Iran resumes power sale on energy exchange
Tehran, Iran, July 22
Trading electricity resumes at Iran Energy Exchange after approval of recent electronic energy transit regulations by Minister of Energy, said IRENEX power market operation manager.
"The Minister of Energy has announced regulations for electricity transit in Iran power network that can be purchased by current and new costumers via issuing power trade code," said Mohammad Hossein Asgari, Trend reports citing IRNA.
"The new regulation on rate and rules of power transit provides electricity for consumers with capacity of less than five megawatt. The priority of power trade is to provide power for commercial and residential consumers via energy exchange," he noted.
"The domestic transit rate for one kilowatt will be based on average price for energy conversion price in last Iranian year (started March 21, 2018), the average price for subscribers would be 35 percent of the cost of power conversion at transmission network," he added.
In his words, there are several methods for suppliers to sell electricity that will be announced in two months after drafts are completed by the Ministry of Energy.
"The increase of customers alongside 26 companies that are already trying to trade electricity via energy exchange by obtaining trading code will boost power market development in Iran energy exchange," he noted.
"The advantage of this regulation is the tax exemptions for power suppliers, removing formality of issuing tender for consumers, flexibility in contract conditions, volume of delivered electricity, increase of price transparency and short term bilateral contracts," he said.
The official stressed the priority of providing power to companies that purchased the electricity via energy exchange in forms of transit contracts. "The companies that own power network will guarantee the power transmit and its delivery to consumers," he added. "The rate of power transit was previously unclear, abnd this caused a halt in electricity sale on energy exchange and in concluding bilateral contracts in this field."