Definition
Energy transition refers to the structural shift of a country’s energy system from fossil-fuel dominance toward low-carbon and renewable sources such as solar, wind, hydrogen, and nuclear power. It encompasses changes in energy production, distribution, storage, and consumption patterns. The transition is driven by climate commitments, technological advances, declining renewable-energy costs, and evolving market expectations. For hydrocarbon-producing nations, it also means repositioning their economies to remain competitive as global oil and gas demand evolves.
Context in Oman
Oman has committed to reaching net-zero greenhouse-gas emissions by 2050 and is pursuing one of the most ambitious renewable-energy programmes in the Gulf. The Oman National Energy Strategy targets at least 30 percent of electricity generation from renewables by 2030. The Ibri II solar plant, the country’s first utility-scale photovoltaic project, delivers 500 megawatts. Meanwhile, the national green-hydrogen strategy envisions producing at least one million tonnes annually by 2030, leveraging Oman’s vast solar and wind resources and strategic port infrastructure.
Connection to Vision 2040
Vision 2040 frames the energy transition as both an environmental imperative and an economic opportunity. By becoming a major green-hydrogen exporter, Oman can replace declining oil revenues with a new, sustainable commodity. The strategy also emphasises energy efficiency, grid modernisation, and domestic gas-market reform. Transitioning the energy mix helps attract foreign investment from climate-conscious capital pools and positions Oman favourably in emerging carbon markets.
Key Facts
Oman targets net-zero emissions by 2050, announced at COP27. The Ibri II solar project provides 500 MW of capacity, enough to power 33,000 homes. Oman has allocated over 15,000 square kilometres for green-hydrogen production zones. The Oman Hydrogen Strategy targets at least one million tonnes of green hydrogen per year by 2030. Hyport Duqm and ACME are among the major hydrogen projects under development.