Market brief
Oman
The authorities that procure water infrastructure in Oman, how the deals are put together, and what is in the pipeline.
Reference profile for OmanOverview
Oman buys bulk water through a single procurer. Nama Power and Water Procurement, which describes itself as the single procurer of power and water capacity and output, signs the offtake for the main independent water projects, reverse-osmosis plants at Barka, Sur and Sohar among them;1 Nama Water Services tenders wastewater and networks.2 The register tracks 25 schemes with US$ 2.9 bn of disclosed value, US$ 0.3 bn of it in projects not yet operating.3 The reference deal is Ghubrah III, 300,000 cubic metres a day, which reached financial close in December 2024 with about US$370 million of project finance.1 Water is procured under the 2023 Water and Wastewater Sector Law, which includes tariff and market-liberalisation chapters, rather than the general partnership law.4 Published terms are thin in places: the concession length for the 2025 sewage package was not disclosed.2
Market snapshot
The commercial picture in Oman: the scale of the economy and the water sector, the investment climate, and where the near-term activity is concentrated.
Political stability
World Bank Worldwide Governance Indicators score, 0–100 (absolute scale), 2025. Political stability; higher is more stable.5
Investment climate
World Bank Worldwide Governance Indicators score, 0–100 (absolute scale), 2025. Regulatory quality for private investment; higher is better.5
Key institutions
- Ministry of Agriculture, Fisheries & Water ResourcesMinistry
- Authority for Public Services RegulationRegulator
- Nama Water ServicesUtility
- Nama Dhofar ServicesDhofar utility
- Majis Industrial ServicesSohar industrial water, Veolia O&M partner
Financing & PPP
- PPP frameworkActive (RO IWPs at Barka, Sur, Sohar)
- Tracked projectsUS$ 2.9 bn disclosed value in our projects register, of which US$ 0.3 bn pipeline (not yet operating)
- Active fundersSovereign budget, Project finance, Islamic Development Bank (partner on four dams, 2025)
- Climate adaptation planIn preparation (GCF support approved 2022; drafting under way since 2023)
Opportunities
- 01RO IWP expansion along the coast
- 02Aflaj restoration & aquifer recharge
- 03Reuse for agriculture
- 04Solar-powered desalination
Key challenges
- 01Coastal desalination dependence
- 02Falaj (aflaj) heritage system decline
- 03Aquifer salinity
- 04Demand growth
Sources and notes
Sources: Desalination and reuse shares, public water production: National Centre for Statistics and Information (NCSI), Environment and Energy Statistics 2025, Issue 4, 2024 figures, from Nama Water Services, Dhofar Integrated Services and the Authority for Public Services Regulation. No sector split or national supply mix is shown: the latest AQUASTAT split (2018) cannot be reconciled with national supply statistics. Population and GDP: World Bank WDI, latest year (shown on each tile). Other figures: FAO AQUASTAT / national reports, latest available, approximate. Governance indicators: World Bank Worldwide Governance Indicators (2025).
Contracting authorities
The bodies that commission, regulate and operate water infrastructure in Oman. In Oman, Nama Power and Water Procurement, which describes itself as the single procurer of power and water capacity and output, signs the offtake for the main independent water projects;1 Nama Water Services and Nama Dhofar Services run the networks; and the Authority for Public Services Regulation regulates the sector.
- Ministry of Housing & Urban PlanningBuilding codes (plumbing and water supply)
- Authority for Public Services Regulation (APSR)Regulator
- Majis Industrial ServicesUtility
- Nama Dhofar ServicesUtility
- Nama Water Services (ex-Diam and Haya Water)Utility
- Ministry of Agriculture, Fisheries & Water ResourcesBasin & resources authority
- Nama Power and Water Procurement (Nama PWP, formerly OPWP)PPP procurer
How deals are structured
The framework in Oman is Active (RO IWPs at Barka, Sur, Sohar), the schemes we track carry US$ 2.9 bn of disclosed value, US$ 0.3 bn of it in projects not yet operating, and the funders most active in the sector are Sovereign budget, Project finance, Islamic Development Bank (partner on four dams, 2025).
Delivery splits by asset class across the region: dams and trunk conveyance are mostly engineering contracts carried by sovereign or development-bank finance; bulk supply increasingly uses build-operate-transfer concessions against a long-term offtake; and distribution work is let as performance-based contracts paid against measured leakage reduction. The Finance & Economics hub sets out each model and where it has been used.
The projects register gives a partial view. Of the 25 tracked schemes in Oman, 14 name a concession or independent-producer structure in the finance note; the rest record only where the money came from, which is not the same as saying they were not concessions.
How to bid
Oman has two procurement channels and a common mistake about which law governs them. Royal Decree 52/2019 and its 2020 implementing regulations do allow partnership contracts of up to 50 years, with competitive tendering, a 30-day bidding period reducible to 15, limited direct award in the public interest, and an unsolicited route through which a project partnership idea goes to the partnership authority with cost reimbursement and a right to match.6 7 Water projects, however, are procured under the sector regime, and Royal Decree 40/2023 is now its water half.4
| Procuring bodies | Nama Power and Water Procurement (formerly OPWP) for bulk water procurement and the main IWPs; Nama Water Services for wastewater and networks; Nama Dhofar Services in Dhofar, which also tenders desalination plants.1 2 8 |
|---|---|
| Which law applies | Royal Decree 40/2023, the Water and Wastewater Sector Law, covers desalination, water transport, wastewater and, to a certain extent, groundwater wells. It includes tariff and market-liberalisation chapters and allows Nama Power and Water Procurement and operating companies to contract for water.4 Nama Water Services tendered the 2025 sewage package.2 |
| Route | Pre-qualification then invited bid in both channels. The Al Ansab phase three and Al Amerat phase two package is procured on a build-own-operate-transfer model, with pre-qualification closing on 16 December 2025; the concession length was not published.2 |
| Local content | In-country value integration is the responsibility of the Ministry of Energy and Minerals, while the Tender Board concentrates on local content in government-sponsored procurement. In-country value and Omanisation policies have been spearheaded in oil and gas.9 |
| Tax | Withholding tax of 10% of gross income on royalties, research and development, software, management fees and the provision of services to a non-resident without a permanent establishment. Withholding on dividends and interest has been suspended since January 2023. VAT is 5% and appears on the utility’s own fee schedule.10 |
The reference transaction is Ghubrah III, 300,000 cubic metres a day of reverse osmosis, which reached financial close in December 2024 with about US$370 million of project finance: GS Inima with Aljomaih Energy and Water and SOGEX Oman, lenders KEXIM, Standard Chartered and Bank Dhofar, client Nama Power and Water Procurement.1
Regulatory intelligence
| Regulation | Status | Year | Note |
|---|---|---|---|
| National Water Sector Master Plan | Active | 2015–2040 | Efficiency, reuse and resource protection. |
| Water and wastewater sector law (RD 40/2023) | In force | 2023 | APSR sets network standards; market opening with cabinet approval. |
| IWP framework (Nama PWP) | Active | — | Competitive desalination procurement. |
| Water Resources Protection Law (RD 29/2000) | In force | 2000 | Licences for wells and any change to a falaj. |
Primary references: Nama Water Services and the APSR.
Projects
Tracked schemes in Oman, largest first. Each has its own page with the parties, the finance and a dated history.
Sources and notes
Interactive map: switch views, hover or focus a marker, and use the +/− controls (or double-click, then drag) to zoom and pan. Geometry and data from the MENA Water Review library.
25 tracked in total. The full set, filterable, is in the major projects register.
Track record
Contracts on record in Oman, from the awards log and the major projects register, dated by commissioning where known.
Disclosed value by year
US$ bn of tracked awards in Oman carrying a published value
7 further awards in this sector have no value recorded in our register and are not in the chart.
| Year | Project | Winning firms | US$ m |
|---|---|---|---|
| 2026 awarded | Muscat and Sharqiyah Water and Wastewater Services Partnership (Cluster 1) | SUEZ, National Trading Company, National Energy Center SAOC contractor | n/a |
| 2025 on line | Qurayyat IWP | Hyflux, National Power & Water Co developer | 250 |
| 2024 | Ghubrah 3 IWP | GS Inima, Aljomaih Energy & Water, Sogex Oman developer | 325 |
| operating | Duqm Desalination | Cobra / Tedagua contractor | n/a |
| 2022 on line | Aseelah IWP | JGC, United Infrastructure Development Company, Doosan Heavy Industries & Construction developer | 180 |
| 2021 on line | Salalah 3 SWRO | ACWA Power, Veolia, Dhofar International developer | 165 |
| 2020 | Barka 5 IWP | GS Inima developer | 130 |
| 2019 on line | Sohar Desalination | Sacyr, Oman Brunei Investment Company, Sogex Oman developer | 224 |
| 2018 on line | Barka 4 IWP | ITOCHU, SUEZ, ENGIE, W J Towell developer | n/a |
| 2016 on line | Ghubrah 2 IWP | Malakoff, Sumitomo developer | n/a |
| 2012 on line | Salalah IWPP | Sembcorp Utilities, Oman Investment Corporation developer | 1,000 |
| 2010 on line | Al Ansab Sewage Treatment Plant | ACWA Services contractor | n/a |
| 2010 on line | Wadi Dayqah Dam | VINCI Construction Grands Projets contractor | n/a |
| 2009 on line | Barka 2 IWPP | ENGIE, Mubadala, National Trading Company developer | n/a |
| 2003 on line | Barka 1 IWPP | AES, Multitech developer | 410 |
Sources and notes
Years without a label are award years from the curated log; rows marked on line are dated by commissioning, from the projects register. Register rows without a commissioning date show their stage instead: awarded, with the year recorded, or under construction or operating, with no year. 15 rows in total for Oman.
Repeat winners
- ENGIE2 tracked awards, as developer
- GS Inima2 tracked awards, as developer
- National Trading Company2 tracked awards, 1 as developer, 1 as contractor
- SUEZ2 tracked awards, 1 as developer, 1 as contractor
- Sogex Oman2 tracked awards, as developer
Pipeline & tenders
Structured procurements and live tenders in Oman, drawn from the same review that maintains the pipeline tracker.
Pipeline & awards
Tenders
Prices
What households pay
| Household tariff (US$/m³) | Cost of supply (US$/m³) | Year | Source |
|---|---|---|---|
| $1.72 – 2.00 | not published | 2025 | Nama Water Services, services tariffs and fees; Nama Dhofar Services 2025 schedule |
OMR 0.660/m³ for a citizen household with two accounts or fewer; OMR 0.770 for a citizen above two accounts and for expatriate residential; OMR 1.320 for commercial and government, outside the household range. Wastewater adds OMR 0.154 to 0.231/m³ and a monthly sewage fee.
Residential tariffs, and the cost of supply where a utility publishes it, are kept in one place for the whole region so the comparison holds: a tariff means little without the cost it is measured against.
Watch list
No dated items have been carried forward for Oman yet. This section fills from the monthly briefings as they are published.
Sources
10 references
Project, pipeline and tender records are compiled from procurer announcements, lender disclosures and trade reporting; each project page carries its own source and the date it was last checked. Institutions are from the decision-maker directory. Economic and water indicators are cited on the reference profile.
- GS Inima, financial close of the Ghubrah III desalination plant, 9 January 2025.
- InfraPPP World, “Oman launches PPP tender for expansion of two key sewage treatment plants”, 2025.
- MENA Water Review major projects register and PPP pipeline — compiled from procurer publications, development-bank project pages and trade reporting; each record names its source.
- Decree Blog, “Regulating the waterworks: the new water and wastewater sector law”, on Royal Decree 40/2023.
- Kaufmann & Kraay, Worldwide Governance Indicators (World Bank), 2025 update: political-stability and regulatory-quality scores, 0–100, shown in the market snapshot. worldbank.org/wgi.
- Trowers & Hamlins, the implementing regulations of the partnership law, June 2020.
- CMS, Oman’s public-private partnership legislation. A law-firm guide; the decree text itself is behind a login.
- TradeArabia, “Nama Dhofar launches tender for key desalination plant in Oman”, 10 March 2026.
- Oman Observer, “Omanisation and ICV: a comprehensive overview”, 3 May 2025.
- PwC, Oman: withholding taxes, worldwide tax summaries.
Numbered references are linked from the superscript markers in the text. Figures without a marker come from the sources above as compiled in the site methodology.
Sources and notes
Firms appearing on two or more tracked awards in Oman. For a PPP, BOT, BOO or independent water, power or sewage project the winner counted is the developer or sponsor consortium; for an EPC or works contract it is the contractor. Each consortium member is counted on its own. EPC contractors working for a developer, subcontractors and equipment suppliers are not counted, and a PPP whose developer is not recorded counts for no firm.