Iran's SATBA invites investors to support construction of renewable energy power plants
Date
12/16/2024 3:41:55 AM
(MENAFN) Iran's Renewable Energy and Energy Efficiency Organization (SATBA) has issued an invitation to investors to support the construction of renewable energy power plants as part of its short- and medium-term strategies to address the country’s electricity imbalance. These initiatives are aligned with new measures introduced under the revised Regulations to Remove Barriers to Renewable Energy Production, approved in December 2024, aimed at attracting investment and addressing obstacles for developers in the renewable sector.
In its first public notice, SATBA highlighted financing options for renewable projects through existing credit lines or loans supported by the National Development Fund, which has pledged full financial backing for renewable energy initiatives. The organization urged interested investors to submit necessary documentation for evaluation and qualification, ensuring an expedited review process and efficient finalization of contracts. SATBA also committed to issuing preliminary approvals or referral letters to facilitate access to bank financing for qualified applicants.
The push for renewable energy comes as Iran grapples with persistent electricity shortages, particularly during the cold season when natural gas demand for heating spikes. This increased demand limits gas supply to power plants, which are often forced to switch to alternative fuels such as diesel. This reliance on diesel not only complicates supply logistics but also raises environmental concerns due to higher emissions.
Other factors exacerbating the electricity crisis include aging infrastructure, population growth, and increasing industrial power needs. Despite annual additions of approximately 3,000 megawatts to the national grid, challenges such as deteriorating networks and reduced water levels behind hydroelectric dams undermine these efforts. SATBA's initiatives aim to accelerate renewable energy adoption to counter these persistent issues and ensure a more sustainable energy future for Iran.
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