Oman plans spot market for electricity by 2020

27 October 2014

Move will assist with capacity trading within GCC

Oman is planning to implement a spot market for electricity pricing by 2020, MEED’s Oman Projects 2014 conference was told.

Speaking at the event on 27 October, Ahmed al-Jahdhami, CEO of Oman Power & Water Procurement Company (OPWP), said the utility is currently working on plans to introduce a spot market for power, with a 2020 target date set for implementation.

“We are planning for it to be fully operational by 2020, but will have it ready by 2017 for some sort of trial,” he said.

Al-Jahdhami said OPWP would remain the single offtaker for electricity and would take on an additional role as market operator. He added that the spot market was being designed in such a way that further market liberalisation would be enabled “as and when it was considered to be the right time” by the government and regulators.

Al-Jahdhami said the spot market would assist in the trading of energy and capacity within the GCC, with the government having given approval for the sultanate to officially join the GCC Interconnection Authority (GCCIA).

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