Total assets of Nama Electricity Distribution soar to RO 2.16 bn
Published: 02:08 PM,Aug 08,2024 | EDITED : 06:08 PM,Aug 08,2024
System Information
MUSCAT: Wholly state-owned Nama Electricity Distribution Company (NEDC), created out of the merger of local distribution and supply entities, has seen assets grow to RO 2.16 billion in value by the end of 2023, bolstered by investments of RO 126 million during the past year alone.
Ala Hassan Moosa, CEO, said the new investments have boosted the company’s network capacity to 20,549.5 megavolt-amperes (MVA), underpinned by 101 grid stations, 686 primary substations and 97,244 km of overhead and underground circuit lines crisscrossing the length and breadth of the country.
“This year marked a transformative phase for us, as we successfully merged four leading entities in Oman, solidifying our position as the nation's largest electricity distribution company, with assets totaling RO 2.16 billion,” he said in the company’s maiden Annual Report post its establishment last year.
“I'm pleased to report that our customer base exceeded 1.3 million, contributing to a revenue of RO 233.1 million, with a gross profit of RO 118.96 million and a profit before tax of RO 9.06 million. Our expansion of assets is the result of ongoing investments in infrastructure and technology, ensuring a reliable network.”
Those comments came in the first annual report of NEDC following the completion of a comprehensive restructuring of four existing Nama Group subsidiaries: Muscat Electricity and Distribution Company (MEDC), Mazoon Electricity Company, Majan Electricity Company, and Tanweer.
Emerging from that exercise were two new entities: Nama Electricity Distribution (responsible for the low-voltage supply and distribution networks, as well as metering), and Nama Supply (handling billing and collections). As for Dhofar Governorate, which was not included in the restructuring exercise, a new entity named Nama Dhofar Services was created to oversee the provision of electrical, water, and wastewater services in the governorate. Nama Group, the parent company of all these subsidiaries, operates under the auspices of Oman Investment Authority (OIA).
Board Member Rashid Sultan al Hashmi said the merger process, which commenced mid-year in 2023, was a “strategic move” aligning NEDC with the national priorities set forth by OIA and Nama Holding, while maximizing value for the shareholders.
“As we move forward, NEDC remains dedicated to delivering value through Innovation, Governance and Leveraging People Capabilities positioning us for sustained success in the dynamic energy landscape,” he stated.
NEDC’s 1.3 million customers are distributed across three geographical zones covering a total area of 210,000 km2 (with the exception of Dhofar Governorate). These operational zones have been created based on the difference in load density and geographical location. Zone 1 covers the wilayats of Muscat Governorate, Zone 2 – Al Dakhiliya, Al Sharqiyah North and South, and Al Wusta, and Zone 3 – Musandam, Al Buraimi, Al Dhahirah, North and South Batinah.
Ala Hassan Moosa, CEO, said the new investments have boosted the company’s network capacity to 20,549.5 megavolt-amperes (MVA), underpinned by 101 grid stations, 686 primary substations and 97,244 km of overhead and underground circuit lines crisscrossing the length and breadth of the country.
“This year marked a transformative phase for us, as we successfully merged four leading entities in Oman, solidifying our position as the nation's largest electricity distribution company, with assets totaling RO 2.16 billion,” he said in the company’s maiden Annual Report post its establishment last year.
“I'm pleased to report that our customer base exceeded 1.3 million, contributing to a revenue of RO 233.1 million, with a gross profit of RO 118.96 million and a profit before tax of RO 9.06 million. Our expansion of assets is the result of ongoing investments in infrastructure and technology, ensuring a reliable network.”
Those comments came in the first annual report of NEDC following the completion of a comprehensive restructuring of four existing Nama Group subsidiaries: Muscat Electricity and Distribution Company (MEDC), Mazoon Electricity Company, Majan Electricity Company, and Tanweer.
Emerging from that exercise were two new entities: Nama Electricity Distribution (responsible for the low-voltage supply and distribution networks, as well as metering), and Nama Supply (handling billing and collections). As for Dhofar Governorate, which was not included in the restructuring exercise, a new entity named Nama Dhofar Services was created to oversee the provision of electrical, water, and wastewater services in the governorate. Nama Group, the parent company of all these subsidiaries, operates under the auspices of Oman Investment Authority (OIA).
Board Member Rashid Sultan al Hashmi said the merger process, which commenced mid-year in 2023, was a “strategic move” aligning NEDC with the national priorities set forth by OIA and Nama Holding, while maximizing value for the shareholders.
“As we move forward, NEDC remains dedicated to delivering value through Innovation, Governance and Leveraging People Capabilities positioning us for sustained success in the dynamic energy landscape,” he stated.
NEDC’s 1.3 million customers are distributed across three geographical zones covering a total area of 210,000 km2 (with the exception of Dhofar Governorate). These operational zones have been created based on the difference in load density and geographical location. Zone 1 covers the wilayats of Muscat Governorate, Zone 2 – Al Dakhiliya, Al Sharqiyah North and South, and Al Wusta, and Zone 3 – Musandam, Al Buraimi, Al Dhahirah, North and South Batinah.