The Oman Electricity Transmission Company SAOC (OETC) is the monopoly provider of transmission services in the MIS and Dhofar Systems. OETC owns and operates the 220 kV, 132 kV and 400 kV interconnected transmission systems, and as system operator is responsible for the central dispatch of generating and desalination facilities connected to the MIS and Dhofar Systems.
After electricity is produced at the various power plants it has to reach the customers that use the electricity. High voltage transmission lines carry electricity long distances to a substation. The power lines go into substations near businesses, factories and homes. Here transformers change the very high voltage electricity back into lower voltage electricity. The distribution system is the last stage in the electricity production, as the distribution system reduces the voltage and then transfer electricity to customers. In addition to substations, the distribution system includes wiring, poles, measurement, billing and related support systems.
In MIS, distribution and supply companies (Muscat, Majan and Mazoon) pay the Oman Electricity Transmission Company to connect to the company's network (distribution work) and use the network (supply works). These companies also pay OPWP for bulk electricity purchases through bulk supply tariffs, which include costs paid by the company for its electricity purchases.
In DPC, Dhofar Power Company in the South pays the Oman Electricity Transmission Company to connect to the company's network (distribution work) and use the network (supply works). It also pays the Omani Power and Water Purchase Company for bulk electricity purchases through bulk supply tariff. It also has monopoly rights to carry out these works to distribute and supply electricity in the authorized areas stipulated in the licenses of these companies.