Iranian Government Pushes For 20% Renewable Electricity Supply Goal

  • The construction of more than 10,000 megawatts (MW) of power plants has been started
  • The Iranian government has planned new programs to expand the country’s power grid to cover the new power plants

The Iranian government has recently requested that its executive bodies follow the necessary steps to supply 20 per cent of their electricity needs through renewable sources within the next four years.

According to a recent announcement, all executive entities covered by Article (5) of the Civil Service Law must ensure that five per cent of their electricity consumption comes from renewable and clean energy sources starting from the upcoming Iranian calendar year (beginning on March 21). This requirement will gradually increase to 20 per cent, with a yearly increment of five per cent over four years.

Failure to comply with this directive will result in these entities being charged for the excess energy consumed, calculated based on the highest electricity rate at the Green Electricity Board of the Iran Energy Exchange during the month prior to billing.

Currently, renewable sources, including hydropower, contribute approximately seven per cent of Iran’s total energy production, while natural gas dominates the energy landscape with a 90 per cent share.

Earlier this month, Iranian Energy Minister Ali-Akbar Mehrabian said that his ministry follows good plans to develop the country’s renewable power plants.

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Mentioning a plan for the construction of new renewable power plants across the country, the energy minister said: “The construction of more than 10,000 megawatts (MW) of power plants has been started, and one is being put into operation every day,”

Mehrabian said the ministry is also implementing new programs to expand the country’s power grid to cover the new power plants.

In late December, Iranian President Ebrahim Raisi ordered the beginning of a project to construct solar power plants with a capacity of 4,000 MW across the country.

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Nitisha Dubey
Nitisha Dubey
Nitisha Dubey is a journalist at EFY. She focuses on startups and innovations with a deep interest in new technologies and business models.

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