GCCIA evaluates Oman-UAE grid link bids
27 January 2025
The GCC Interconnection Authority (GCCIA) is understood to be evaluating bids that it has received for a contract to build a direct interconnection between Oman's national transmission network and the regional electricity grid.
MEED reported in May 2023 that design work was under way for Oman’s second GCCIA link.
Oman Electricity Transmission Company (OETC), in its five-year capability statement published last year, said the GCCIA has agreed to construct the project.
"The new link will enhance system reliability and resiliency by increasing the total transfer capability up to 1,600MW between the Oman and GCCIA networks," OETC said.
The new direct interconnection comprises a 528-kilometre (km), 400-kilovolt (kV) double circuit overhead line between the existing Ibri independent power producer (IPP) 400kV grid station in Oman and the 400kV grid station in Al-SIlaa in the UAE.
MEED understands that the project includes two intermediate substations: one near Madinat Zayed in the UAE and the other adjacent to the Ibri substation in Oman.
Local contractor Bahwan Engineering Company is understood to be among the firms that have submitted proposals for the contract, which is valued at an estimated $1bn.
OETC said the principal technical benefits of connecting Oman directly to the GCCIA grid include the integration of spinning reserve requirements and the optimisation of generation dispatch. It also encourages renewable energy development and reduces fuel gas or diesel use by power generation and generation capacity requirements.
OETC noted that power exchange between Oman and its existing interconnection to the GCCIA amounted to 93,029.56 megawatt-hours (MWh) of exports and 85,089.46MWh of imports in 2023.
Oman’s first link with the GCCIA became operational in November 2011.
It comprises a 200kV line connecting the Mahadha grid station in Al-Wasit in Oman to the Al-Oha grid station in Al-Ain, UAE.
It is the third known project that aims to improve or expand linkages with the GCC grid. Projects are under way for interconnection with Kuwait, as well as with Iraq.
The GCCIA Al-Fadhili high-voltage direct current converter station in Saudi Arabia is undergoing a major upgrade, which will enable the GCC states to exchange up to 1,800MW of electricity daily using the grid.
OETC manages the grid in northern Oman and Dhofar at voltages of 400kV, 220kV and 132kV. One of the major OETC capital expenditure programmes is the execution of the first phase of the 400kV North-South Interconnector project.
In December 2020, Nama awarded State Grid Corporation of China the contract for the privatisation of OETC. Nama divested 49% of its shares in OETC to State Grid, which raised $1bn in capital.
Photo credit: OETC
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Sultan Al-Jaber appeals for global energy security reset2 November 2026
The global energy industry must fundamentally rethink how it builds, protects and delivers secure energy, following a year of unprecedented disruption that has exposed critical vulnerabilities in international supply chains, Sultan Ahmed Al-Jaber, the UAE’s Industry & Advanced Technology Minister and managing director and group CEO of Abu Dhabi National Oil Company (Adnoc Group) has said.
Delivering the opening address at the Abu Dhabi International Petroleum Exhibition and Conference (Adipec) 2026 on 2 November, Al-Jaber said preparedness is essential to navigating an increasingly uncertain global landscape.
“For decades, energy security was a question for specialists. It was debated in rooms like this, by people like us, in a language that few needed to learn. This year, every family, every farmer, every industry and every business owner is asking about it, and our collective job is to find the answers.”
Noting that it is not possible to control every situation and remove every risk, Al-Jaber said: “The choices we make today will determine the energy landscape a decade from now. Let’s apply the lessons we have learnt. Let’s build capacity and everything that supports it. Let’s forge partnerships that hold when it matters. And if you want a partner you can count on, you are in the right room, in the right city, in the right country. Because when it counts the most, you can count on the UAE.”
Setting out the case for a more resilient energy system, Al-Jaber said that since the disruption in the Strait of Hormuz, nearly 1 billion barrels of crude have been drained from inventories. He noted that in some markets, stocks of diesel are at their lowest seasonal level in 35 years, while others are facing a supply gap for liquefied natural gas (LNG) of 600 billion cubic feet. “Simply put, the world has eroded its supply buffers,” Al-Jaber said.
“But supply is only half the story. The other half is delivery. Before the disruption, logistics were less than 5% of the cost of a barrel. Today, they are more than 30%. In short, energy security is not only measured at the point of production. It is now also measured at the point of delivery.”
Mitigation steps
Al-Jaber outlined five steps the energy industry can take to reduce the impact of future shocks. “First, accessible supply. We need expanded strategic storage, larger stockpiles of products and flexible refining capacity closer to consumer markets.
“Second, routes to market. Supply only counts when it arrives. Infrastructure must be built before it is needed and enabled by advanced logistics.
“Third, operational intelligence. Moving from automated operations to intelligent energy systems that anticipate risk, optimise performance and drive down the cost of every barrel.
“Fourth, capital follows confidence. Policy must create it, finance must accelerate it and insurance must keep trade moving.
“Fifth, which is in my view the most important, is people. Because behind every barrel that arrives is a person who made sure it did. Systems don’t carry responsibility, people do.”
Photo credit: Adipec via LinkedIn
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