Muscat – Ten agreements were signed in Muscat on Wednesday with small and medium-sized enterprises (SMEs) and local and international companies to localise the manufacturing of essential components used in the electrical transformer industry.

The agreements involve expected investments of around RO15mn and were signed as part of the ‘Localise It: From Vision to Partnerships’ initiative, organised by the Authority for Public Services Regulation (APSR) in cooperation with Voltamp Energy Company.

The agreements comprise 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, helping expand Oman’s manufacturing base, enhance local content and develop supply chains related to the electricity sector.

The signing ceremony was held under the patronage of H E Salim bin Nasser Al Aufi, Minister of Energy and Minerals.

Dr Mansour bin Talib Al Hinai, Chairman of APSR, said the agreements represent a practical step towards localising strategic industries, increasing local content and enabling SMEs to participate in industrial value chains.

He said the projects would help expand investment and production opportunities, increase local added value and strengthen the competitiveness of the national economy.

Al Hinai noted that localising the manufacturing of electrical transformer components would create opportunities for knowledge and technology transfer, develop national talent and generate quality employment, while attracting investment and strengthening national companies.

The seven new factories will manufacture eight essential components for electrical transformers in Oman, while new production lines at two existing factories will produce two additional components.

The projects are expected to be developed on a combined area of around 34,000 sqm and will create direct employment opportunities for Omanis, as well as indirect jobs in related services and supporting industries. Commercial production at the new facilities is expected to begin in 2027 and 2028.

The agreements are also expected to increase the participation of national companies and attract local and international expertise and investment. The four agreements with local SMEs will enable them to establish new industrial projects and expand their participation in the electricity sector’s value chains.

The six agreements with local and international companies will strengthen investment partnerships, facilitate the integration of local and global expertise, support knowledge and technology transfer, and enhance industrial and technical capabilities.

Localising the manufacture of these components is also expected to strengthen the resilience and security of supply chains, reduce reliance on imports and mitigate risks arising from supply disruptions and global market volatility.

The initiative is further aimed at attracting new industrial investment, developing value-added industries and building national expertise in engineering, technical and operational fields. It will also help retain a greater share of procurement spending within the national economy and establish a stronger industrial base capable of expanding into regional and global markets.

The initiative is the result of cooperation between APSR and Voltamp Energy to identify local industrial opportunities, stimulate investment in electricity-related industries and link the sector’s requirements with opportunities available to investors and national companies.

It forms part of a broader effort to localise industries and supply chains supporting public service sectors by turning their requirements into sustainable economic and industrial opportunities, in line with the objectives of Oman Vision 2040.

ONA