Iran earmarks around $100 million exclusively for enlarging the generation of renewable energy in Iran
Ali Akbar Mehrabian, Iran’s energy minister, has stated that the government has exclusively reserved a sum of over $100 million for expanding renewable energy generation in Iran in the calendar year 1401.
He said that the funds devoted to expanding renewables in the country had surged substantially in a budget that has been sanctioned for the calendar year starting late March.
Mehrabian quoted that this is an unprecedented figure given the credit devoted solely to the sector. He further added that these funds would empower the state government to attract more private investment into the sector.
It has been reported that renewables would be contributing for approximately a third of the new power generation capacity intended to be launched in Iran within the next four years.
As per credible sources, the administrative government, which took office in August, has reportedly issued tenders for constructing around 10 gigawatts (GW) of renewable power plants in the country until 2025.
Recently, the Energy Ministry of Iran said that it has 153 applications for constructing 90 GW of renewables capacity.
The ministry further notified that contracts for 10 solar power plants, four wind farms, and one hydroelectric power station were awarded lately.
According to reports published, the recently held ceremony was attended by Energy Minister Mehrabian personally to award new renewables contracts.
At present, renewables account for 1 GW or just more than 1% of the total electricity generation capacity of 86 GW of Iran.
Moreover, Iran’s Ministry of Energy estimations suggest that launching 10 GW of new renewables capacity will support the country to save natural gas of around 5.6 billion cubic meters, which is supplied every year to conventional power generation systems.