New industrial-owned units such as Zendehrud (Mobarakeh Steel), Saba Dehloran, West Asia Steel, the new Goharan (Gol Gohar) unit, Sarv Power Plant (Chadormalu), and the Al-Mahdi Aluminum plant actively contributed during the peak period of this year.
Could you elaborate on the steps taken concerning industrial-owned power plants under Article 4 of the Law on "Removing Barriers to the Development of the Electricity Industry?
Industrial-owned power plants governed by Article 4 are subject to specific conditions, leading to the formation of a joint working group, including representatives from the Ministries of ‘Petroleum’, ‘Industry, Mine, & Trade’, and ‘Energy’, as well as the ‘Organization of Environmental Protection’. This group developed a standardized contract for energy exchange and support, finalized after extensive review. The Ministry of Energy has issued this contract format for implementation, marking a significant step forward. The first of these agreements will soon be established between the Iran Grid Management Company and Mobarakeh Steel Company for the Zendehrud Power Plant.
From your perspective, what challenges remain in enhancing collaboration with industrial-owned power plants?
First, fuel costs present a challenge, with industrial-owned power plants seeking better collaboration from the Ministries of Energy and Petroleum to apply appropriate tariffs for electricity delivered to the grid. The electricity sector is actively working to address these issues through negotiation. Second, settlement of overdue claims remains difficult due to liquidity constraints, but the electricity industry is pursuing financial tools or cash settlements to resolve a significant portion of the overdue claims.
What initiatives are planned for the next year peak load period?
As part of the 14 mega-projects defined in the country's electricity industry, increasing the participation of industrial-owned power plants and those affiliated with the Ministries of Petroleum, Defense, and Industry, Mine, & Trade is a priority for the coming year. In addition to addressing current challenges, we are collaborating with regional electricity companies to identify new production capacities and connect off-grid industrial-owned plants to the grid. With these preparations, we anticipate notable growth in electricity generation from industrial-owned power plants next year. I would like to extend my gratitude to all owners of industrial-owned power plants for their dedicated cooperation during this year’s peak load period despite various challenges.