Work starts on $700m UAE-Oman power link project

• Two electrical lines are planned
• Connect Al Sila in UAE and Oman’s Ibri
• Designed to help improve reliability

Work has started on the $700 million GCC electrical interconnection between the UAE and Oman.

The announcement was made by Mohsen Hamad Al Hadhrami, undersecretary of Oman’s Ministry of Energy and Minerals and chairman of the GCC Interconnection Authority (GCCIA), the state-run Oman News Agency reported.

The project involves the construction of two 400 kilovolt (kV) electrical lines spanning 530km, connecting GCCIA Al Sila station in the UAEs with the Ibri station to be established in Oman. It also includes the construction of two main 400 kV transmission stations in Ibri and Al Bynouna, Oman.

Additionally, the project includes the construction of a compensator station to enhance grid stability and transmission capacity, bringing the total capacity to up to 1,600 megawatts (MW). 

The plan is to significantly enhance the Gulf grid’s flexibility and raise the sultanate’s capacity to exchange energy efficiently with connected Gulf countries.

The project is designed to help ensure the reliability of electrical grids, increase emergency response capacity and facilitate the integration of new and renewable energy into Gulf grids.

The GCCIA has already signed financing agreements with the Qatar Fund for Development and Sohar International Bank to provide $600 million for the project.

The project completion date was not given.

• Oman secures $100m loan to join GCC power grid
• $500m loan secured to link UAE-Oman power grid
• GCC power grid to supply Iraq with electricity

The GCCIA-UAE interconnection expansion project is designed to enhance the authority’s grid and increase electricity transmission capacity with the UAE from 2,400MW to 3,500MW, according to the GCCIA’s website.

The GCCIA network connects Kuwait, Saudi Arabia, Bahrain, Qatar and the UAE.

This month, GCCIA said Iraq will soon start receiving 500MW of electricity from neighbouring Gulf oil producers as part of a long-term supply contract to tackle its chronic power shortages.