Low oil prices and high domestic energy subsidies have led Oman to predict a budget deficit this year. But, Muscat’s resulting plans for economic reforms could make OPWP’s powergen plans more secure.

Oman aims to reduce spending by 11% this year; new fuel prices will be announced later this month with a view to slashing subsidies by a massive 56% (see p17). With the UAE raising transport fuel prices last August and Saudi Arabia last week raising prices for fuel and electricity ...