Circular Water Economy in Muscat delivers a comprehensive and data-driven analysis of Oman’s capital city water sector, examining how Muscat is transforming its water management systems to ensure sustainability, efficiency, and resilience. The report explores the city’s transition from a linear “use and dispose” model to a Circular Water Economy (CWE) grounded in the 5Rs—Reduce, Reuse, Recycle, Recover, and Restore—aligned with Oman Vision 2040 and the national Net Zero 2050 roadmap.

Key Insights

Strategic Water Transition

Muscat is addressing its heavy reliance on desalination—currently providing 75% of supply—through diversification with treated wastewater reuse, surface water purification, and renewable-powered desalination, strengthening long-term resource security.

Digital Transformation and Efficiency

Over 320,000 smart meters, AI-based leak detection systems, and phased tariff reforms are driving efficiency gains, reducing Non-Revenue Water (NRW) from 40.7% to 39.6%, with a target of just 10% by 2036.

Wastewater Reuse and Recycle Leadership

Muscat has achieved an 86% treated effluent utilization rate and aims to produce 100 million m³ annually by 2030, setting a regional benchmark for wastewater reuse and recycling practices across the GCC.

Resource Recovery and Carbon Reduction

Nama Water Services (NWS) is advancing sludge-to-biogas conversion, compost production, and nutrient recovery initiatives to offset costs and lower greenhouse gas emissions associated with energy-intensive desalination operations.

Resilience and Natural Capital Restoration

Muscat is investing heavily in flood management and ecosystem restoration through major projects such as the Al Jiffnain Diversion Channel and Wadi Dayqah Dam, enhancing protection in a city where 45% of land is flood-prone.

Governance, Finance, and Policy Integration

Oman’s strong legal and financial framework—anchored by Royal Decree No. 40/2023 and the OWWSC Sustainable Finance Framework—enables investment through Green, Blue, and Social Bonds while maintaining alignment with national decarbonization goals.

Future Pathways and Regional Leadership

Muscat’s roadmap prioritizes scaling digitalization, advancing green desalination, and fostering cross-GCC collaboration to strengthen regional water security, climate resilience, and sustainable growth.

Designed for policymakers, utilities, consultants, and investors, Circular Water Economy in Muscat offers strategic foresight and actionable intelligence on achieving sustainable, low-carbon, and climate-resilient urban water systems in one of the world’s most water-scarce environments.