Oman’s electricity sector keeps pace with demand growth

MUSCAT, APRIL 5
Electricity and energy projects in the Sultanate of Oman continue to advance key strategic objectives, including energy self-sufficiency, sustainability, economic growth, and greater reliance on renewable sources.
Latest statistics from the Authority for Public Services Regulation (APSR) show that total electricity production rose by 14.6 percent by the end of January 2026, reaching 3,256.5 gigawatt-hours (GWh), compared to 2,841.5 GWh during the same period in 2025. Eng Alaa Hassan Mousa al Lawati, CEO of Nama Electricity Distribution Company, noted that the sector has seen significant progress, including the rollout of strategic generation projects and a shift toward renewable energy, which accounted for 9.46 percent of total production in 2025.
In the transmission segment, line lengths expanded by 40 percent, while the number of substations increased by 13 percent. Distribution indicators showed a 13 percent rise in network length and an 8 percent increase in substations. The supply segment also underwent a digital transformation in billing, rising from 90 percent in 2021 to full digitization in 2025, with electronic payments reaching 78 percent over the same period.
The sector has also adopted artificial intelligence and data analytics to enhance customer experience, enabling real-time consumption monitoring through smart meters. Additional initiatives include upgrades to call center services, expanded e-services, streamlined billing and payment processes, stronger integration with government platforms, implementation of load-shedding systems to improve network efficiency, enhanced customer satisfaction measurement, and upgrades to digital portals and applications.
Following recent adverse weather conditions in the Sultanate, authorities prioritized the resilience of electrical networks located in wadi beds. The Authority directed a comprehensive review and redesign of affected infrastructure to improve safety and reliability.
Eng Al Lawati stated that all lines located in wadi beds have been assessed and are now in the design phase, paving the way for reconstruction to higher technical standards. More than RO 30 million has been allocated for these upgrades, including relocating affected poles, reinforcing networks, and constructing new substations.
The rise in electricity production is also being driven by growing energy demand, particularly from industrial expansion. The Public Authority for Special Economic Zones and Free Zones reported that new investments in 2025 exceeded RO 1.4 billion, bringing total committed investments in its jurisdictions to RO 22.4 billion.
Eng Hilal bin Mohammed al Ghaithi, Director General of Energy at APSR, highlighted that rising electricity demand is being met alongside a strategic shift toward green hydrogen. Oman is positioning green hydrogen as a key future energy source to reduce reliance on gas, enhance sustainability, cut emissions, and diversify electricity generation in a reliable and cost-effective manner.
Oman has also inaugurated its first green hydrogen mobility station. In addition to hydrogen refueling, it provides fast charging for electric vehicles and conventional fueling options in one location. This initiative supports Oman Vision 2040 and the goal of achieving carbon neutrality by 2050 through the promotion of low-carbon mobility solutions.