Future Procurement

Three potential procurement activities may be anticipated over the subsequent period from 2015 to 2020:

2.7

Additional Desalination Capacity. As described in section 2.4, Salalah needs new water desalination
capacity soon, and a water-only IWP may be procured with capacity up to about 80,000 m3/d (18
MIGD).

Power Generation Capacity. The Salalah 2 IPP is expected to provide sufficient capacity to meet the
generation security standard until around 2021, depending upon demand growth. Procurement
activities to meet the next plant, nominally the Salalah 3 IPP (or potentially IWPP), may be expected
to begin around 2017.

Temporary Generation. There is a possibility that temporary generation may be required in 2017,
before the Salalah 2 IPP is operational, in the event that demand were to follow the High Case
scenario. This will be reassessed in the coming years.

FUEL REQUIREMENTS

2013 Fuel Usage

Both power generation plants in the Salalah System use natural gas. Total gas consumption in 2013 was about
0.72 billion Sm3 (equivalent to 2 million Sm3/d), about the same as in 2012 despite 9% growth in electricity
production. The peak daily gas consumption was 2.4 million Sm3 in 2013, also similar to 2012.
Projected Fuel Requirements
OPWP has prepared indicative projections for the fuel requirements of the Salalah System over the 2014-2020
period, under the Expected Demand, Low Case and High Case demand scenarios. These projections are based
on a number of key assumptions, including:

new gas-fueled generation, the Salalah 2 IPP, is assumed to be added in 2018, with a similar fuel
efficiency to the Salalah IWPP;

any generation shortfalls, such as if the demand followed the High Case scenario, would be met by
diesel-fueled temporary generation; and

no commercial imports or exports over the PDO interconnection are assumed to occur.

The projections are shown in Figure 14.

7-Year Statement (2014-2020)

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