Muscat: A Power Purchase Agreement (PPA) was signed on June 20 by Rural Areas Electricity Company 'Tanweer', a member of Nama Group, and the Centralised Utilities Company (Marafiq).
This PPA is for a new gas-based power generation facility at Duqm and is in line with Tanweer’s key strategic objective to reduce the cost of generation, in particular, diesel fuel consumption, and secure electricity capacity in the high growth area of Duqm.
The PPA will provide the Duqm area with a gas-based generation capacity until the OETC interlinking project is completed and Duqm is connected to the main 400kV grid. The project will be provided with a gas allocation by the Ministry of Energy & Minerals.
The PPA was signed by Ahmed bin Said Al Harthy, Tanweer CEO Acting, and Hamed Al Wehibi, General Manager – Business Development and Strategy on behalf of Marafiq.
Tanweer remains focused on extending its commitment to meeting high-growth demand through operational excellence and technological expertise, delivering power and desalinated water reliably and responsibly to customers in its concession areas.
It is worth mentioning, that Tanweer is the only vertically integrated company in the electricity sector in Oman with 5 licenses, namely, generation, transmission, distribution, customer supply and desalinated activities in its authorised areas in accordance with the license granted by the Authority for Public Services Regulation.