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Oman's first-ever waste-to-energy plant attracts environmentally conscious investors

WhatsApp Image 2023-08-30 at 13.13.17
WhatsApp Image 2023-08-30 at 13.13.17

MUSCAT: The first-ever Waste-to-Energy (WtE) plant planned in the Sultanate of Oman presents a significant opportunity to attract environmentally conscious investors. A top official at be'ah (Oman Environmental Services Holding Company) believes that this project aligns with global sustainability goals and will encourage the implementation of more green initiatives.

The official expressed optimism about the potential of the WtE plant to draw interest from international companies and banks that are increasingly focusing on sustainable projects. With a growing emphasis on resource conservation and the reduction of pollution and emissions, many organisations are actively seeking investments in environmentally friendly ventures.

Kumayl al Lawati, VP-Business Development at be’ah at an interview at Doha News stated, "Several international companies and banks are heading towards more sustainable projects which require conserving resources and focuses on reducing pollution and emissions. It is expected that the WtE would also attract green investment and encourage more green projects to see the light."

The WtE plant aims to support Oman Vision 2040 goals, which include diverting 80% of municipal solid waste (MSW) from landfills. The facility is designed to treat approximately 4,500 tonnes of MSW per day, producing an estimated electricity output of 130 to 150 megawatt hour.

By adopting WtE technology, Oman seeks to address the challenges posed by increasing waste generation while simultaneously generating renewable energy. The plant will convert waste materials into electricity through a highly efficient and environmentally friendly combustion process.

The establishment of the WtE plant is a significant step forward in Oman's efforts to achieve sustainable waste management practices. It will contribute to the reduction of greenhouse gas emissions and the conservation of valuable resources.

Moreover, the project's potential to attract environmentally conscious investors is a testament to the growing interest and commitment to sustainable development in the business community. Investors increasingly recognize the importance of supporting projects that align with environmental goals and contribute to a greener future.

be'ah, a part of Oman Investment Authority (OIA), has formed a partnership with Nama Power and Water Procurement Co (Nama PWP), the exclusive national purchaser of power and water, to execute the project. It will be structured as an Independent Power Project (IPP), but it will be developed, financed, and operated by the private sector through a long-term power purchase agreement.

Over a period of 35 years (equivalent to 1.3 million tonnes per year), the plant is projected to reduce carbon emissions from landfills by 50 million tonnes, which accounts for 30% of the current total carbon dioxide emissions produced by landfill operations.

Nama PWP, which is a component of Nama Group, recently announced its intention to initiate the competitive process in 2023, after facing challenges during the global economic downturn and the pandemic. The plant, expected to have a capacity ranging from 130 to 150 MW, will receive its source material from be'ah in the form of municipal waste collected from the Muscat and South Al Batinah governorates. The planned location for the plant is Barka in South Al Batinah, and is scheduled to begin commercial operations in 2028.

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