Muscat, Oman – The small and medium-sized enterprises (SMEs) are playing a critical role in ushering in Oman’s shift towards a low carbon economy, a report released by Tejarah Talks has revealed. The report highlights the significance of eco-innovation, eco-adoption, and eco-entrepreneurship in harnessing the potential of SMEs to contribute to green growth.
A growing number of Omani SMEs are actively transforming their business models to embrace sustainable practices in response to heightened awareness of their carbon footprint, Maymuna Al Adawi, the Director of Public Private Partnerships at the Ministry of Commerce, Industry and Investment Promotion and the organizer of Tejarah Talks, said.
“Their approaches include the provision of climate and environment-focused services, as well as the innovation of new technologies and green products,” Al Adawi said. “By aligning operations with sustainability goals, local SMEs are positioning themselves as frontrunners in Oman’s journey towards achieving net-zero emissions.”
The SMEs account for 90 percent of firms worldwide and consume 13 percent of energy used by businesses, Though their individual environmental footprint may appear modest, their cumulative contribution to industrial pollution is substantial, highlighting the immense potential of SMEs for driving green growth.
On May 1, the Omani Ministry of Housing and Urban Planning granted SMEs the right to utilize state-owned lands. The decision aimed to support and facilitate the growth of SMEs in the country.
Under the new facility, small and medium enterprises will be able to access state-owned lands while adhering to the existing laws and regulations governing land usufruct in Oman. The ministry committed to allocating no less than 10 percent of land in commercial, industrial, agricultural, and tourism zones for SMEs, making it readily available for distribution under the usufruct system.
To be eligible for this privilege, certain requirements must be met by SMEs. First, the establishment must be entirely owned by an Omani citizen. The institution’s headquarters must be located within the Sultanate of Oman, and the owner should be actively involved in managing the enterprise.
Registration as an employer with the Ministry of Labour is mandatory, along with being registered with the Small and Medium Enterprises Development Authority and possessing an entrepreneurship card
The resolution emphasizes that each SME will only be granted the right to use one land plot. When determining the allocation of lands among multiple enterprises, factors such as the nature and significance of the project, its economic viability, and the level of Omanisation will be taken into account. Priority will be given to enterprises that demonstrate higher rates of Omanisation and those that submit their applications first.