24 May 2015
MUSCAT: As the Sultanate is gearing up to tap its abundant renewable energy resources, the Authority for Electricity Regulation (AER) has granted licence to a solar power project being co-developed by Astonfield and Bahwan Engineering Group. According to information, the maximum authorised capacity at the production facilities will be 303 kilo watts and they will be sold to Rural Area Electricity Company (RAECO).

"The electricity generation licence being granted to Bahwan Astonfield Solar Power LLC will continue for a period of 25 years", the Authority said in its permission note.

It was in November 2013 that RAECO signed the first agreement to generate electricity from renewable energy resources, with US-based Astonfield. The company, in cooperation with Bahwan Engineering Group through their investment arm Multitech, established this pilot plant at Al Mazyunah in the Dhofar Governorate.

According to the AER permission note, "unless revoked in accordance with the provisions of the licence or regulations issued by the Authority pursuant to Article 38 of the sector law, power generation will continue".

The Authority, meanwhile, also granted a licence exemption to Muscat City Desalination Company to undertake water desalination from a facility of 'special nature'.

"The licence will continue for a period of one year", the Authority said.

Both the permission and exemption were granted by the Authority using its powers granted to it under the law for regulation and privaitisation of electricity and related water sector promulgated by the Royal Decree 78/2004.

The Al Mazyunah project is the first of its kind producing electricity in a hybrid system along with the existing diesel power station and feed the existing electrical network.

The plant aims at keeping with the Sultanate's plans to exploit solar and wind energy and reduce dependence on fossil fuels for power generation.

"The project is being implemented thanks to the leadership of the government of Oman, especially the AER and RAECO. Astonfield has co-developed the project in close relationship Multitech LLC, said Ameet Shah, of Astonfield.

The project is the result of AER's renewable energy study, which recommended the implementation of small scale pilot projects by RAECO to produce electricity using renewable energy resources, specifically solar and wind.

The 8,000 sqm development uses both crystalline-silicon and thin-film PV technologies.

According to Sourabh Sen of Astonfield, the project will serve to provide invaluable data to the government regarding how both mainstream PV technologies perform in Oman's climate.

"Our experience in developing solar projects globally has given us significant knowledge about how to select and optimise the most suitable technology for different climates, and we applied that knowledge in Oman", he said.

The electricity sector in the Sultanate continues to introduce new investments as the annual growth in consumption has reached 12 per cent owing to growing demand from residential, industrial and commercial sectors.

Population growth and a rapidly-expanding tourism industry have also contributed to this growth in consumption.

© Oman Daily Observer 2015