1-3 May 2017
Hall 5 I Oman Convention & Exhibition Centre Muscat, Oman
EXHIBITION HOURS: 10:00 a.m. – 7:00 p.m.

News

Fourth new water project in Dhofar under study in Oman

Anticipating a quantum jump in potable water demand in Dhofar Governorate, the Omani government is finalizing plans for the procurement of new seawater desalination capacity to satisfy the region’s burgeoning needs well beyond the 2022 horizon. Strong investment inflows into the commercial, hospitality, tourism and residential sectors are behind the robust eight per cent annual growth rate in peak water demand projected in the governorate. Furthermore, with the government planning to add outlying communities to the distribution network, new desalination capacity will need to be procured over and above capacity currently under tender. Towards this end, Oman Power and Water Procurement Company (OPWP) — the sole procurer of all new electricity and water capacity — has initiated a study for the procurement of a fourth new Independent Water Project (IWP) in Dhofar Governorate.

Referred to as ‘Salalah IV IWP’, the proposed scheme is expected to be sized at 100,000 cubic metres per day (equivalent to 22 million imperial gallons per day), the state-owned utility said in its newly released 7-Year Outlook Statement covering the 2016-2022 timeframe. “The required commercial operation date may be around 2021, which would imply that initial procurement stages would begin in 2016,” the procurer stated.

However, to meet demand growth nearer term, OPWP has already commenced the process for procurement of the Salalah III Independent Water Project (IWP), an award for which is anticipated in the fourth quarter of this year. Sized at 100,000 cubic metres per day, Salalah III IWP is proposed to come up adjacent to the Independent Water and Power Project (IWPP) developed by Sembcorp Salalah Power and Water Company near Taqah. A number of international developers are currently participating in the tender for the Salalah III scheme. The plant is expected to be brought into commercial operation in January 2019.

Sembcorp Salalah’s 68,190 m3/day capacity (15 MIGD) water plant is currently the only source of desalinated water supplying consumers in Dhofar Governorate. Supplemental demand is met by the governorate’s Directorate General of Water (DGW) which taps groundwater supplies up to a capacity of around 100,000-100,000 cubic metres/day.

However, given the general preference in the governorate for desalinated water over groundwater, the Directorate General has decided to limit groundwater pumping only to contingency periods. This is also in line with the government’s policy to limit groundwater pumping with a view to aiding aquifer replenishment.

While Salalah Wilayat — where much of Dhofar’s economic activity is concentrated — accounted for 87 per cent of total water consumption in 2015, the respective shares of Mirbat and Taqah wilayats are expected to grow over the next seven years, according to OPWP. Commenting on plans for the procurement of yet another water project to serve the governorate’s expanding water needs, the state-owned utility said: “OPWP and DGW have begun investigation of sites for the prospective Salalah IV IWP. The project is nominally specified with a capacity of 100,000 m3/d, subject to government approval. This capacity would meet DGW total demand requirements for several years beyond the forecast period, although the requirement will be studied further to assure that the timing aligns with commitments for network expansion. The commercial operation date is nominally specified as 2021; an earlier or later date may be accommodated subject to site selection and requirements for the DGW connection infrastructure.”

Source: Oman Daily Observer, 17 July 2016



PAEW implements 25km water network project for Duqm Port

Public Authority for Electricity and Water (PAEW) implements the project supplypotable water to the port of Duqm distribution network exceeding the length of 25 km. This projectis under the management of the Public Authority for Electricity and Water and jointly with DuqmSpecial Economic Zone Authority. Engineer Obaid bin Said Shukri (pictured right), projectsdirector at the Public Authority for Electricity and Water says a local company to implement theproject, which has been selected according to the criteria approved technical controls. Thecompany began work on the project in the beginning of the month of April 2015 and expected tofinish the project during the first quarter of next year 2017.

The project includes the creation station to strengthen the pumping capacity (105 litres/s)and set up stations to pump each with a capacity (30 litres/s) and the creation of tankcapacity (3,200 m3) and create another tank capacity (2400 m3), and increases the longerpipes used in the project ( 30 km) and the diameters and different types where this phasecovers an area of more than (25 km). Obaid Shukairi explained that this project comes asone of the important infrastructure that covers large areas of the port and responsive to therequirements of all the projects that have been completed or projects that are beingimplemented or planned projects in the near future projects.

Source: Oman Daily Observer, 15 June 2016



Plans unveiled for major water project in Muscat-Barka area

With the Sultanate’s demand for water growing at 6 per cent per annum, a proposal has been announced for building another major independent water project in Muscat governorate.

Oman Power and Water Procurement Company (OPWP), the country’s sole procurer of new electricity generation and water desalination capacity, on Sunday floated a tender seeking bids from consultancy firms to provide financial and commercial advisory services for tendering to build additional water desalination capacity, in the range of 225,000 to 325,000 cubic meters per day (50-72 million imperial gallons per day), to serve residents ofthe Muscat-Barka area in 2021.

“This procurement will be carried out using the current established procurement process and contract structure,” OPWP stated in its tender announcement. The tender documents are available from June 7 to 16, while the last date for submitting bids for commercial and financial advisory services is July 17. Also, in an attempt to enhance water supply contingencies in an effective manner, OPWP is considering procurement of barge-mounted desalination for temporary deployment along the coast, which is called ‘Rapid Deployment Seawater Desalination Facility.’Further, the agency is looking at the possibility of portable land-based plants for assuring a temporary supply of water, and a tender for an expression of interest was floated last week.

Meanwhile, Yaqoob bin Saif Al Kiyumi, the chief operating officer of OPWP, said in April that the proposed water project in Muscat seeks to meet the demand for potable water, which is growing at 6 per cent per annum.

Additionally, Oman plans to build two independent water projects in Duqm and Khasab,as well,to meet the growing demand for potable water in the interior regions. The early workon these projects has already been started, which is part of a series of small and large water projects planned in different parts of the country.

The proposed Duqm desalination project will have a capacity to produce 60,000 cubic meters of water per day and a request for a proposal will be issued this year. The project, which is planned within the special economic zone in Duqm, is expected to start operations in the fourth quarter of 2019, according to the annual report of the OPWP. Likewise, the Khasab independent water project, with an envisaged capacity of 16,000 cubic meters per day using reverse osmosis technology, is expected to begin operating during the fourth quarter of 2019.

Request for proposals to develop two other projects in Salalah and Sharqiya have already been floated, after completing a pre-qualification process. These two projects, which are expected to begin operating in 2019, will be awarded by the end of 2016.

Source: Times of Oman, 12 June 2016



German investors plan 1GW-capacity solar project in Oman

A group of investors from Germany is planning to build a mega solar power project with a generation capacity of one gigawatt (equivalent to 1,000 megawatt), a senior official from a Germany company told the Times of Oman.

“We are planning to build a one gigawatt (GW) solar power project in Duqm. As many as eight companies have joined hands with the main promoter to develop the project,” said Dr. Wais Ahmadudin, chief executive officer of Mittelpunkt Personal GmbH.

He said the Germany-based investment trusts will provide the required finance, technology, technically qualified professionals and training for local people to develop the project.

The Scholl Wais Beteiligungsgesellschaft mbH Investment Trust is the main promoter and the company will arrange investment from other investment trusts in Germany. Grune Planet Energie Ineternazional LLC is the local partner for developing the project. “Both the governments of Oman and Germany are interested.”

Dr. Ahmadudin said an expert team would submit a detailed project proposal to the Oman government during their next visit within three to four weeks. “It takes five years to complete the project, once the project proposal is approved by the Oman government. We are also looking for local investors.”

He added that the proposed solar project will need 1,000 people, mainly locals. Training will be given to Omani youth in different batches of 10 to 15 in Germany for one to three months. He also noted that the required investment for the renewable energy project is not yet estimated.

The solar panels required for the project will be mainly sourced from German manufacturers to maintain better quality. In fact, Oman has several competitive advantages for developing the entire value chain in solar industry, mainly due to the availability of sunlight and sand.

Oman’s Rural Areas Electricity Company (Raeco) plans to raise the contribution of renewable energy (especially solar energy) to total power generation to 25 per cent within the next five years.

Source: Oman Daily Observer, 23 April 2016



Water projects to be built in Duqm, Khasab

Oman Power and Water Procurement Company (OPWP), the Sultanate’s sole power and water off taker, has outlined plans for the procurement of a string of new Independent Water Projects (IWP) in a number of locations around the country. Modest-sized water desalination schemes are envisioned for implementation in Khasab in Musandam governorates and Duqm in Wusta governorates, while substantial projects are planned in the Sharqiyah and Dhofar governorates, the wholly government-owned utility said in a report of its assessment of electricity and water demand over the next seven years (2015-2021).

The report, titled ‘OPWP 7-Year Statement’, said: “OPWP is in consultation with the Public Authority for Electricity and Water (PAEW) to finalise plans for procurement of desalination capacity to serve Duqm and Musandam. The Duqm IWP is being considered for 2019 with capacity of up to 60,000 m3/d (13 million imperial gallons per day MIGD), depending on the extent to which industrial demands must be served. The Musandam IWP is being considered at Khasab with capacity of about 13,000 m3/d (3 MIGD).”

Significantly, the proposed water scheme in Khasab will the first Independent Water Project to be established in Musandam, a strategically important enclave located in the far north of the Sultanate. The governorate has, of late been attracting a lot of investment in new infrastructure, including a first-ever Independent Power Project (IPP), which will run on locally produced natural gas.

In Duqm, the site of a mega economic zone anchored by a port and dry dock, the proposed IWP will meet the potable water needs of a new township expected to accommodate around 100,000 people over the next 15 years. Within areas served by water grids, OPWP plans to procure a new IWP in Sharqiyah with a capacity of about 55,000 m3/d (12.1 MIGD) to be brought into service in 2019.

In Dhofar Governorate, where potable water demand continues to spiral at the rate of 8 per cent annually, OPWP plans to begin procurement of a new IWP with a capacity in the range of 80,000 – 100,000 m3/day (18-22 MIGD) to be brought into service in 2019. Peak water demand in the governorate is projected to increase from 88,000 m3/d in 2015 to 143,000 m3/d in 2021, according to OPWP.

Burgeoning national potable water demand means that new desalination capacity has to be procured by OPWP at regular intervals in different parts of the Sultanate. According to the procurer, water demand in the northern part of the country (covering the Interconnected Zone and Sharqiyah Zone) is projected to increase by 6 per cent annually, from 226 million m3 in 2015 to 328 million m3 in 2021.

The ‘Interconnected Zone’ includes the potable water demands of the governorates of Muscat, Al Batinah North, Al Batinah South, Buraimi, Al Dakhiliyah and Al Dhahirah which are served by PAEW, and the process water demand of the Sohar Industrial Port area which is served by Majis Industrial Services Company (MISC). The existing principal sources of desalinated water for this zone are Ghubrah Power and Desalination Plant, Barka I and Barka II Power and Desalination Plants, and Sohar I Power and Desalination Plant.

In the Interconnected Zone, peak water demand is projected to increase by as much as 540,000 m3/d (119 MIGD) by 2021. To meet this demand growth, OPWP has signed procurement contracts that will result in new desalination capacity being added at the following locations: (1) 57,000 m3/d (12.5 MIGD) at Barka I in Q3 2015; (2) addition of the Muscat City Desalination Plant, at Ghubrah, with capacity of 191,000 m3/d (42 MIGD) in Q3 2015; (3) addition of a new desalination plant at Qurayat at 200,000 m3/d (44 MIGD) in 2017; (4) addition of new desalination plants in 2018 at Barka with capacity 281,000 m3/d (62 MIGD) and at Sohar with capacity of 250,000 m3/d (55 MIGD).

Source: Oman Daily Observer, 6 April 2016

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