Oman energy report

• The electricity supply will move from a PPA-model to a spot market in 2021.
• The country aims to reach 30% of renewables in power generation by 2030.
• Private companies account for around 90% of the production. The transmission company was partially privatised in 2019.
• Petroleum Development Oman accounts for around 60% of oil production.
• The country exports 35% of its gas production as LNG.
• Power generation growth has dropped from 9%/year between 2009 and 2016 to 3%/year since then. It is almost entirely from gas.
• The price of oil products almost doubled between 2015 and 2019, following their liberalisation.
• The country has a very high energy consumption per capita due to the existence of energy-intensive industrial production. Natural gas supplies 88% of the energy mix.
• Oman wants to develop gas production to face oil depletion.
• A capacity of 3 GW of renewables is planned for 2025.

• Institutions & Energy Policy

  The Ministry of Energy and Minerals (MEM - formerly Ministry of Oil and Gas)manages the hydrocarbons sector.

  The Ministry of Housing, Electricity & Water (MHEW) is responsible for the planning and management of the electricity sector.

• Energy Supply

  Oil:

  Oil production has remained stable since 2015 (48 Mt in 2019), after a rapid increase from 2009 to 2015 (4.4%/year). This increase resulted from enhanced oil recovery techniques and the development of new fields, in particular the commissioning of the Western Bukha field and the Makhaizna field.

• Energy Prices

  Electricity:

  In the context of low crude oil prices, falling export revenues and a soaring budget deficit, the government introduced a subsidy cut for large industrial, commercial and government users in 2017; it also implemented new tariffs that reflect actual supply costs and vary according to peak hours and season. This new model could enable up to US$ 260m per year savings for the government.

• Energy Consumption

  Total consumption of energy per capita amounts to 5.1 toe (2019), i.e. three times higher than the global average. Per capita electricity consumption reached 6.7 MWh in 2019.

  Graph: CONSUMPTION TRENDS BY ENERGY SOURCE (Mtoe)

  

• Issues & Prospects

  Gas:

  The political objective of reducing the country's dependence on oil, as well as the forecasts regarding the depletion of the reserves in the next twenty years, have led the Sultanate to focus on the development of gas.

• GENERAL OVERVIEW
• INSTITUTIONS AND ENERGY POLICY
• ENERGY SUPPLY
• ENERGY PRICES
• ENERGY CONSUMPTION
• ISSUES AND PROSPECTS
• DATA TABLES
• ABBREVIATIONS
• GLOSSARY

Download the Table of Contents

Below is a list of the Oman energy market report graphs:

• GRAPH 1: CO₂-energy emissions (MtCO₂)
• GRAPH 2: Installed electric capacity by source (2019, %)
• GRAPH 3: Gross power production by source (TWh)
• GRAPH 4: Power generation by source (2019, %)
• GRAPH 5: Gasoline & diesel prices (US$/l)
• GRAPH 6: Consumption trends by energy source (Mtoe)
• GRAPH 7: Total consumption market share by energy (2019, %)
• GRAPH 8: Final consumption market share by sector (2019, %)

In the Oman energy market report you will find the following tables:

• Economic Indicators: Annual historical data including population, GDP growth, imports and exports, inflation rate, energy security and efficiency indicators, CO₂ emissions.
• Supply Indicators: Historical data including oil and gas reserves, electric and refining capacity, energy production, power production and external trade. All are detailed by energy source.
• Demand Indicators: Historical data including consumption per inhabitant, consumption trends, total consumption by energy source, final consumption by energy source and sector, and electricity consumption by sector.
• Energy Balances: Single table displaying the overall energy industry balance per annum, also graphically displayed by energy sub-segment.
• Infrastructure Projects: Covers power plant projects by energy, technology, status and operator.