Electric vehicle regulation and law in Oman

Oman has a vision to utilise cleaner and renewable energy in the near future. The Authority for Electricity Regulations is developing a clear framework for EVs – without such a framework, the government cannot allow petrol stations to have charging stations. Some sources say that there are currently 12 charging stations in the sultanate, but they were only installed in two locations for an event held by Global EVRT.

1. What EVs have been deployed in your jurisdiction to date?

To date, it is not clear how many EVs have been deployed in Oman, and what type. There is no centralised database and the information is not publicly available.

2. Is there any specific legislation for/regulation of EVs in your jurisdiction?

The Authority for Electricity Regulation is working on legislation for the regulation of EVs in the Sultanate of Oman. This government regulatory entity is looking to devise a framework for regulating and enforcing regulations for EVs.

3. What measures promote EVs in your jurisdiction?

The only measure taken to promote EVs in Oman to date was an event organised by Global EVRT and held in January 2018. It showcased 10 EVs travelling from Abu Dhabi to Muscat. There were the only two stops for this road trip – one in Muscat and one in Sohar, both at IHG group hotels – where the promoters demonstrated EV charging stations.

4. Who are the main entities (e.g. developers, government, System Operator) and what are their roles in the deployment of EVs in your jurisdiction?

  • Authority for Electricity Regulation: The authority is currently working on the framework for EVs regulation and the introduction, management and operation of charging stations. This government entity is likely be the main regulator for the sector.
  • Vehicle manufacturers: These companies can help the regulators to determine what operational and regulatory requirements need to be put in place to manage their enforcement.
  • Charging stations developers: These entities can be used by the regulator to know how the charging stations will be installed and what will be needed in terms of practical requirements for ongoing operation and management, including the different types of charges (i.e. fast chargers, home chargers, etc.).
  • Petrol station companies: These entities will have input on how they want to provide charging stations and ancillary services for EVs.
  • Governmental entities:
    • The Ministry of Environment and Climate Affairs – This government ministry is likely to be key in forming the regulatory landscape and promoting the use of EVs within the jurisdiction. In addition to EVs, they will have input into the regulation of hybrids, petrol and diesel cars.
    • Public Authority for Water and Electricity and NAMA Group SAOC – These two government bodies are often heavily involved with the policy drivers for energy and energy-related projects in the sultanate. Even at a cursory level, each entity is likely to be consulted on the introduction of framework for EVs.

5. What are the main challenges to further deployment of EVs in your jurisdiction? How have EV developers sought to overcome these challenges to date?

Currently the main challenges involve finalising the framework for EVs in the Sultanate of Oman – what it should cover, how it will look, who should be responsible for enforcement and legislative change – and how the industry establishes and operates itself in the interim. One of the key consideration is how the regulator will deal with charging stations, including issues such as tariff fixing, separate locations to petrol stations/conjoined, annual requirements, and government registrations (e.g. Mulkiya registration and renewal). As part of this analysis, detailed information will be needed concerning whether to pitch the tariffs at a higher, lower or equivalent price to conventional petrol or fuel cars. For a country that is so heavily dependent on its hydrocarbon industry, re-focusing attention on “greener” and more environmentally-friendly vehicles would represent an absolute sea-change at many levels, in both the public and private sector.

Portrait ofBen Ewing
Ben Ewing
Partner
Muscat