Oman utilities authority goes ahead with privatisation plans


Public Authority for Electricity and Water (PAEW) provides drinking water and power services in the Sultanate of Oman. [Muscat Electricity Distribution Company launches prepay electricity in Oman]

In its annual report, PAEW said that it approved the recommended strategic option for the MEDC privatisation process, which has been proposed by the study consultants and has obtained approval from the Ministry of Finance to proceed with the remaining stages of the study.

The Times of Oman noted that like other privatisation programmes, the aim is to improve customer service and enhance efficiency of the company.

The Authority said that it is also acts as the representative team in supervising development of the Gulf Cooperation Council’s (GCC) long-term water strategy with continuous coordination and involvement of key stakeholders.

The report adds, “The strategy addresses key challenges facing the water sector in the GCC countries with emphasis on common challenges and joint efforts and coordination required. The study was formally completed in 2015 and is now in the approval process.”

‘Smart’ investments

PAEW signed a five year co-management contract with Veolia in 2011 to improve performance, exceed customers’ expectations and develop its people through knowledge transfer and training. [Deal Watch: CESI pens deals with Oman utility for smart metering]

The Authority also continues to invest in the development and improvement of its networks to extend piped water supplies to new areas and to improve services across its service area.

Over the last five years, PAEW has invested an average of over OMR95 million ($246,753,247) a year in its networks and its plans are to continue to invest strongly in the coming years as part of our target to improve the availability of piped water supplies across our service area.

In 2015, Oman’s Electricity Holding Company (EHC) signed a deal with global technical consulting and engineering firm, CESI, to develop the blueprint for the implementation of AMR for high value customers in Oman.

The partnership is aimed at improving billing accuracy, decrease losses and reduce query-related costs. The agreement will also support the government’s privatisation policies for the electricity sector and deliver more sophisticated services for high value customers.