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This Electronic Thesis Or Dissertation Has Been Downloaded from the King’S Research Portal At This electronic thesis or dissertation has been downloaded from the King’s Research Portal at https://kclpure.kcl.ac.uk/portal/ The role of energy diversification policy in enhancing the sustainability of Omani energy sector Middle East & Mediterranean studies Alhinai, Badar Ali Awarding institution: King's College London The copyright of this thesis rests with the author and no quotation from it or information derived from it may be published without proper acknowledgement. END USER LICENCE AGREEMENT Unless another licence is stated on the immediately following page this work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International licence. https://creativecommons.org/licenses/by-nc-nd/4.0/ You are free to copy, distribute and transmit the work Under the following conditions: Attribution: You must attribute the work in the manner specified by the author (but not in any way that suggests that they endorse you or your use of the work). Non Commercial: You may not use this work for commercial purposes. No Derivative Works - You may not alter, transform, or build upon this work. Any of these conditions can be waived if you receive permission from the author. Your fair dealings and other rights are in no way affected by the above. Take down policy If you believe that this document breaches copyright please contact [email protected] providing details, and we will remove access to the work immediately and investigate your claim. Download date: 03. Oct. 2021 THE ROLE OF ENERGY DIVERSIFICATION POLICY IN ENHANCING THE SUSTAINABILITY OF OMANI ENERGY SECTOR Middle East & Mediterranean Studies Badar Ali Zahir Al Hinai This Thesis is submitted for the degree of Doctor of Philosophy of King's College London King's College London 2018 1 Abstract Much research has previously been done into the benefits of energy diversification for national economies; however, these studies have focused on oil-importing countries. This study examines how diversification of the energy sectors in oil-exporting countries could shift the reliance on depletable energy resources to a more sustainable model of renewable energy resources. This study extends the existing literature on energy diversification from oil- importing countries to the previously unstudied region of oil-exporting countries (GCC countries), with a focus on Oman. It fills a gap in worldwide knowledge about energy sustainability in countries which have a unique economic structure where the economy depends majorly on oil and gas revenues. By distinguishing rules and regulations, technology choices, and policies and strategies according to current energy usage, the thesis explains why oil- exporting countries such as Oman have been slower than other parts of the world in implementing energy diversification policy to enhance their energy sustainability, despite having made efforts to substantially improve their oil extraction techniques. This failure to diversify to renewable resources is largely because of the absence of suitable energy policy, as well as oil and gas abundance and large government subsidies that reduce costs of energy use for residents, both of which encourage inefficient energy use and increasing demand. By using a primary mixed methods approach of semi-structured interviews (25 interviews with government officials, academics, and private sector employees) and a case study research design, the study shows that the impact of energy diversification policy in the energy sector of Oman is poor, mainly because of inadequate political will and the heavily fossil fuel-dependent energy structure of Oman. Based on these findings, the study proposes ways in which oil- exporting countries can reduce their local dependence on oil and gas resources and increase their energy efficiency and conservation measures. Policy makers should use the findings of this study to create strong renewable energy policies, academics should use them to further focus on this important subject and private sector companies in the energy field can also benefit by implementing some of the energy-saving measures described. 2 Acknowledgements I would like to take this opportunity to express my feelings and happiness of having studied at King’s College London. The study would not have been possible without the encouragement and support of the university and the department of Middle Eastern Studies. I would like also to express my high appreciation to the Omani government for providing me the financial support to pursue this PhD research work, especially the Research Council of Oman. I am indebted to my supervisors, Dr. Mayssoun Sukarieh, Professor Rory Miller, and Dr. Ashraf Mishrif, my three supervisors, for their guidance with wisdom and unlimited support throughout this research work. Also, I’d like to thank Professor Michael Kerr and Dr. Stacey Gutkowski for their vital help, support and encouragements. Especial thanks are due to individuals who facilitated and took part in the semi-structure interviews. My deepest appreciation and most heartfelt thanks go to my mother and my brothers and sisters for their encouragement and their prayers for me to achieve success in this research work. Finally, very special thanks to my wife Um Hilal and my children for their sacrifices, support and encouragement throughout the entire journey. I dedicate this work to my beloved country, the Sultanate of Oman. 3 Table of Contents Abstract ........................................................................................................................... 2 Acknowledgements .......................................................................................................... 3 Table of Contents ............................................................................................................. 4 List of Figures ................................................................................................................... 9 List of Tables .................................................................................................................. 11 Abbreviations ................................................................................................................. 12 Map of Oman ................................................................................................................. 14 Chapter 1 Introduction ............................................................................................ 15 1.1 Introduction .............................................................................................................. 16 1.2 Research aims and objectives ..................................................................................... 19 1.3 Research questions .................................................................................................... 20 1.4 Research significance and contribution ....................................................................... 20 1.5 Research design and methodology ............................................................................. 22 1.6 Semi-structured interviews ........................................................................................ 22 1.7 Secondary data sources .............................................................................................. 23 1.8 Scope of the research ................................................................................................. 23 1.9 Rationale for selection of Oman as a case study .......................................................... 24 1.10 Population ................................................................................................................. 26 1.11 Labour force .............................................................................................................. 30 1.12 Economy .................................................................................................................... 32 1.13 Structure of the thesis ................................................................................................ 35 1.14 Research Limitations .................................................................................................. 37 Chapter 2 Theoretical Perspective and Literature Review on Energy Diversification and Sustainability ................................................................................................................. 39 4 2.1 Introduction .............................................................................................................. 40 2.2 The objectives of energy diversification resources ...................................................... 41 2.2.1 The need for energy sustainability ............................................................................................... 41 2.2.2 Fossil fuels, environmental concerns, and renewable energy in relation to sustainability .......... 48 2.3 Energy security .......................................................................................................... 54 2.3.1 Security of energy supply and demand ........................................................................................ 57 2.4 Energy efficiency and conservation ............................................................................. 58 2.5 Energy pricing ............................................................................................................ 60 2.6 Renewable and non-renewable energy challenges and opportunities in oil-exporting countries ..............................................................................................................................
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