An award for the development of a portfolio of small-scale solar photovoltaic (PV) / diesel hybrid projects in remote areas of the Sultanate will be finalised by the third quarter of this year, according to the Rural Areas Electricity Company (Tanweer), which is overseeing the procurement of the scheme via a competitive tender.
Tanweer, a wholly-owned subsidiary of The Electricity Holding Company (Nama Group), is responsible to electricity generation (and water desalination), transmission, supply and distribution in areas that are not connected to the country’s main grids. These areas encompass the Governorates of Musandam, Al Wusta, parts of Al Dakhliyah and Al Sharqiyah and most of Dhofar.
As many as 14 international groups and their local partners are competing for the contract to develop the hybrid power projects in 11 different locations across Tanweer’s sprawling license. The selected bidder will implement all 11 small-scale ventures as one Independent Power Project (IPP) with Tanweer as the offtaker of electricity output under a 15-year Power Purchase Agreement.
“The financial bidder selection and evaluation are expected by Quarter 3 of 2020 (subject to approval of the Authority for Electricity Regulation (AER) Oman,” said Tanweer in its newly published 2019 Annual Report.
Competing for the prestigious award are: (1) EDF Renewables AS with Petroleum Development Oman and Alawi (2) Alfanar (3) Voltalia (4) Fotowatio Renewable Ventures with Aggreko (5) Total Solar with Altaaqa (6) Scatec Solar (7) Mainstream Renewable Power with Tesla and FG Wilson (8) Engie with Multitech (9) Mytilineos SA (10) Jinko Solar (11) Bahwan Renewable Energy with Canadian Solar (12) Wartsila with MB Holding and Arket International (13) Shell with Entertech, Enerwhere and HTC, and (14) NTPC Limited.
The successful developer will install a total of 37 megawatts-peak (MWp) of solar photovoltaic capacity at the 11 sites, in addition to 28 MW of battery energy storage capacity. Selected sites are: Madha (Musandam Governorate), Masrooq (Al Dhahirah), Al Khuwaimah and Masirah (Al Sharqiyah South), Al Hitam and Al Khadrah (Wusta), and Mittan, Al Mazyunah and Farshat Qatbeet (Dhofar).
The successful bidder will also be responsible for the financing, operation, maintenance and despatch of the complete hybrid system. The construction timeline for all 11 sites is 24 months, Tanweer added.