Wednesday 12 / August / 2026
Muscat: Ten agreements have been signed with small and medium enterprises (SMEs) as well as local and international companies to localise the manufacturing of key components used in the production of electrical transformers, with expected investments totaling around OMR 15 million.
The agreements were signed under the “Watinha – From Vision to Partnerships” initiative, organised by the Public Services Regulatory Authority (APSR) in cooperation with Voltamp Energy.
The agreements include four with local SMEs and six with local and international companies. They cover the establishment of seven new factories and the addition of new production lines at two existing factories, contributing to the expansion of the local manufacturing base, enhancing local content, and developing supply chains linked to the electricity sector.
The signing ceremony was held under the patronage of His Excellency Eng. Salim bin Nasser Al Aufi, Minister of Energy and Minerals, and was attended by Her Highness Sayyida Mayan bint Shihab Al Said, Vice Chairperson of Voltamp, His Excellency Dr. Mansour bin Talib Al Hinai, Chairman of the Public Services Regulatory Authority, as well as a number of officials, CEOs, investors and representatives of SMEs.
The agreements represent a practical step toward transforming demand for components and equipment in the electricity sector into investment and industrial opportunities within the Sultanate of Oman. They aim to build local production capabilities capable of meeting part of the sector’s needs, strengthen supply-chain resilience, increase local value added, and support the rapid growth of electricity and energy projects in Oman.
Dr. Mansour bin Talib Al Hinai, Chairman of the Public Services Regulatory Authority, said the agreements represent a practical step toward localising strategic industries, enhancing local content and enabling SMEs to integrate into industrial value chains. He noted that this would contribute to expanding investment and production opportunities, increasing local value added and enhancing the competitiveness of the national economy.
He added that the rapid growth in electricity and energy projects, transmission and distribution networks, renewable energy and green hydrogen highlights the importance of building a national industrial base capable of meeting the needs of these sectors efficiently, with high quality and reliability.
Dr. Al Hinai noted that localising the manufacturing of electrical transformer components represents “an investment in people before it is an investment in industry”, as it creates opportunities for knowledge transfer, the development of national capabilities and the creation of quality employment opportunities, while also attracting investment and supporting national enterprises.
He stressed that the true value of the agreements lies in their impact on investment, industrial localisation, the empowerment of national talent and job creation, contributing to the development of a more diversified and sustainable economy.
For her part, Her Highness Sayyida Mayan bint Shihab Al Said, Vice Chairperson of Voltamp, said the initiative directly reflects national priorities. She expressed confidence that, through collective efforts, the initiative would become an inspiring success story remembered by future generations and a landmark in advancing the electrical components industry in Oman and the region. She added that its success could serve as the first spark for pioneering national initiatives across various sectors.
The agreements include the establishment of seven new factories to manufacture eight key electrical transformer components in Oman, in addition to new production lines at two existing factories to manufacture two key components.
The projects are expected to be developed across a proposed total area of up to 34,000 square metres and are expected to create numerous employment opportunities for Omanis, in addition to indirect opportunities in related services and supporting industries. Commercial production at the new projects is expected to begin during 2027 and 2028.
The agreements carry significant economic and industrial importance by expanding the participation of national enterprises and attracting local and international expertise and investment. The four agreements with local SMEs will enable them to establish new industrial projects and participate more extensively in value chains linked to the electricity sector.
Meanwhile, the six agreements with local and international companies will strengthen investment partnerships, promote integration between local and global expertise, facilitate the transfer of knowledge and technologies, and develop industrial and technical capabilities.
Localising these industries will also enhance the resilience and security of supply chains, reduce dependence on imports and exposure to supply risks and fluctuations in global markets, attract new industrial investments, develop high-value-added industries, and strengthen national capabilities in engineering, technical and operational fields.
The initiative is also expected to retain a greater share of procurement expenditure within the national economy, while building an industrial base capable of expanding and accessing regional and international markets.
The “Watinha – From Vision to Partnerships” initiative is the result of cooperation between the Public Services Regulatory Authority and Voltamp Energy to identify industrial opportunities suitable for localization, encourage investment in industries linked to the electricity sector, and connect the sector’s requirements with opportunities available to investors and national enterprises. This collaboration aims to build a more integrated industrial ecosystem capable of meeting part of the sector’s needs locally.
The initiative forms part of a broader effort to localise industries and supply chains linked to public utility sectors and transform the needs of these sectors into sustainable economic and industrial opportunities. It also seeks to enhance local economic value, support industrial growth and expand private-sector participation in development, in line with the objectives of Oman Vision 2040.
