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Home » Oman to Lead in RE and Green Hydrogen Production-IEA
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Oman to Lead in RE and Green Hydrogen Production-IEA

By Lakshita Kapoor Thu, Oct 10th, 2024
Oman to Lead in RE and Green Hydrogen Production-IEA
Oman to Lead in RE and Green Hydrogen Production-IEA
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According to a new report put out by the International Energy Agency (IEA), Oman is turning out to be at the helm of renewable energy and green hydrogen production. The report titled “Renewables 2024” underlines Oman’s key role in driving Middle Eastern countries to achieve energy transition goals, especially through green hydrogen.

The report includes Oman among the few countries in the Middle East likely to overachieve their national hydrogen production goals. The country aims to put enough solar and wind capacity by 2030 to produce at least 1 million tons of green hydrogen annually. According to the report, Oman, along with the UAE and Morocco, is expected to surpass its hydrogen production goals for 2030.

The country with the highest rate of growth is expected to be Saudi Arabia, which will experience growing renewable energy expansion. According to projections, between 2024-2030, the country would likely account for 40 percent of growth in the region. In contrast, Oman together with the UAE, Egypt, Iraq, and Morocco will contribute 44 percent to the growth of renewable energy in the region.

Two drivers stand out and explain this renewables’ boom, the IEA says: growing domestic electricity demand resulting from population growth and economic expansion, and a massive increase in energy demand from air conditioning during extreme temperature conditions. Oman, Kuwait, Egypt, and Iraq set record peak electricity demands in 2023.

Oman is also likely to invest in new onshore wind capacity with an estimated 4 GW of wind power to be developed by 2030 across the MENA region. Oman’s contribution will likely be five wind-based IPPs for a total of around 1 GW. The electricity generated through these projects will be fed into the grid and powers domestic consumers.

Apart from renewable electricity, the IEA report has placed Oman among the fast-growing importance towards green hydrogen. Renewable energy for hydrogen production will by 2030 account for 10% of the region’s growth. Oman has allocated low-cost lands for hydrogen projects targeting investments to total $40 billion in 2030 to reach an output of 1 million tons of green hydrogen a year. Investments will rise to $140 billion by 2050, with scaled up production to 7.5–8 million tonnes per year.

Green Hydrogen IEA Middle East Oman renewable energy
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