supporting successful electric power investment
decisions to meet Oman's electricity needs. Our
range of support has involved bid support,
refinancing and Initial Public Offerings (IPOs).
Recent clients we have worked with in Oman
include Marubeni Corporation, ACWA Power,
Sembcorp Industries, Mubadala Development
Corporation, GDF Suez, and HSBC.
the gas and power market in Oman in preparation
for their forthcoming tender for a Greenfield
Independent Power Project (IPP) in Oman.
to support the client's pre and postbid strategy.
Our scope involved a supply and demand forecast
of natural gas in Oman, a longterm forecast of
electricity demand and supply options for the
power grid, and price forecasts for the projects
over their lifetime based on technical and
economic assumptions.
economic power market modeling approach.
This approach allowed us to assess the upside of
expanding or prolonging the life of the electric
power capacity at the sites and extending the
power projects' Power Purchase Agreement (PPA).
It also helped us see how such decisions are
affected by regulatory framework, technological
choices, and timing of further capacity
developments in Oman.
by 2020. The country's significant wind resources mean that wind
power is expected to be the driving force behind meeting that target.
But bringing the required capacity online requires a huge amount
of investment, which the Irish government has incentivized through
generous renewable support schemes.
generator came from the energy market (which is based on a
reference price), while only 2% came from capacity payments.
Revenue from Contract/Difference (C/D) Payments (which include
Contracts for Differences, Renewable Energy Feedin Tariff (REFIT)
payments and Renewable Obligation Certificate payments) were
also small at 6%.
significant impact on future wind generation revenues in Ireland.
generators may not earn the reference price under the new
Energy Trading Arrangements (ETAs) due to start in 2017.
Generators will be able to sell their power in a range of different
markets. As a result, the regulatory authorities will have to decide
on a new market reference price.
increase costs
electricity providers to have capacity available) remuneration
may put wind at a disadvantage compared to other generation
technologies. The current capacity payment to generators will
be replaced by Centralized Reliability Options. This suggests
that wind would therefore be penalized more than any other
technology class, forcing generators to factor additional costs that
could make them uncompetitive.
output
security reasons or because of local transmission constraints. To
address these concerns, a Secure Sustainable Electric System (DS3)
work program is underway to manage the integration of very high
levels of instantaneous renewable penetration on the island and
increase the possible contribution of wind in any period. Delays
to DS3 will lead to higher levels of uncompensated curtailment
for wind generators.