Business

Oman unveils RO 11.1 bn water investment plan

The scale of the investment underscores the national priority placed on resilient infrastructure to support economic diversification and sustainable urban growth.
 
The scale of the investment underscores the national priority placed on resilient infrastructure to support economic diversification and sustainable urban growth.

MUSCAT, DEC 15
Nama Water Services (NWS), the primary operator of water and wastewater services across the Sultanate of Oman (excluding Dhofar), has unveiled a colossal long-term investment strategy, committing an estimated RO 11.1 billion (approximately $28.8 billion) up to 2050 to secure the nation's water future. This comprehensive capital expenditure (CAPEX) programme is directly aligned with the ambitious goals of Oman Vision 2040 and is designed to manage the demands of a population projected to double over the next 25 years.
The Integrated Master Plan (IMP) aims to achieve near-universal water supply coverage and dramatically improve wastewater treatment capacity across the NWS service area, which already serves over 90% of Oman's current population. This was presented by Eng Abdulhakeem bin Amur al Dhuhli, Master Planning and Strategic Investments Manager at Nama Water, during the Water Majlis 2025 by Oman-German Friendship Association (OGFA) with Nama Water Services. The scale of the investment underscores the national priority placed on resilient infrastructure to support economic diversification and sustainable urban growth, treating all water resources fairly and equitably.
In the immediate future, NWS has earmarked a significant RO 666 million expenditure for its 2025-2027 CAPEX Programme. This three-year allocation provides a clear picture of the initial focus, with RO 453.3 million dedicated to water projects and RO 212.7 million committed to wastewater infrastructure. This initial wave of investment encompasses more than 225 projects combined, with over 113 projects focused on water supply and over 112 on wastewater treatment and network expansion.
The strategy is being implemented through a structured approach that assesses infrastructure needs against water demand and wastewater generation projections, ultimately guiding investment plans that include options for Public-Private Partnerships (PPP).
The near-term expansion will deliver a tangible boost to service levels for citizens and businesses. The 2025-2027 water programme is set to add over 8,000 km of new network length, significantly enhancing distribution and reaching underserved communities. Furthermore, the plan calls for the construction of 202 new reservoirs with a combined capacity exceeding 1.8 million cubic metres (Mm³) and 90 new pumping stations to ensure efficient water transport. This infrastructure drive is expected to connect over 162,000 new water customers. Concurrently, the wastewater programme will see the construction of 28 new Sewage Treatment Plants (STPs) of various scales, coupled with over 1,500 km of new network lines, serving more than 42,000 new wastewater customers in this period.
The Integrated Master Plan, extending to 2050, is explicitly designed to accommodate the exponential demographic shift, as Oman’s population is projected to reach approximately 9.2 million people. The total required CAPEX of RO 11.1 billion will fund a total of 410 projects. Notably, the largest portion of the long-term investment, RO 7.2 billion, is allocated to wastewater projects, highlighting a strategic intent to dramatically modernise and expand the sewage system.
The remaining funds are split between RO 2.0 billion for water projects and RO 1.8 billion for integrated water and wastewater initiatives. By 2050, the plan anticipates supporting 1.75 million water connections, a 30,000 km water distribution network, and a total wastewater service including 151 STPs and 30,000 km of sewage lines.
Crucially, the master plan is targeting world-class service coverage that meets and, in some cases, exceeds the benchmark set by Oman Vision 2040. The current water coverage rate of 72.5% is targeted to reach a near-total 96% by 2040. The ambition for wastewater coverage is even more transformative, aiming to increase from a reference level of 29.2% to 75% by 2040.
A key component of this sustainability drive is the efficient utilisation of Treated Effluent (TE), a vital non-conventional water resource. The plan targets a significant increase in TE utilisation, from a reference level of 50% to 71%. These projects will boost the country's capacity to produce water from Independent Water Producers (IWP) to 932 million cubic metres per year (Mm³/y) and ensure a massive 6.6 Mm³ of storage capacity by 2050.
By committing RO 11.1 billion, Nama Water Services is undertaking a generational project to not only address present-day water challenges but also to build the foundational infrastructure necessary for a prosperous, water-secure Oman in the second half of the century. The master plan represents a strategic pivot towards sustainable water management and asset performance improvement, positioning the Sultanate of Oman as a regional leader in integrated water solutions.