Oman’s fossil fuel expertise could help drive clean energy transitions

Muscat: Oman has significant potential to channel its deep expertise in the production of fossil fuels towards clean energy projects that could accelerate the country’s efforts to lower its emissions and diversify its economy, according to a new report.

The International Energy Agency (IEA) launched the ‘Leveraging Fossil Fuel Capabilities for Clean Energy Transitions: Assessment of Opportunities in Oman’, report this week at its headquarters in Paris.

The report was prepared by IEA Chief Energy Economist Tim Gould and Oman’s Undersecretary for Energy and Minerals Mohsin Alhadhramy.

According to the report, Oman – a major producer of oil and gas – is well positioned to leverage its vast infrastructure and skills in this sector as it looks to foster other engines of economic growth and reach net zero emissions by 2050. Oil and gas today represent around 60 percent of Oman’s export income, and domestic natural gas accounts for over 95 percent of the country’s electricity generation.

The report finds that many parts of the country’s hydrocarbon supply chains could be redirected towards domestic clean energy industries and new clean energy partnerships, including for low-emissions fuels such as hydrogen.

Its unique analysis is based on surveys of 16 stakeholders in Oman, ranging from international oil and gas majors to local operators and service providers. Earlier this year, the IEA published a report that looked at how Oman could become a competitive low-emissions hydrogen supplier by 2030.

“By using its deep existing expertise to bolster clean energy initiatives, Oman could become a leading example for many other producer economies,” said IEA Chief Energy Economist Tim Gould.

“We would like to thank the IEA for the valuable insights in this report,” said Oman’s Undersecretary for Energy and Minerals Mohsin Alhadhramy. “As Oman continues its journey to net zero emissions, it is critical that we understand the ways in which our oil and gas infrastructure and skills can open new doors. This analysis and its guidance is a crucial input as we map out our transition to an energy system that is both secure and sustainable,” he further added.