Bids underway for Oman power plant

by This email address is being protected from spam bots, you need Javascript enabled to view it on Saturday, 26 July 2008

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The power plant could be the first coal-fuelled plant in the Middle East.

The bidding process is underway for construction of a 1000 MW power and water desalination plant in Duqm, on the east coast of Oman.

There is an "extremely high likelihood" that it will be the Middle East's first coal power plant, according to Authority for Electricity Regulation executive director John Cunneen.

The contract has been tendered by Oman's Rural Areas and Electricity Company. It covers engineering, procurement and construction (EPC). The last submission date for bids is 25th August.

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In the race to build the plant are Oman National Engineering and Investment; Galfar Engineering and Contracting; Wartsila Gulf; Larsen and Toubro; MAN Diesel; and Eastern Overseas, all of which have purchased tender documents.

"The project will be awarded on a build, own, operate and transfer basis," Cuneen said. "This is going to be one of the biggest power plants in the country."

The Omani government said in January that there was an option of doing a feasibility study into constructing the Middle East's first coal-fired power plant to meet demand for power.

"A tender has been put out for advisory services," said Cunneen. "The [government owned] Power and Water Procurement Company is conducting a fuel selection study that will advise us," he added.

Oman is currently undergoing an up-turn in construction and is expecting its tourism industry to undergo a transformation over the next decade.

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