MUSCAT: Oman is making significant strides in its renewable energy and green hydrogen sectors, with a wave of projects pushing the country closer to its ambitious 2030 targets. According to a new report by Dii Energy Services, the country has already installed over 700 megawatts (MW) of renewable energy capacity by the end of 2024. Since the publication of the report, another 1 gigawatt (GW) of capacity was brought into operation earlier this year.
Under the Vision 2040 framework, Oman aims for renewables to account for 11% of its electricity mix by 2025 and 30% by 2030. To achieve this, the country has lined up several large-scale solar and wind projects, including 1.5 GW in various stages of development. Additionally, Oman has announced further plans for 2.1 GW of solar photovoltaic (PV) capacity, 400 MW of wind power, and 600 MW from concentrated solar power (CSP).
The report highlights that Oman’s green hydrogen ambitions are progressing at a rapid pace, largely driven by Hydrom, the orchestrator of Oman’s green hydrogen sector. Hydrom has set an initial production target of 1 to 1.25 million tonnes per annum (mtpa) of green hydrogen by 2030.
However, with eight major projects already awarded — five in Duqm and three in Salalah — the country is now poised to surpass its original target, with projections indicating a potential output of 1.38 mtpa by the end of the decade.
What sets Oman apart is its swift execution. Within just two years, the country has moved from identifying land for green hydrogen projects to holding international auctions and securing key agreements. A sister company to Hydrom has also been established to oversee shared infrastructure, further streamlining the industry’s growth.
Oman’s green energy roadmap aligns with broader regional trends in the Middle East and North Africa (MENA), where governments are increasingly turning to renewables and hydrogen as part of their long-term energy strategies. The report suggests that Oman’s competitive advantage lies in its vast desert landscapes and strong solar and wind resources, which make it a prime location for large-scale clean energy investments.
With an estimated 38 to 55 GW of projected renewable capacity, Oman is emerging as a key player in the global transition towards sustainable energy. Additionally, its electrolyser capacity for green hydrogen production is expected to reach 17 to 25 GW, reinforcing the country’s ambition to become a major supplier of clean fuels.
The continued growth of Oman’s renewable energy and hydrogen sectors could attract billions in foreign investment, positioning the country as a hub for green industrial development. However, the report also underscores the need for further policy support, infrastructure expansion and international partnerships to ensure the timely execution of these projects.
As the global energy landscape shifts, Oman’s aggressive push into renewables and hydrogen signals its commitment to reducing reliance on fossil fuels while capitalising on the economic potential of clean energy exports. If these plans come to fruition, the Sultanate of Oman could solidify its role as a regional leader in the energy transition by the end of the decade.
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