Oman Launches Ambitious Renewable Energy and Desalination Procurement Drive for 2026

Oman’s state-owned Nama Power and Water Procurement Company is preparing to launch one of the most comprehensive renewable energy and water procurement programs in the region during 2026. The ambitious initiative encompasses multiple large-scale projects that will significantly expand the sultanate’s renewable capacity while addressing growing water security needs.

The centerpiece of the 2026 procurement strategy is a groundbreaking 1000MW round-the-clock renewable energy project that integrates solar photovoltaic wind generation and battery energy storage systems. This innovative project targets an annual capacity factor exceeding 70 percent making it one of the most efficient renewable installations planned in the Gulf region. Nama PWP expects to award this flagship project during 2026.

In the solar sector Nama PWP plans to issue requests for proposals for four major independent power projects including Al Kamil II Solar IPP Dhofar Solar IPP Sinaw Solar IPP and Adam Solar IPP. These installations form part of an extensive solar program with combined generation capacity of approximately 2500MW. The Sinaw Solar IPP alone will deliver 400MW with commercial operations scheduled for the second quarter of 2028. Selected projects will incorporate battery energy storage systems to enhance grid stability and renewable energy dispatchability.

Wind energy development features prominently in the procurement pipeline with three major projects planned. The Duqm III Wind IPP will generate 300MW while Al Jazir Wind IPP and Shaleem Wind IPP will each contribute 100MW. All three wind installations are scheduled to reach commercial operation in the second quarter of 2029 according to Nama PWP’s seven-year power sector statement.

A specialized 280MW solar photovoltaic project dedicated to decarbonizing the Marsa LNG Project represents another key component of the 2026 procurement agenda. This installation developed in coordination with Oman’s national energy champion OQAE forms part of the country’s industrial decarbonization strategy with commercial operations targeted for the first quarter of 2028.

Water security receives equal attention in the procurement strategy with two major independent water projects planned. An 80000 cubic meters per day desalination plant in Raysut in the Dhofar zone called Dhofar Water 2030 IWP is scheduled for commercial operation in 2030. A larger 150000 cubic meters per day desalination facility in North Al Batinah will begin operations in 2032. Combined these projects will add 230000 cubic meters of daily desalination capacity.

The procurement drive builds on significant achievements in 2025 when Nama PWP successfully commissioned the Manah Phase I and II solar projects delivering 1000MW of combined generation capacity. The company also completed procurement for the Ibri Phase III project Oman’s first co-located installation integrating 500MW of solar capacity with a 100MWh battery energy storage system.

Currently Nama PWP has approximately 1600MW of new solar and wind capacity under active procurement including the Al Kamil Phase I Solar IPP targeting 450MW to 500MW capacity and three mega wind farms in Mahoot Duqm and Sadah with combined capacity of approximately 1100MW.

The 2026 procurement program aligns with Oman’s Vision 2040 sustainability objectives and the national target of achieving 30 percent renewable energy in the power portfolio by 2030. The comprehensive approach combining utility-scale renewable generation energy storage and water desalination positions Oman as a regional leader in sustainable infrastructure development.

Industry observers note the strategic timing of these procurements as global renewable energy costs continue declining while regional water security concerns intensify. The integration of battery storage systems across multiple projects demonstrates Oman’s commitment to grid reliability as renewable penetration increases.

Nama PWP’s ambitious 2026 agenda represents a critical acceleration of Oman’s energy transition with procurement activities expected to generate significant international investor interest. The successful implementation of these projects will substantially advance the sultanate’s renewable energy capacity while ensuring long-term water security for its growing population and expanding industrial sector.