Incremental reductions in energy losses across the transmission and distribution system in North Oman have resulted in cumulative savings of OMR 758 million for the country. According to Oman’s energy regulator, Authority for Electricity Regulation (AER), the significant reductions achieved since the restructuring of the sector in 2005 reflect the application of a clear incentive-based price control mechanism and the constructive responses of licenses. Previously, energy losses, resulting from a mix of technical and non-technical factors, accounted for nearly a quarter of the total electricity output. During 2016, losses slumped to 9.2 per cent, down from 10 per cent in 2015, in trend with the year-on-year improvement in reduction championed by AER and the Nama Group. The main interconnected system, covering the majority of the northern half of the country, posted the biggest gains.