RenewableEnergyResources in Oman 2.3 Recommendations 2.3.1 Renewable energy activities The analysis and research undertaken in the course of the study provides support for various recommendations that we outline in this section. We recommend the immediate implementation of certain types of renewable pilot projects, the development of policies to support and encourage renewable energy, and that the Authority and other entities undertake further research and maintain a watching brief on developing renewable technologies. Our recommendations are presented in three categories in the expected sequence of implementation: 1 Recommendations: Small Projects & Further Feasibility Studies Our analysis supports the immediate implementation of small scale renewable energy projects, particularly in rural areas (we provide details of recommended projects below). These initial renewable energy projects would help demonstrate the technical and economic performance of renewable energy technologies under local conditions, and would, if implemented appropriately, facilitate the transfer of knowledge and know how to relevant institutions and entities in Oman. Projects A and B below are the type of renewable energy projects we believe the Authority could approve for immediate implementation by the Rural Areas Electricity Company SAOC. Project A: 10 kW off-grid Solar PV/Diesel Hybrid System Purposes: To demonstrate the technology and compare the performance of hybrid systems with combinations of solar and diesel capacity. Obtain experience of the design to support the subsequent implementation of large PV projects under Omani conditions. Technology: (i) One plant comprising 10 kWp PV/10 kW diesel engine and battery storage, (ii) One plant comprising 5 kWp PV /10 kW diesel engine and without battery storage. Location: Annual energy output: Budget: Energy production cost: Rural area, off grid location. 7 - 8 MWh/year (solar PV cells) USD 135,000 (tentative) 250 - 300 USD/MWh. Page 24 of 134 .
RenewableEnergyResources in Oman Project B: 20 kW Grid Connected Solar PV Purposes: To demonstrate the technology and obtain experiences with the operation under Omani conditions. The results of this project could be used as a basis for the design of larger PV projects. We recommend undertaking a number of small scale projects for different types of applications: on buildings, parking areas etc. Technology: 20 kW system consisting of 20 kWp solar PV panels (app. 200 m 2 ) and a 20 kW power converter. Location: Annual energy output : Budget: Energy production cost: Rural area, connected to local grid/power system. 34 MWh/year USD 150,000 (tentative) 425 USD/MWh Before implementing these types of projects, we recommend further detailed technical and economic analysis is undertaken to verify assumptions in this report and confirm the suitability of individual project locations. We also recommend the implementation of a wind monitoring programme in south Oman along the coast and in the mountains north of Salalah to verify and map wind energy resources. This programme should also include detailed grid analysis to determine the amount of wind turbine capacity that could be connected to the Salalah Power System (noting that for technical reasons wind turbine capacity should normally not exceed 15% to 20% of total system capacity). We expect the wind monitoring programme to support the early implementation of a wind turbine project such as Project C. Project C: 10 MW Grid Connected Wind Farm Purposes: Technology: Location: Annual energy output: Budget: Energy production cost: Demonstrate the technology and obtain experience of operating the technology under Omani conditions. 10 MW Wind farm consisting of 5 x 2 MW wind turbines. Dhofar, Thumrait/Quiroon Hariti area. 25-30 GWh/year. USD 20 - 22 mill. (tentative) 65 USD/MWh. Page 25 of 134 .