Nama
Signs Agreement for Oman’s First Utility-Scale Solar, Battery Storage Project
Muscat,
22 Sep (ONA) — Nama Power and Water Procurement (PWP) has signed an agreement
for the development of the Sultanate of Oman’s first utility-scale solar and
battery storage project with the consortium of Abu Dhabi Future Energy Company
PJSC – Masdar, Al Khadra Partners, Korea Midland Power Co. Ltd (KOMIPO), and OQ
Alternative Energy (OQAE), with an investment of RO 115 million.
Masdar,
a global clean energy leader, will lead the consortium developing the Ibri III
Solar Independent Power Project, which combines a 500-megawatt (MW)
photovoltaic (PV) plant with a 100-megawatt-hour (MWh) battery energy storage
system (BESS). The scope of the project includes design, construction,
ownership, financing, operation and maintenance of the plant and storage
system.
The
signing ceremony of the power purchase agreement (PPA) for the project, was
held under the auspices of Eng. Salim Nasser Al Aufi, Minister of Energy and
Minerals.
Eng.
Salim Nasser Al Aufi, Minister of Energy and Minerals, said: “The signing
of the agreement for the Ibri III Solar Power Plant is a milestone in the
Sultanate of Oman’s transition towards renewable energy. This strategic
project, covering an area of nearly 10 million square meters with a generation
capacity of 500MW, and battery energy storage system (BESS) capacity of 100MWh,
embodies our commitment to achieving the objectives of Oman Vision 2040 and
reaching Net Zero by 2050.
“With an investment of around RO 115 million, the
project reflects the confidence of our partners and investors in Oman’s
business environment. The project will reduce carbon dioxide emissions by
approximately 505,000 tonnes annually, and contribute up to an additional 4
percent of renewable energy in the total electricity generation mix.
“The
signing of this agreement marks a significant achievement in renewable energy
from both technical and economic aspects. It also delivers an inspiring message
that the Sultanate of Oman is steadily advancing towards a sustainable future,
built on energy diversification, enhanced energy security, strengthened
economic competitiveness, and the consolidation of Oman’s position as a
regional hub for clean energy.”
Ahmed
Salim Al Abri, Chief Executive Officer at Nama Power and Water Procurement,
said: “At Nama Power and Water Procurement Company, we take great pride in
collaborating with our strategic local and international consortium partners on
the Ibri III Solar Power Project. This project not only reaffirms Nama Power
and Water Procurement’s commitment to the transition towards renewable energy
but also stands as a practical model of the Sultanate of Oman’s vision to
synergise efforts between the public and private sectors in bringing about a
qualitative transformation and state of art solution in the field of renewable
energy and storage systems.
It
forms part of the national endeavours to achieve a sustainable economic and
social future. Furthermore, Nama Power and Water Procurement attaches great
importance to In-Country Value (ICV) and the development of small and medium
enterprises, through its ICV programme and the allocation of a share of
contracted works to local companies, in order to ensure their economic growth,
create job opportunities in the local market, and reduce reliance on external
imports.”
Mohammed
Jameel Al Ramahi, Chief Executive Officer, Masdar, said: “This project will
help the Sultanate of Oman to address the energy needs of today, while helping
to create new jobs, drive socioeconomic growth and prepare for the growing
demands of tomorrow. Alongside our consortium partners, we look forward to
working closely with Nama Power and Water Procurement and the Government of
Oman in developing this project and delivering sustainable, secure energy to
the people of Oman.”
The
Ibri III project is a key element in Oman’s policy to diversify energy resources
to meet growing electricity demand, with Oman Vision 2040 including the
objective of generating 30 percent of electricity from renewables by 2030. Once
operational, Ibri III will produce enough electricity to power around 33,000
homes, while avoiding approximately 505,000 tonnes of carbon dioxide
annually.
Eng.
Abdullah Rashid Al Sawafi, PWP’s Chief Energy Transition Officer, said: “Nama
Power and Water Procurement is a national and regional pioneer in implementing
the concept of public–private partnership (PPP). Work strategies have been set
to ensure the provision of adequate electricity generation capacity to meet the
growing demand for power in the Sultanate of Oman. Over the past fifteen years,
the company has successfully developed 26 power generation and water
desalination plants, attracting foreign investments of no less than USD 11
billion. Over the next five years, the company aims to attract a further USD 5
billion in foreign investments. Renewable energy and storage technologies will
account for the largest share of these investments, as the company plans to add
renewable energy capacities of up to 9 gigawatts by 2030, representing around
60% of contracted capacities, to ensure the achievement of Oman Vision 2040’s
target of 30% generation of electricity from renewable sources.”
Ghalib
Al Maamari, Acting CEO of OQAE commented: “Today’s signing marks the beginning
of OQAE’s committed involvement in all renewable energy projects to be procured
for the national grid by Nama Power and Water Procurement Company. This
milestone reinforces OQAE’s role as the national champion for renewable energy,
strengthening energy security and maximizing the economic impact of Oman’s
energy transition.”
Sheikha
Hind Bahwan, Chairperson of Al Khadra Partners commented: “We are delighted to
be part of this transformative solar and battery energy storage system project.
Together with our valued partners Masdar, KOMIPO and OQAE our consortium is
united in a vision and commitment to deliver this groundbreaking project. This
project will reinforce Oman’s leadership in the energy transition and create
lasting environmental and economic value for the Sultanate of Oman and its
citizens.”
Lee
Young-jo, CEO of KOMIPO, said: “Korea Midland Power Co. Ltd is deeply honored
to participate in the Ibri III solar and BESS project, a landmark initiative
that reflects Oman’s commitment to expanding renewable energy. Building on our
proven expertise in both thermal and renewable power generation since 2001, we
will contribute to the successful delivery of this project by leveraging our
global development and operational capabilities across the United States,
Europe, and Asia. Through this, we will provide advanced technical know-how and
operational excellence. Together with our consortium partners, we are committed
to supporting the realization of Oman Vision 2040 and contributing to the
nation’s path toward sustainable growth.”
—Ends/AG
