Nama Group working on integrating its distribution, supply companies

Muscat: In order to enhance efficiency and reduce operational and administrative costs of electricity, Nama Group is continuing to work on implementing the integration of distribution and supply companies.

The group is is currently working on merger of the distribution and supply companies of the group into two companies — a company for supply and another for distribution in all the governorates of the Sultanate, except Dhofar, according to an official source from the communication and sustainability department of Nama Group.

The step is aimed at enhancing the competence and reduction of operating and administration costs. The source said that the initiative of restructuring the distribution and supply companies came within a package of initiatives aimed to review the costs in electricity sector.

The source said that Nama Holding is working with a number of government departments represented by the Ministry of Energy and Minerals, the Oman Investment Authority (OIA) and the Authority for Public Services Regulation on execution of all initiatives including the one on merging the distribution and supply companies.

The source also pointed out that there are currently four companies for distribution and supply in Oman (except Dhofar Governorate) and upon restructuring there would be one company for the supply services (represented by billing and collection) and another company for distribution services and for meter and low-voltage networks including installation of power lines and transformers for distribution of the service for customers.

The initiative on restructuring aimed to reduce the costs in electricity sector in the mid-term  and to upgrade the capacity of the group and develop the service and customers’ satisfaction with regard to the services offered as well as development of the services to keep abreast of the technological advancement in customers’ services.

The year 2021 has seen approval of the biggest number of billing and payment activities which facilitated online receipt and payment of bills, said the source adding that the number of customers of e-payment channels increased to over 63 per cent of all payments collected from customers.