OETC Powers Ahead with Grid Expansion: What It Means for Sustainable Business Growth in Oman
MUSCAT: The Oman Electricity Transmission Company (OETC) concluded 2025 with significant operational, financial, and sustainability achievements, highlighting its vital contribution to national development and the realization of Oman Vision 2040.
Throughout the year, OETC made substantial progress on 35 strategic projects focused on expanding and enhancing the national electricity transmission network, with investments exceeding RO 250 million. Notable milestones include over 60 percent completion of the second phase of the Strategic Interconnection Project (Rabt), valued at approximately RO 295 million, and more than 90 percent completion of network expansion in Dhofar Governorate, at a cost of around RO 65 million.
One standout initiative was the Masirah Island connection project, Oman’s first of its kind, which surpassed 50 percent completion using advanced transmission technologies, supported by a total investment of RO 70 million. Additionally, OETC commissioned the Fault Current Limitation System on the 132 kV network to enhance system protection and reliability, and energized the main grid station serving the polysilicon plant in Suhar.
By the end of 2025, the number of grid stations had grown to 116 from just 29 in 2005, while transmission line length exceeded 10,400 kilometres. OETC also awarded nine new projects worth over RO 250 million during the year, facilitating the integration of three wind farms with a combined capacity of 1,220 MW and a 500 MW solar project. These initiatives are expected to contribute to annual carbon emission reductions exceeding 1.9 million tonnes.
Renewable energy accounted for 9.46 percent of the electricity supplied to the grid by the end of November 2025, generating more than 4.26 million MWh from major solar and wind projects such as Ibri, Manah 1 and 2, and the Dhofar Wind Farm. This marks a significant increase from just 0.71 percent in 2019.
Network reliability remained exceptionally high at 99.9999 percent, despite increasing demand. Peak load on the Main Interconnected System rose to 8,059 MW in 2025, compared to 2,495 MW in 2005. OETC also achieved over 67 million safe working hours without a lost-time injury.
On the financial front, OETC maintained strong credit ratings from Moody’s and Fitch, completed full repayment of $1 billion in bonds, launched its Green Financing Framework, and became the first Omani entity to issue Green Sukuk, raising $750 million. The company’s asset base expanded to RO 1.8 billion.
OETC continued to invest heavily in human capital, reaching a Omanisation rate of 97 percent, delivering over 8,300 training programmes, and awarding contracts worth more than RO 259 million to local companies. The year also saw the company receive multiple national awards for its ESG practices, smart technology, and clean energy leadership, further cementing its role as a key driver of Oman’s sustainable energy future.
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OETC’s robust investments and technological advancements in expanding Oman’s electricity transmission network—coupled with a rapid increase in renewable energy integration—signal significant growth opportunities for businesses aligned with sustainable energy and infrastructure development. Smart investors and entrepreneurs should consider the rising demand for clean energy solutions and the government’s commitment to Oman Vision 2040 as a springboard for innovation, while being mindful of the evolving regulatory landscape and competitive dynamics in the energy sector. This positions Oman as a strategic hub for green financing and cutting-edge energy projects, emphasizing the importance of ESG and local partnerships for long-term success.
