Large Sum Invested In Extending Networks in Oman
Published on by Water Network Research, Official research team of The Water Network in Government
Continuing To SpendLarge Sums on Extending Water Networks, Improving Supply in Oman
Since 2009, PAEW has invested almost OMR500 million in its networks and plans to continue to invest at a similar level next year, according to officials. PAEW's 2013 annual report states that the investment was spread across the entire PAEW service area, with 44 per cent being spent in the Muscat governorate. The next highest allocation was spent in Al Sharqiyah, with over 25 per cent of the investment dedicated to expanding network coverage. "We continue to invest large sums in extending our networks and improving our services. In the last year alone, we spent more than OMR108 million on capital projects and expect to continue to spend similar sums in the upcoming years," said Dr Abdul Malik bin Abdullah Al Hinai, chairman of the Board of Directors, PAEW. He also announced that gross revenues in 2013 reached OMR79 million, an increase of 3.6 per cent, compared to 2012. "Total expenses were approximately OMR218 million — an increase of 11 per cent compared to 2012, while the government subsidy was around OMR140 million, compared to OMR122 million in 2012 — mainly due to an increase in depreciation. The subsidy per cubic metre of distributed water reached 828bz - compared to 786bz in 2012," he said. Stating that PAEW's role in the electricity and water sector includes participation in policy making, the chairman noted, "PAEW has completed, in cooperation with Japan International Cooperation Agency (JAICA), a demand energy study. This includes some recommended policies for efficient energy uses, to be approved by the concerned authority." New tariff policies He further said, "In cooperation with AER Oman, PAEW has submitted recommendations for new tariff policies for major industrial, commercial and government customers. The recommendations, include tariff reforms for gas, establishing standards for energy supplies for major customers and seeking alternatives for energy supplies when implementing projects with large capacity requirements." In addition, PAEW has appointed a specialised consultant to prepare a national energy strategy to guide the Sultanate until 2040. Source: Times Of Oman
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