MEDC is the only entity responsible for distribution of electricity in the Governorate of Muscat.  It is 99.99% owned by the Electricity Holding Company (EHC) and the remaining 0.01% by Ministry of Finance.  The company was formed on 1st of May 2005 as a result of the Royal Decree 78/2004, promulgating the law for the regulation and privatization of the electricity and related water sector activities in the Sultanate of Oman.The Decree aims to achieve a comprehensive restructuring of the electricity sector by means of gradual privatization, hence the operational responsibilities were split and passed on from Ministry of Housing, Electricity & Water (MHEW) down to MEDC and nine other companies that are now involved in various related activities.  Having these responsibilities means that MEDC is entitled to own, maintain and develop the distribution networks in the Governorate of Muscat.MEDC's main function is to build and maintain the necessary infrastructure for the distribution of electricity in the governorate of Muscat.  The area of responsibility includes private consumers, commercial consumers and government Sector.  This variety in customers gives MEDC a competitive advantage in the field and keeps the door for improvements always open.