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Iran urges government departments, non-state companies to use alternative energy

Oil&Gas Materials 9 February 2019 14:46 (UTC +04:00)

Baku, Azerbaijan, Feb. 9

By Elnur Baghishov – Trend:

According to the decision of the Cabinet of Ministers of Iran, both government departments and non-state companies in the country should provide 20 percent of the electricity consumed via alternative energy sources, Majid Sabouri, Executive Director of Iran’s North Khorasan Electricity Distribution Company, told IRNA.

According to Sabouri, if the departments will not use electricity generated from alternative renewable energy sources by the end of the current year (started March 21, 2018), 20 percent of the cost of the electricity used by them will be calculated with the cost of electricity generated by alternative renewable energy sources.

Sabouri noted that some departments have already taken steps in this direction, with the rest still having done nothing about it.

"Electricity production skyrockets during the summer. In summer, electricity consumption in Iran reaches 60,000 megawatts, although the same figure stands at about 30,000 megawatts during wintertime," he said, adding that some 25,000 megawatts are consumed by electric heaters, according to statistics.

"A $30 billion investment is needed for providing 30,000 [megawatts of] electricity," he said.

According to the company official, the peak use of electricity in neighboring countries – in Pakistan, for example – is 25,000 megawatts.

Sabouri said the government pays a substantial amount of subsidies on energy. If the electricity generating cost per 1 kilowatt hour (kW⋅h) is 1200 rials (about $0.02), its sale is 600 rials (about $0.01).

Iran's North Khorasan Electricity Distribution Company has over 350,000 users.

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