The Deputy of the Electricity Market at the Iran Grid Management Company, Hamidreza Bagheri, announced the introduction of the first power plant utilizing a green power supply contract model to the Green Power Board trading floor in December.
Bagheri highlighted that the 13 MW Farghan solar power plant, located in Hormozgan province, has successfully obtained all necessary operational licenses and permits, securing approval to participate in the Energy Exchange. The plant has also been assigned a renewable electricity trading code, enabling its entry into the market.
This milestone allows the power plant owner to offer electricity generated by the facility directly to subscribers and retailers through either the derivatives market or the green physical market, marking a significant shift in renewable energy trading.
Previously, renewable power plants supplying electricity to the Green Power Board operated under guaranteed purchase contracts with rates set by the Ministry of Energy. However, the Farghan solar power plant represents a new model, trading electricity based on market-driven rates established by the Green Power Board.
In November’s transactions for electricity delivered in December, 48.726 million kilowatt-hours of renewable energy were traded on the Green Power Board of the Energy Exchange, reflecting a 120% increase compared to the same period last year. This year (based on Persian calendar), total green electricity transactions in the Energy Exchange reached 507 million kilowatt-hours, valued at 20,490 billion Rials, with an average price of 40,440 Rials per kilowatt-hour.