MUSCAT: Oman Electricity Transmission Company (OETC), the exclusive owner and operator of the electricity transmission network in Oman, has priced and issued the first green sukuk worth RO 288.5 million (USD 750 million) for five years. The issuance marks a milestone in sustainable financing and confirms commitment to Oman Vision 2040. The sukuk saw demand exceeding 2.8 times its subscription volume, reflecting investor confidence in OETC’s strategic role and credit strength, supported by Ba1 (stable) Moody’s and BB+ (stable) Fitch ratings and a strong sustainability record.
This issuance aligns with Oman Vision 2040 priorities: economic diversification, environmental sustainability, and low-carbon economy transition. It supports the national goal of 30% renewable energy production by 2030 and Oman’s carbon neutrality target by 2050. Proceeds will finance and refinance eligible green projects such as renewable energy interconnection, grid modernization, energy efficiency, and electrical transmission system improvements to integrate clean energy into the grid.
The transaction was executed through a banking alliance including Citi, JPMorgan, and Standard Chartered as joint global coordinators, with Abu Dhabi Commercial Bank, Bank ABC, Bank Muscat, Credit Agricole, Dubai Islamic Bank, Mashreq Bank, and Oman Investment Bank as lead managers and bookrunners.
Eng Hisham bin Abdullah Al Riyami, Acting CEO, stated the issuance is a significant milestone toward a sustainable and resilient electricity grid, highlighting strong investor confidence in OETC’s long-term strategy and Oman’s stable economic environment. — ONA
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