Having established a comprehensive tariff structure for the electricity sector in the Sultanate of Oman, the Utilities Regulatory Authority (PSRA) is now looking to roll out a similar strategy for the water and wastewater sector. recently restructured of the country.
To this end, the Authority – whose broad mandates include regulating the water utility sector in Oman – has invited qualified consultants to tender for its contract to help it develop a tariff strategy for the water utility sector. country water.
A major restructuring of the water services sector, completed about two years ago, resulted in the creation of two new entities to oversee the supply of drinking water, sewerage services and the sale of treated effluent. Oman Water and Wastewater Services Co (OWWSC), the larger of the two entities, has a geographic mission encompassing all of Oman, except Dhofar Governorate. Responsibility for Dhofar rests with the Dhofar Integrated Services Company (DISC).
The proposed new tariff structure, according to the Authority, will be global. “The Authority is seeking to develop a pricing strategy for all fees charged to customers, for example, but not limited to, service connection fees, disconnection/reconnection fees, meter inspection fees that will support the realization of these benefits,” she said in a statement. information document on its initiative.
It is estimated that 650,000 customers are connected to OWWSC’s piped water systems, representing about 70% of the total residential population in the country (outside Dhofar Governorate). The rest is served by tank trucks. In the south of the country, DISC covers customers in its license area through a system of pipeline networks and tank truck supply.
In addition, the two entities have also put in place agreements to meet the bulk supply needs of industrial cities and free zones, integrated tourist complexes and certain residential areas, in addition to supporting supply networks by tank trucks. In addition, approximately 30 private investor networks – private networks that provide piped power to customers in licensed areas within the OWWSC license – cater to customers ranging in size from 100 connections to more than 2,000 connections.
Significantly, one of the main underlying objectives of the water sector tariff strategy is to “unify” the somewhat disparate tariffs currently charged by licensed operators for different types of services provided in the sector. Another equally important objective is to achieve a gradual reduction of the large government subsidy currently enjoyed by consumers, according to the Authority.
The APSR should soon name its choice of an appropriate consultant for the water sector tariff strategy.
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