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Firms prepare wind IPP consultancy bids

31 March 2023

Consultancy companies are preparing to bid by 4 April for the financial and commercial consultancy role for Oman's first utility-scale wind independent power producer (IPP) project.

State offtaker Oman Power & Water Procurement Company (OPWP) is evaluating bids that were submitted last year for the technical and economic consultancy role for the project.

The consultancy package for the wind IPP projects consists of two stages. The initial stage entails undertaking feasibility studies, ­while the second stage covers the provision of technical consultancy services.

According to OPWP, the planned wind IPP projects align with Oman’s vision to diversify fuel sources for power generation.

MEED understands that bid evaluation is also under way for the financial consultancy package for the sultanate's third major solar IPP project, Ibri 3, which will have a design capacity of 500MW.

Earlier this month, OPWP awarded two separate contracts for the Manah 1 and 2 solar IPP projects in the sultanate.

A team comprising France's EDF and South Korea's Korea Western Power Company (Kowepo) won the first 500MW solar photovoltaic (PV) IPP contract while a team of Singapore's Sembcorp Industries (Sembcorp) and China-headquartered Jinko Power Technology won the second 500MW solar PV IPP contract.

The two 500MW solar plants are expected to be operational by 2025 and will be backed by a 20-year power purchase agreement (PPA) with OPWP.

Only renewables

In March last year, the sultanate’s electricity regulator said that Oman would no longer float any tenders other than for solar or wind power generation plants “at this time”.

“A decision has been taken that meeting any growth in electricity demand in the future is from renewable sources only,” said a local media report citing Authority for Public Services Regulation (APSR) chairman Mansoor al-Hinai.

“The future is all about renewables for Oman from this point forward,” Al-Hinai added.

Renewable energy, mainly derived from solar PV power plants, accounted for an estimated 6 per cent of Oman’s electricity production capacity as of last year, thanks to the completion of the 500MW Ibri 2 solar IPP. 

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Jennifer Aguinaldo

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