The local Nama Holdings is working with consultancies including the UK’s Maxwell Stamp and France’s Egis Group to restructure Oman’s water sector.

Studies on designing a new sector structure for water and wastewater are expected to be completed before the end of 2016.

The work also involves advising the Steering Committee for Water Sector Restructuring on the best structure for planning and delivery of water and wastewater infrastructure and services in Oman, as well as a plan for implementation.

Options include using public-private partnerships (PPPs) in water transmission, distribution, reservoirs and treatment, outsourcing, and bringing in strategic investors for public utilities.

Restructuring the various government bodies with responsibilities in the sector is also under study. Water and wastewater companies may be merged, or the sector could be restructured geographically.

Oman currently has a number of state-owned entities that manage water. Oman Power & Water Procurement Company (OPWP) procures independent water and power schemes. The Public Authority for Electricity & Water (PAEW) manages water transmission and distribution networks and reservoirs. Haya Water is responsible for wastewater across the country since 2014, but has made most of its progress in the Muscat governorate, where it has been operating since 2006.

Nama Holdings, previously Electricity Holding Company, holds shares in utilities under a 2009 law. It has made more progress in the electricity sector. Transmission and regional distribution companies have been unbundled geographically.

Muscat Electricity Distribution Company is now preparing for an initial public offering (IPO).

However, electricity and water subsidies remain high in Oman.