Oman’s OETC Unveils Green Financing Framework

Oman Electricity Transmission Company (OETC) has introduced its Green Financing Framework, a transformative initiative aimed at accelerating Oman’s transition to a low-carbon economy. This move aligns with Oman Vision 2040 and the nation’s target of achieving net-zero carbon emissions by 2050. Structured in collaboration with Citi Bank, the framework underscores OETC's commitment to environmental sustainability and adherence to high standards of environmental, social, and governance (ESG) practices.

The Green Financing Framework enables OETC to secure funding through green bonds, sukuks, and green loans, channeling these resources into sustainable investments. Key focus areas include electricity transmission, renewable energy, energy efficiency, green buildings, sustainable water and wastewater management, and pollution control. These initiatives are designed to reduce carbon emissions, enhance energy security, and improve grid reliability, supporting Oman’s sustainable energy objectives.

OETC’s competitive advantage lies in its role as a pivotal transmitter of clean and renewable energy across Oman. Its nationwide electricity transmission network is a cornerstone for enabling the country’s green energy aspirations.

To ensure alignment with global standards, OETC obtained a Second Party Opinion (SPO) from Det Norske Veritas (DNV), verifying the framework’s compliance with the Green Bond Principles issued by the International Capital Market Association (ICMA) and the Green Loan Principles established by the Loan Market Association (LMA), Loan Syndications and Trading Association (LSTA), and Asia Pacific Loan Market Association (APLMA).

Eng. Saleh bin Nasser al Rumhi, CEO of OETC, expressed the company’s commitment to fostering a sustainable future. “Launching OETC's Green Financing Framework is a significant and bold step. This initiative reinforces our position as a responsible industry leader and enabler of Oman’s green transformation. It also contributes to achieving the broader objectives of Oman Vision 2040.”

As a member of Nama Group, OETC is the sole entity responsible for electricity transmission across Oman. Its network operates at a voltage of 132kV and above, connecting production stations to distribution centers nationwide. Additionally, OETC manages interconnection lines with the GCC power network at a voltage of 220kV, playing a vital role in regional energy collaboration.

With this framework, OETC reaffirms its role as a key driver of Oman’s green economy, setting a benchmark for sustainable energy practices in the region.