Turning waste into power: Oman’s energy transition gains steam

Muscat's decision to proceed with a utility-scale waste-to-energy (WTE) facility in Barka marks a significant development in its energy and environmental policy

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Landscape of Mutrah Corniche in Muscat, Oman.

Turning waste into power: Oman’s energy transition gains steam

Neil Quilliam

last update on 16 Sep 2025

Oman’s decision to proceed with a utility-scale waste-to-energy (WTE) facility in Barka marks a significant development in its energy and environmental policy. The project, which will be led by state-run Nama Power and Water Procurement Company (PWP) in partnership with Oman Environmental Services Holding Company (Be’ah) and the Authority for Public Services Regulation, is scheduled to begin operations in 2031. It is designed to convert municipal solid waste into electricity, with an expected annual output of 760 gigawatt-hours.

The facility will employ advanced grate incineration technology, capable of processing up to 3,000 tonnes of waste per day. This method is well-suited to the composition of Oman’s municipal waste, which tends to be high in moisture and low in calorific value. The thermal energy generated will be converted into electricity via steam turbines and integrated into the national grid through a 132-kilovolt substation. The plant’s output will complement Oman’s growing portfolio of solar and wind assets.

PWP CEO Ahmed bin Salim Al Arabi described the project as “a strategic leap toward achieving the Sultanate of Oman’s vision for sustainable energy and responsible waste management.” His remarks reflect a broader shift in the region, where energy policy is increasingly being shaped by environmental considerations and long-term planning.

National goals

The project is aligned with Oman’s Net Zero by 2050 strategy and Vision 2040, both of which prioritise sustainability and economic diversification. It will also support the country’s transition toward a circular economy by reducing landfill dependency and recovering energy from waste. According to PWP, the facility will reduce carbon emissions by up to 50 million tonnes over its 35-year lifespan, largely by diverting waste from landfills and avoiding methane emissions.

While the environmental rationale is clear, the project’s strategic value lies in its ability to address multiple policy objectives simultaneously. It will contribute to energy security, reduce the environmental burden of waste, and introduce a new industrial capability.

The facility will employ advanced grate incineration technology, capable of processing up to 3,000 tonnes of waste per day

Hurdles ahead

However, the integration of WTE into Oman's energy system is not without its challenges. First, integrating the plant into Oman's energy system will require deliberate coordination with existing generation assets. Its role in supporting grid stability will depend on its ability to deliver consistent output, which will be contingent on a reliable supply of municipal solid waste with sufficient calorific value. Oman's waste stream presents challenges in this regard, including seasonal fluctuations and limited segregation at source.

To ensure efficient combustion, the waste will need to undergo preprocessing that includes sorting and homogenisation. These processes must be scaled and sustained across multiple municipalities. Any disruption in collection logistics, variability in waste composition, or institutional misalignment between municipal and energy authorities could undermine the plant's operational performance. Such dependencies introduce a level of complexity that will require robust planning and oversight.

Second, ensuring environmental compliance will also require close attention to detail. The facility will incorporate a multi-stage flue gas treatment system, including selective non-catalytic reduction for nitrogen oxides, dry lime injection for acid gases, and activated carbon filters for dioxins and heavy metals. Emissions will be monitored continuously to ensure compliance with the EU Industrial Emissions Directive, which Oman has adopted for this project. Whilst these systems are technically robust, they require regular maintenance and operational discipline.

Third, the financial structure of the Barka project reflects the scale and complexity of the undertaking. It is being developed as an Independent Power Project, anchored by a power purchase agreement with Nama Power and Water Procurement Company, with an expected project life of 35 years. Capital expenditure is estimated at $1 billion, a figure that underscores both the technological demands and the long-term nature of the investment. The extended timeline and scale of commitment introduce exposure to cost escalation, regulatory adjustments, and shifts in waste generation patterns.

Although the project has attracted interest from international investors, its bankability will rest on the credibility of Oman's regulatory framework and the ability to maintain a reliable supply of feedstock over time. These factors will be central to determining whether the project can deliver on its environmental and energy objectives while remaining financially viable.

Waste-to-energy is gaining traction across the Arabian Gulf as governments seek to diversify their energy portfolios and reduce environmental pressures

Finally, institutional coordination will be a decisive factor in determining the success of the Barka project. Effective alignment between energy planners, environmental regulators, and municipal authorities will be required to ensure that waste management practices support the operational needs of the facility. The integration of waste collection systems with energy generation timelines demands a level of inter-agency cooperation that has not yet been fully tested in Oman.

Public engagement will also be important, especially in encouraging waste segregation at source and building community support for the facility's long-term operation. These elements will need to be embedded within a broader governance framework that can sustain technical performance and environmental compliance over time.

Oman's way

Waste-to-energy is gaining traction across the Arabian Gulf as governments seek to diversify their energy portfolios and reduce environmental pressures. Dubai's Waste Management Centre is set to process nearly two million tonnes of waste annually, while Qatar and Saudi Arabia have committed to expanding similar infrastructure.

Qatar operates the Gulf's first large-scale WTE facility at Mesaieed, processing up to 2,300 tonnes of waste daily and generating around 50 MW of electricity, with plans to expand capacity. Saudi Arabia, targeting 3 GW of WTE by 2030, is developing major projects in Jeddah and Riyadh, alongside nationwide initiatives to divert 16% of waste to energy as part of its circular economy strategy.

Oman's entry into this space reflects a broader regional trend, but its pathway will be shaped by distinct national conditions. As such, the Barka project will likely serve as a future model for integrated infrastructure planning in Oman. It should demonstrate how environmental and energy objectives can be pursued through a single investment when technical, regulatory, and operational risks are effectively managed.

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