MONTHLY REPORT

JANUARY 2016
 INDEX

S. Nos. Description Page No.

1 Executive Summary 1
2 Operation 2
KPI 2
No. of Starts 2
Gas Loss 3
3 Production Activities 4
Operating Results: 4
- Total Power Generation 4
- Total Water Production 4
- Power & Water Units availability 4
- Power & Water Units reliability 4
Planned & Unplanned outages 4
4 Health, Safety & Environment 5
HSE KPI 5
LTA Record graph 5
HSE Activities 5
5 Stores 6
Stores Receipt & Issue report 6
6 Human Resources 6
PEOPLE KPI 6
Training Activities 6
7 Financial Results 7
Income statement 7
Cash flow statement 7
Variance Analysis 8
8 Area of Concern 9
9 Decommissioning of Ghubrah Power & Desalination 10
10 Status of the strategic program (5 Pillars) 11-12
11 Loss of Revenue summary 13-14
12 Major Projects & Decommissioning status 15
13 Events 16-17
 Safe Home project ceremony

Operation
Actual Budgeted

Total Power Generated : 155,704 MWH 132,518 MWH

Total Water Produced : 2,298,859 CuM 2,134,075 CuM

Maintenance

Major Maintenance : GT/A # 4 & GT/A # 6 (GMI).

Annual Maintenance : GT/A # 7, GT/A # 9. GT/A # 13 (C.I), GT/A # 1 (HGPI)
WHRB # 2 (AM), BHZ # 1 & BHZ # 4, EVAP # 6,
EVAP #7, ST/A #6 (AM)
Auxiliary Maintenance : Site # 4 Transformer cable PD measurements.
Demonstrated Capacity
carried out : -

Health, Safety, Security & Environment

No. of days worked WLTA (days) : 2,190 days

No. of hours worked WLTA : 5,538,485 hours

Administration

Total no. of employees : 223

Finance

Profit (Before Tax) : RO 375,000

Page No.1
Operation KPI

KPI Power Plant Desal. Plant

ACT BUD ACT BUD Overall Station
Reliability 99.76 98.34 99.05
Availability 78.51 75.00 79.28 80.00 78.89
Load Factor 85.26 52.64 68.95
Business interruptions 0 1 1

POWER & WATER UNITS RELIABILITY - 2016

120
100
80
60
40
20
0
Power Water

OPERATIONS ACT BUD

Electricity Generation (GWh) 155.704 132.518
Water Production (Million cubic meters) 2.298859 2.134075
Forced Outages Power (GWh) 0.434 11.101
Forced Outages Water (CuM x Hour -Thousands) 72.552 259.284

Number of Starts - 2016

Month January
Power (Units) 1
Water (Units) 1

Page No.2
Gas Loss

Difference compared
JANUARY , 2015 JANUARY , 2016
to last year

Allowed Allowed
Paid for Gas Loss Paid for Gas Loss Gas Loss
by by
OGC OGC
OPWP OPWP
(RO) (RO)
(RO) R.O % (RO) R.O % R.O %

2,664,394 2,539,090 125,304 4.7 2,470,795 2,358,943 111,852 4.5 -13,452 -0.2

POWER & WATER POWER & WATER

FORCED OUTAGES (HRS) - 2016 PLANNED OUTAGES (HRS) - 2016

6
670
5
660
4
650
3
2 640

1 630

0 620
Jan Jan

Power (Hrs) Water (Hrs) Power (Hrs) Water (Hrs)

Page No.3
 Production Activities

Maximum system load demand recorded in this

Load sharing during System Maximum
month was 2,950 MW at 18:00 hrs on 03rd
January 2016 as compared to 2,682 MW in the
5.56%
same month last year.

Power Plant availability was 78.51% as compared

to 66.40% in the month of December 2015.

Desalination availability was 79.28% as compared

94.44% to 84.73% in the month of December 2015.

Ghubrah Other power stns

Operating Results

Total Power Generation Power Units Availability

350 100

300 80
250
60
Percent
GWH

200
150 40
100
20
50
0 0
Jan Jan
2015 2016 2015 2016

Total Water Production Water Units Availability

1200
100
1000
80
800
Percent

60
MIG

600
40
400
20
200

0 0
Jan Jan
2015 2016 2015 2016

Planned & Unplanned Outages

Planned Outage Hrs for Power units = 639.65 hrs.

Planned Outage Hrs for Water units = 668.00 hrs.
Unplanned Outage Hrs for Power units = 0.00 hrs.
Unplanned Outage Hrs for Water units = 5.75 hrs.

Page No.4
HEALTH, SAFETY & ENVIRONMENT

HSSE KPI

HSE PERFORMANCE SUMMARY January

No. of Days Considered 31
No. of GPDCO Employees 223
No. of Man hours GPDCO (M.Hr) 33,708
No. of Contractor & Subcontractor Man hours GPDCO (M.Hr) 13,783
No. of days worked WLTA (days) 2,190
No. of days lost 0
No. of First Aid Treatment / Incident 0
No. of Tool box talks 98
No. of Near Miss Reports 68
No. of Site Safety Walks 1
Max. noise level in GPDCO (units) 113.4
No. of hours worked WLTA 5,538,485

L.T.A RECORD

6,000,000

5,000,000

4,000,000

3,000,000

2,000,000
01/02/10
12/10/07
26/4/07

1,000,000

0
850

1,884
131
192
253
315
377
438

119
180
241
302
364
423
484
545
606
667
729
789
911
972

1,580
1,702
1,763
1,825
1033
1095
1154
1215
1276
1337
1398
1460
1519
1641

1945
2006
2067
2128
2190
0
18
68
11
72

58

Mhrs.

HSE Activities DAYS

A successful CO2 system in GT #13 was functional tested and simulated using and actual fire heaters to the
detectors and sensors. This annual test includes verification that the unit differential relay would initiate CO2
discharge. Operation of the discharge valve or pneumatic/ electrical discharge devices was then verified.

Comprehensive monitoring of all the plant maintenance activities by HSSE Team including decommissioning of
Phase I Evaporator and SKG Boilers GTs and PHIII boiler 10, Evaporator #6.

In order to improve firefighting system reliability, HSSE team is in preparation for the simulation
test of CO2 of 11 KV, Deluge system in Transformers; Generator, Unit and auxiliary.

Page No.5
STORES

Stores Received and Issued materials report :

STORES RECEIVED & ISSUED MATERIALS - 2016

60,000

40,000

20,000

0
Jan
Received (OMR) Issued (OMR)

HUMAN RESOURCES

ACTUAL BUDGET

Total no. of Employees 223 227

Omanisation 77.10% 76.70%

TRAINING ACTIVITIES

Training Courses for the month of January 2016

S
l
Course
. details duration days Provider Attendee Location Total Cost
N
o
Summer
MBA
1 Semester 3 years Gulf College 1 Muscat 1415
2014

Full semester
MBA
2 3 years Muscat College 1 Muscat 865.5
2015

Grand Total Cost (R.O) 2,280.5

P

Page No.6
 FINANCIAL RESULTS

INCOME STATEMENT FOR THE MONTH OF JANUARY-2016

JANUARY
DESCRIPTION
ACTUAL (RO) BUDGET (RO)
Revenue
Sale of Power 2,578,605 2,234,857
Sale of Water 1,574,882 1,685,974
Total sale of power & water to OPWP 4,153,486 3,920,831
Less: Fuel costs (2,547,110) (2,400,421)
Net revenue from sale of power & water 1,606,376 1,520,411
Finance lease adjustment (1,061,072) (1,061,072)
Other revenues 498,941 13,183
TOTAL REVENUE 1,044,246 472,522
Cost of Sales (excluding fuel costs)
Connection charges 4,522 4,522
O&M Staff costs 343,347 351,652
Spares and Consumables 78,391 136,259
Maintenance and repairs 68,454 61,622
Other Direct Costs 2,416 10,095
Depreciation (Generating assets) 90,593 133,776
TOTAL COST OF SALES 587,723 697,926
GROSS PROFIT 456,523 (225,403)
Admin & Other Opex Expenses
Admin staff costs 61,200 65,851
Director's remuneration expenses 5,350 6,150
Insurance charges 12,743 13,375
Services expenses 27,060 42,177
Travel and conveyance expenses - -
Communication and postal expenses 3,406 4,542
Other expenses 1,320 4,400
Depreciation (Other assets) 10,802 14,771
TOTAL ADMIN & OTHER OPEX 121,881 151,266
EARNINGS BEFORE INTEREST & TAX (EBIT) 334,642 (376,669)
Finance Income 56,477 57,137
Finance Charges 15,844 16,086
EARNINGS BEFORE TAX (EBT) 375,275 (335,619)

CASH FLOW STATEMENT FOR THE MONTH OF JANUARY -2016

JANUARY
DESCRIPTION
ACTUAL (RO) BUDGET (RO)
A. Receipts:
Opening Cash & Cash Equivalents 34,619,664 31,318,982
Receipts 3,963,492 4,176,812
Total Receipts 38,583,156 35,495,794
B. Payments:
Capex 74,989 207,733
Operating & Admin payments 2,875,504 3,299,895
Bank Deposit - -
Loan repayments to EHC 1,500,000 -
Bank charges/Finance cost 6 250
Total Payments 4,450,499 3,507,878
Closing Balance
Excess/(Deficit) 34,132,657 31,987,916
Page No. 7
 VARIANCE ANALYSIS FOR INCOME STATEMENT JANUARY -2016
Description JANUARY 2016 % of
Sl. Variance
ACTUAL BUDGET Remarks on major variances
No. (RO) Variance
(RO) (RO)
Net reduction in outages
1(a) Revenue from Sale of Power 2,578,605 2,234,857 +RO 51K
for power gen units

Net reduction in outages

1(b) Revenue from Sale of Water 1,574,882 1,685,974 +RO 83K
85,966 6% for water production units

1(c) Less: Fuel Costs (2,547,110) (2,400,421) Net increase in Gas cost - RO 48K

Net revenue from sale of

1 1,606,376 1,520,411 Increase in net revenue RO 86K
power & water
Due to scarp revenue(Al Thail) from
decommissioned assets of year
2 Other revenue 498,941 13,183 485,758 36.85%
2015, Installment for DU-2 Copper
Nickel Tubes
3 Connection charges to OETC 4,522 4,522 0 0% -

Due to reduction in staff (Actual

223 Vs Budget 227) & temporary
4 Staff costs (O&M and Admin) 404,547 417,503 12,956 3%
savings in cost expected to incurr in
the coming months
Temporary savings in cost,
Spares & consumables
5 78,391 136,259 57,868 42% expected to incurr in the coming
expenses
months
Maintenance & repairs
6 68,454 61,622 (6,832) -11% -
expenses
7 Other direct costs 2,416 10,095 7,679 76% -

8 Depreciation (all assets) 101,395 148,547 47,152 32% Due to delayed capitalization.

9 Insurance charges 12,743 13,375 631 5% -

Temporary savings in cost(such as
Training, Consultancy etc.),
10 Services expenses 27,060 42,177 15,117 36%
expected to incurr in the coming
months
Travel & conveyance
11 - - - 0% -
expenses
Communication and postal
12 3,406 4,542 1,137 25% -
expenses
Other expenses (incl
13 6,670 10,550 3,880 37% -
Director's remuneration exp)
14 Finance income 56,477 57,137 660 1% -
15 Finance charges 15,844 16,086 242 2% -

Page No.8
 AREA OF CONCERN

Sl.
Description Action
No
1 High fuel recovery charges due to Gas loss against the recovery for the month of
repeated system disturbance & January is: 4.53 %.
deficiencies, units partial loading &
typical fuel model is an area of concern.
Approved master maintenance program
2015-2016 was received for GPDCo for
water and power which will be
enhancing the performance and hence
reduce the gas loss.
There are Turbines power degradation
in Frame -9 especially Gas turbine-12.
Concern department study to enhance
the performance.
Calibration for the Gas flow for phase 3
and 5 will be done by third party for
checking accuracy.
2015-2016 annual maintenance will be
done the needing in term of the internal
inspection of the boilers as those couldnt
be done last years was no approval.

2 Gas Turbine -13 , Generator Transformer, Done. machine synchronized on 13-01-2016

Based on the transformer oil paper
sampling analysis test done by Voltamp
dated 24-02-2015 done on, the result
shows that the transformer insulation is
extremely deterioration and end of the life
3 EVP-4 suffering from frequent tube leak
especially in stage -2 and 5.

Note :
Action Required Monitoring only In Progress Completed

Page No.9
DECOMMISSIONING OF GHUBRAH POWER & DESALINATION PLANT

Decommissioning & Activities

1. Dismantling and scrap sale of desalination unit 2, steam turbines 1,2,3,4 and SKG boiler 3 and
Babcock boilers 1, 2, 3.

Following activities related to dismantling project have been competed in January month;

- Removal of tubes bundles from stage 1-9.

- Cutting and removal of evaporator bottom deck (stage 10-16) sides and top walls.
- Removal of demister pads from stage 10-16.
- Cutting of tubes bundles in two parts.
- Cutting and removal of deaerator.
- Loading and shifting of tube bundles and other dismantled materials from site.

Page No.10
 STATUS OF THE STRATEGIC PROGRAM (5 PILLARS)

Program : HSE strategic Initiatives Summary Report

Project Name : OHSAS 18001 Certification by 2017

Key Actions : Program Board Meeting held

completed Last Sponsoring Group Presentation
month
Prepare Program closure documentation
Key Actions planned
next month

: HSSE Management System

Project Name

Key Actions : DPC HSMS vendor selection progressing

completed Last
month
Key Actions planned : Raeco Intelex implementation.
next month
DPC HSMS vender selection awarded

Program : Communications Programme Highlight Report

Project Name : Email Integration & Extranet

Key Actions completed

: Brainstorming session completed with E&Y to discuss requirements.
Last month

Key Actions planned next : To review implementation road map with IT to confirm tentative
month launch dates.

Project Name : Re-branding

Key Actions completed : Brand Induction training carried out for all CEOs.
Last month
Brand Management Course carried out for all BCMs.

Key Actions planned next : Start staff brand induction programme.

month
Issue the brand slogan.

Finalise the brand tune.

Get the first draft of brand film.

Key Decisions / Notes : Phase 2 plan to be completed by 31st Jan 2016

Page No.11
 STATUS OF THE STRATEGIC PROGRAM (5 PILLARS)

Project Name : Integrated Talent Management Framework

Key achievements in the : Copy of SRO meetings presentation is attached.
last period, including
update on any benefits
realized.

Key activities Planned for : Competency overall plan is attached.

the next period

Key decisions / Notes : -

Page No.12
 LOSS OF REVENUE SUMMARY JANUARY 2016

Effective
Loss of Expected Completion date
Generation Revenue Remarks
Sl. No. Unit hours on Loss - Reason
account of RO Starting Ending
Forced
Outage Date Time Date Time

On 10th Jan, a demonstration capacity test

was carried out with OPWP. On 25th Jan, load
Running below the demonstrated Unit running with average 89.599
1 GT/A-12 1 286 was reduced to 45 MW for fuel oil changeover
capacity. MW available capacity.
from 08:40 hrs to 10:00 hrs but was not
approved by LDC.

The unit was synchronized on 13th of Jan at

Running below the demonstrated 15:39 and load was increased gradually up to Unit running with average 90.182
2 GT/A-13 4 1,528
capacity. full load at around 24:00 due to test on new MW available capacity.
transformer by third party.

Demonstration capacity test with OPWP was

Running below the demonstrated Unit running with average 32.4 MW
3 ST/A-6 1 115 carried out on 17th Jan and load was reduced
capacity. available capacity.
gradually and unit was shut down for A/M

Total (R.O) 1,928

Cost of water (O.R / m3) 9.367

Page No.13
 LOSS OF REVENUE SUMMARY JANUARY 2016

Effective
Loss of
Generation Revenue Expected Completion date
Sl. No. Unit hours on Loss - Reason Remarks
account of RO
Forced Starting Ending
Outage Date Time Date Time

Unit running with average 1099.617

Running below the demonstrated m3/hr available capacity. LDC
1 DES 3 25 8,558
capacity dispatch instruction during the month
was to keep unit on partial load

Unit running with average 1100.492

m3/hr available capacity. LDC
Unit tripped due to sea water supply dispatch instruction during the month
2 DES 4 31 10,580 18.01.2016 11:45 18.01.2016 17:30
tripped was to keep unit on partial load and
to keep it S/B after the tripping on
18th Jan

Unit running with average 1125.306

Running below the demonstrated m3/hr available capacity. LDC
3 DES 5 7 2,729
capacity dispatch instruction during the month
was to keep the unit on partial load

Unit running with average 1125.363

Running below the demonstrated
4 DES 6 4 1,699 m3/hr available capacity. The unit was
capacity
due for A/M.

Total (R.O) 23,566

Cost of water (O.R / m3) 0.258
Grand Total (R.O) 25,494

Page No.14
 PROJECTS & DECOMMISSIONING STATUS

Sl. Cost Starting Ending Revised

Major projects Status Remarks
No (Omani Rials) date date Completion date

MAINTENANCE
1 Partial Re-Tubing of Water Box Estimate 20%
Stage 1 in Desalination Unit # 5 Budged Bids are under evaluation.
Tender no: PROJ/02/2015 200,000.000

DECOMMISSIONING OF GHUBRAH POWER & DESALINATION PLANT

1 Dismantling and scrap selling of 1,200330.000 20/09/2015 19/07/2016 60% Following activities related to dismantling
desalination 2, ST 1-4 and Boiler 3-6 (Revenue) project have been completed in December
Tender no: DECOMM/01/2015 month;

Removal of tubes bundles from

stage 1-9.
Cutting and removal of evaporator
bottom deck (stage 10-16) sides and
top walls.
Removal of demister pads from
stage 10-16.
Cutting of tubes bundles in two
parts.
Cutting and removal of de aerator.
Loading and shifting of tube bundles
and other dismantled materials
from site.

Page No.15
 EVENTS
- 3rd OHSAS 18001:2007 Surveillance Audit was conducted by M/s. Bureau Veritas. The objectives of the audit was
to confirm that the management system conforms with all the requirements of the audit standard, to confirm
that the organization has effectively implemented its planned arrangements; to confirm that the management
system is capable of achieving the organisations policies objectives.

- On 17th January 2016, the conclusion of a Safe home project ceremony under Mr.Omar bin Khalfan Al
Wahaibi. In conclusion, the sponsor of the event organisers and participants were honored and praised the
success of the project.

- Steering committee meeting was held on 31.01.2016 at Training centre for the HSE Plan for 2016-2018.

Page No.16
- Annual testing of deluge system GT/A # 13 transformers.

- Evaporator # 7 activities are carried out during the Annual Maintenance.

"Employee of Month" & "Best Team Work"

- N/A

GPDCO Management

Page No.17