New mechanisms to bolster appeal of Oman's Round 3 hydrogen auction
Launched in April 2025, Round 3 centres on a 300 sq km land block in Duqm. Prospective developers may bid for a minimum of 100 sq km, with the flexibility to define their project footprint within the block. This approach allows bidders to tailor configurations in line with their strategies and market outlook.
According to Abdulaziz al Shidhani, Managing Director of Hydrom, the latest round has been designed with enhanced flexibility to better align with investor expectations.
'We offered a 300-square-kilometre block where bidders can propose developing a third, two-thirds, or the entire area, depending on their capabilities. We can award the land to one, two, or three developers. Strategically, the message is that Oman is committed yet agile,' he told The Energy Year, a UK-based energy news portal.
Crucially, Hydrom has embedded several new features into the auction process to elicit a stronger investor response. 'We're introducing mechanisms such as a double-sided auction with a contract-for-difference model, and a downstream auction aimed at domestic industry,' Al Shidhani explained.
'These initiatives are designed to stimulate local hydrogen demand by bridging the price gap between suppliers and buyers. We're also allowing phased project development. Instead of delivering the full 50,000 tonnes per year within seven years, developers can start small and scale up.'
Additional incentives—yet to be disclosed—will reward developers that meet specific milestones, he noted. 'Importantly, only 4 per cent of Oman's 50,000-square-kilometre hydrogen potential has been allocated so far. We're serious about scaling but also balanced about risk,' he added.
While optimism surrounds the auction, Al Shidhani acknowledged ongoing challenges facing the global hydrogen industry, such as political transitions and policy delays in key markets including Germany and Japan.
One critical challenge being addressed by Hydrom is the imbalance between global hydrogen supply and demand. 'We're tackling this through government-to-government agreements with Japan, South Korea, Germany, the Netherlands, Belgium, and Singapore,' he said. 'These aren't just MoUs—we conduct workshops, run joint studies, and have launched the world's first liquid hydrogen corridor with partners in Germany and the Netherlands.'
Domestically, Hydrom is also focusing on building a viable local market for hydrogen. 'We're exploring downstream applications and support tools like the double-sided auction model to make green hydrogen affordable for local industries without undermining competitiveness,' he said. 'We're not waiting for perfect conditions—we're pushing ahead with real engagements and infrastructure planning.'
Also aiding investor convenience is a streamlined permit system that consolidates approvals across multiple government agencies. 'We had a major breakthrough with the single automatic permit system,' Al Shidhani said. 'Previously, developers needed clearances from 36 entities. That's now down to just nine. Through the newly launched Oman platform, once a project is approved, developers receive access to all requirements, and full land access is granted the next day. This automated system has dramatically reduced administrative bottlenecks.'
While underscoring Hydrom's central role in orchestrating Oman's green hydrogen ambitions, Al Shidhani emphasized that the success of the sector depends on collective action.
'Hydrom remains the coordinator, but success hinges on ecosystem partners delivering on their responsibilities,' he said. 'We expect our first hydrogen plant to be operational between 2029 and 2031.'
2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (Syndigate.info).
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
12 minutes ago
- Zawya
Spotify to raise premium subscription price in select markets from September
Spotify said on Monday it would increase monthly price of its premium individual subscription in select markets from September, as the Swedish streaming giant looks to improve margins. The company's shares jumped nearly 8%. They have gained about 40% so far this year. The subscription price will rise to 11.99 euros ($13.86) per month from 10.99 euros in markets including South Asia, the Middle East, Africa, Europe, Latin America and the Asia-Pacific region. Spotify said subscribers will receive an email explaining the price rise over the next month. Price increases in the past, combined with cost-cutting efforts in recent years, have helped it to achieve its first annual profit for 2024. The company saw an increase in monthly active users and premium subscribers during the second quarter, while higher taxes related to employee salaries led it to post a loss during the period and weighed on its third-quarter profit forecast. Spotify has been expanding its library of video content to attract subscribers, including through its partner program, which is designed to help podcast creators by offering them monetization options. A growing number of creators are joining the Spotify Partner Program, resulting in a significant increase in video content on the platform, CEO Daniel Ek had earlier told Reuters. The streaming company is also benefiting from Apple's approval of its U.S. app update to show subscription prices and external payment links, after a judge barred the iPhone maker from charging commission on off-app purchases. Ek said this change has led to "a very positive uptick" in the U.S. If similar rules are adopted in Europe and the UK, it would benefit both Spotify and other app developers. ($1 = 0.8650 euros) (Reporting by Jaspreet Singh in Bengaluru; Editing by Shilpi Majumdar)
Khaleej Times
42 minutes ago
- Khaleej Times
Spotify to hike premium subscription price in the Middle East, other markets
Spotify said on Monday it would increase the monthly price of its premium individual subscription in select markets from September, as the Swedish streaming giant looks to improve margins. Spotify's shares rose more than 5% in premarket trading. They have gained about 40% so far this year. The company said subscribers will receive an email explaining the price increase over the next month. Price increases in the past, combined with cost-cutting efforts in recent years, have helped Spotify achieve its first annual profit for 2024. But the company forecast its third-quarter profit below analysts' estimates last month, as higher taxes related to employee salaries outweighed music streaming demand. It saw an increase in monthly active users and premium subscribers during the second quarter. The subscription price will rise to 11.99 euros ($13.86) per month from 10.99 euros in markets including South Asia, the Middle East, Africa, Europe, Latin America and the Asia-Pacific region. Spotify is also benefiting from Apple's approval of the Swedish company's US app update to show subscription prices and external payment links, after a judge barred the iPhone maker from charging commission on off-app purchases. The audio streaming company's CEO Daniel Ek said this change has led to "a very positive uptick" in the US He also said that if similar rules are adopted in Europe and the UK, it would benefit both Spotify and other app developers. Spotify has been expanding its library of video content to attract subscribers, including through its partner programme, which is designed to help podcast creators by offering them monetisation options. A growing number of creators are joining the Spotify Partner Programme, resulting in a significant increase in video content on our platform, Ek had earlier said.
Khaleej Times
42 minutes ago
- Khaleej Times
UAE hotels offer free waterpark tickets, chance to win all-expense paid trip during summer
Hotels in the UAE have ramped up offerings, services and experiences to boost occupancy levels during the ongoing summer holidays for individuals and families, offering free tickets to water parks, aqua aerobics and yoga sessions among others. As tourist inflow slows down during the summer, hotels in the country increasingly target residents for staycations to boost occupancy levels. A Sharjah hotel has adjusted its beach opening hours in the morning to allow early risers to experience the serenity of sunrise by the sea. 'We also host daily aqua aerobics and periodic yoga sessions to promote fitness and mindfulness as part of every guest's stay,' Iftikhar Hamdani, area general manager for Northern Emirates at Bahi Ajman Palace Hotel and Coral Beach Resort, Sharjah, said. He added that to improve the experiences of family guests, the hotel has introduced live cooking stations, along with peacocks and rabbits in the gardens. Without sharing figures, Hamdani confirmed that these initiatives have helped increase occupancy rates at the hotels this year as compared to last year. 'Our aggressive social media campaign has significantly boosted direct bookings this year, breaking records in both telephonic and online reservations through our website. Additionally, our all-inclusive package has positively impacted occupancy rates from the local market compared to last year, and our enhanced food quality and live cooking stations have greatly impressed our staycation guests,' he added. Meanwhile, Central Hotels and Resorts added new dining venues, upgraded all rooms, included a fully automated in-room guest experience system, and a dynamic pricing strategy, according to Abdulla Ahmad Ali Al Abdulla Al Ansari, chief operating officer and group general manager. "All restaurant menus and payment systems will move to QR code access in the coming months. To prepare for the busy season, a lively entertainment programme will launch across all hotels, featuring live DJs,' he added. Al Ansari is optimistic that the planned initiatives and improvements will help drive stronger business performance in the coming months. Kempinski Hotels announced a new Double Discovery Dollar Promotion for members, allowing guests to earn twice the Discovery Dollars (D$) on all eligible direct bookings from August 1 to September 30, 2025. The limited-time promotion is available across the entire Global Hotel Alliance (GHA) Discovery portfolio, which includes more than 850 hotels across 45 brands worldwide, doubling the earning potential for travellers seeking indulgent dining, spa treatments, and other experiences. 'Meaningful hospitality begins with understanding what makes each guest unique. Our loyalty philosophy is simple — recognise individuality, reward curiosity and inspire new journeys,' said Yannick Brandner, director of corporate loyalty, Kempinski Hotels. Rixos Premium Dubai is offering guests who stay three nights or longer tickets to the world's largest waterpark in Atlantis to enjoy a day full of thrills. JA Resorts & Hotels has introduced bespoke staycation itineraries with tailored activities and amenities. All guests will receive a personalised boarding pass welcome card at check-in, complete with custom itinerary and any special celebrations, as well as the JA Passport, a fun resort activity map and stamp-collection card. Visitors can collect a stamp each time they conquer a new activity to unlock rewards that range from instant treats to entry into a draw for an all-expenses-paid family escape to JA Manafaru in the Maldives.
