Renewable Energy
Renewable Energy in Oman: Powering the Future with Sustainable Innovation
Oman’s Circular Economy is a cornerstone of Vision 2040, the nation’s blueprint for transforming into a diversified, sustainable, and innovation-driven economy. This sector prioritizes resource efficiency, waste reduction, and climate action by shifting from a linear “take-make-dispose” model to a closed-loop system where materials are reused, recycled, or repurposed
Renewable energy investments
10 bn
(USD) Since 2020
2024
Environmental Performance Index
54 th
Up from 149th in 2020
2024
Renewable Energy Contribution of electricity generation
10 %
-
in 2024
Renewable Energy Contribution of electricity generation
1 %
-
in 2020
Market Trends & Growth
Project Pipeline (2025–2030)
Solar
3 GW
under development, including the 500 MW Ibri II Solar Plant
Wind
1.2 GW
planned, starting with the 50 MW Dhofar Wind Farm
Unlocking Oman’s Potential
Opportunities and Projections
Oman’s renewable energy sector is a cornerstone of its economic diversification strategy, reducing reliance on hydrocarbons while capitalizing on world-class solar and wind resources.
Investment Opportunities
Utility-Scale Solar/Wind Projects
- Pre-approved sites in Manah and Dhofar with feasibility studies
Green Hydrogen
- Partnerships in Duqm and Al Wusta, supported by Hydrom (Oman’s hydrogen champion)
Carbon Capture (CCUS)
- $275 million allocated for projects in steel, cement, and oil sectors
Energy Storage & Grid Modernization
- Demand for battery storage and smart grid solutions
Waste-to-Energy
- First government-approved project with RFQ opportunities
Growth Projections
Market Growth -
Renewable energy capacity to grow at a 24.5% CAGR (2025–2030), reaching 30% of Oman’s energy mix by 2030
Green Hydrogen -
Production projected to hit 8 million tonnes by 2050, positioning Oman as a top global exporter
Renewable Energy -
Solar and wind capacity to reach 3,631 MW by 2030, up from 163 MW in 2025
Global Trends -
GCC renewable investments to exceed $200 billion by 2030, driven by regional decarbonization goals
Market Size in USD Trillion
Unlocking Oman’s Potential
Strategic Developments and Infrastructure
Major Projects
Ibri II Solar IPP (500 MW)
Dhofar Wind Farm (50 MW)
Hydrom’s Hydrogen Zones
Global Collaborations
International Renewable Energy Agency (IRENA)
EU-Oman Green Partnership
Reasons to Invest in Oman’s Renewable Energy
Strategic Positioning
Positioned at the crossroads of global trade routes, Oman offers excellent regional connectivity.
Innovation and Sustainability
Advancements in technology and eco-friendly practices create a market for growth.
Abundant Natural Resources
Boasting high solar insolation and favorable wind conditions, Oman is naturally endowed for renewable energy generation.
International Certifications
Oman’s renewable projects adhere to global quality and environmental standards, ensuring compliance and easing cross-border financing.
Government Support: Powering Renewable Energy Sector.
Customs exemption for: (Switzerland, Norway, Iceland) - States of America - GCC States Arab States - Singapore
Exemption from customs duties on importing factor equipment
Exemption from customs duties on importing raw materials for factories
Corporate Income tax of 15%
Benefiting from the membership of the Sultanate of Oman in the economic agreements
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