competitive tender for the development of a 280 MW Solar IPP at Al Kamil in South Al Sharqiyah Governorate. Estimated to cost in the range of $200 – 250 million, this solar PV scheme is expected to be operational by Q1 2028.
Not included in the latest portfolio of new Solar IPPs is the Ibri III Solar PV project, the procurement of which is well underway. The mid-sized scheme, valued at around $380 – 400 million, is anticipated to launch in Q1 2027.
Also planned for implementation in conjunction with these Solar IPPs are five Wind IPPs with an aggregate capacity of around 1 GW. The projects, to be established in Jaalan Bani Bu Ali, Duqm, Mahoot, Harweel and Sadah, will be operational during 2027. Total investment in these projects is estimated at over $1.2 billion.
Moreover, to support grid stability as new renewable capacity is progressively brought into operation, PWP is also planning to procure around 2.4 GW of combined cycle gas turbine-based power generation. Much of this capacity, targeted for commercial launch during 2028-29, is likely to come up in Muscat Governorate. |
