Hydrogen Production in Oman Seen at 14-Times Domestic Demand by 2050

Green hydrogen production in the Sultanate of Oman is projected to escalate to a world-scale 8 million tons by 2050 – volumes that open up huge opportunities for export, according to a high-level official of the Ministry of Energy and Minerals Eng Abdulaziz al Shidhani, Director General of Renewable Energy and Hydrogen, said the targeted output is roughly 14 times the volume that Oman is anticipated to consume internally in support of its own decarbonization objectives, underscoring the predominantly export-oriented focus of the country’s future green hydrogen economy.

Speaking at the IEEE Power Talks forum held in Muscat last week, the official emphasized Oman’s commitment to achieving its ambitious green hydrogen capacity targets. “Yes, we have the means to achieve much more than our requirement,” he said. “We want to fuel the growth of the economy as aspired by Vision 2040, which calls for a tripling of the energy required to achieve this. We have the means to achieve this through the 50,000 square kilometers allocated for green hydrogen projects – which will generate almost 14 times the energy required by 2050.”

According to Al Shidhani, a task force set up by the government has also identified a further 15,000 sq km of land for non-hydrogen clean energy projects on top of the allocations earmarked for green hydrogen ventures. “We worked on the land allocation task force, which – as mentioned - allotted 50,000 sq km exclusively for green hydrogen. On top of that, there is another 15,000 sq km that we are just putting aside for clean energy projects itself, not the green hydrogen.” Commenting on Oman’s energy transition goals, Al Shidhani said the strategy is underpinned by a commitment to net neutrality by 2050, while also delivering on energy security, competitive growth in a low-carbon economy, and value to society.

Other key pillars driving this strategy is the extensive adoption of renewables as a competitive energy source and the elevation of the local energy sector to the global stage, he added. “Thus, at scale, we will start with low carbon hydrogen production leading to an export-driven hydrogen economy. Energy efficiency is key on this journey. Reliable, efficient and smart integration of the new energies will be extensive, as also the electrification of the transportation and industrial sectors as well.” Importantly, carbon capture is another objective of Oman’s energy transition, although not an option of first resort, the official noted. “Perhaps only when the technology devolves and evolves, we'll look into carbon capture to help achieve net zero emissions,” he explained.

Furthermore, given the expansive and comprehensive scope of Oman’s energy transition strategy, a new Project Management Office (PMO) is being established at the Ministry to oversee the delivery of the country’s ambitious decarbonization program. “We are working closely with different partners within the government and the private sector to operationalize and then execute the energy transition policy and strategy, and the PMO office will play that role of orchestrating and keeping an eye on the implementation while escalating any challenges that come its way,” he added.