National Economy
The population of the Islamic Republic of Iran is approximately 86.12 million people[1]. In 2020, 100.0 % of the people in this West Asian country had access to electricity[2].
In 2021, Iran’s economy was ranked 26th in the world in gross domestic product (GDP)[3]. The country’s economy is dependent on the export[4] of ethylene, crude oil, nuts, acyclic alcohols, iron, and steel.
Environment Policies
In 2016, Iran signed the Paris Climate Agreement[5], committing to a 4% reduction in greenhouse gases by 2030, relative to a business-as-usual scenario. However, Iran is one of four countries which has not ratified the Paris Climate Agreement.
In 2020, the state-owned utility, TAVANIR used natural gas (64.5 %), oil (24.0 %), renewable energy (9.4 %), nuclear energy (1.9 %), and coal (0.2 %) to generate electricity[6] in Iran. Hydropower was the dominant type of renewable energy used to generate electricity in Iran.
Recent renewable energy projects in Iran include:
- 4,000 MW Solar Tender – In June 2022, the Iranian government announced it has pre-selected 85 companies to participate in a solar tender for projects ranging from 10 MW to 250 MW in size.
- 2 MW Wind Project – In 2018, Iranian power company SafaNicu Sepahan commissioned the Sihapoush wind project, which is located in the northwest region of the country.
- 50 MW Wind Project – In 2019, Iranian renewable energy company MAPNA Group commissioned the Aqkand wind project, which is located in the northwest region of the country.
Conclusions
Oil was first discovered in Iran in 1908, in the southwestern province of Khuzestan[7]. In 2021, Iran was the 10th largest crude oil[8] and 3rd largest natural gas[9]producing country in the world.
In January 2022, the Iranian Energy Ministry announced plans to develop 10,000 MW of new renewable projects by 2026.
Why is Iran developing major renewable energy projects? Economics, pure and simple, Iran intends to use renewable energy for domestic power, preserving oil and natural gas resources for export.
Iran is turning to renewable energy for domestic power.
Jack Kerfoot
Website – “Our Energy Conundrum”
www.jackkerfoot.com
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Jack Kerfoot is a scientist, energy expert, and author of the book FUELING AMERICA, An Insider’s Journey and articles for The Hill, one of the largest independent political news sites in the United States. He has been interviewed on over 100 radio and television stations from New York City to Los Angeles on numerous energy related topics.
[1] Iran (2022) – June 28, 2022, www.worldmeters.info
[2] The World Bank Group, Access to Electricity (% of Population – Iran)
[3] Gross Domestic Product By Country 2021 – Worldometer
[4] Observatory of Economic Complexity (OEC) – Iran
[5] Carbon Brief “Paris 2015: Tracking Country Climate Pledges”
[6] Our World In Data, Iran: Energy Country Profile by Hanna Ritchie and Max Roser
[7] The Oil of Iran: Past and Present in Perspective by Gregory Brew, 19 January 2016
[8] Oil Producing Countri3s 2022 – World Population Review
[9] Natural Gas Producing Countries 2022 – World Population Review