Following the Islamic Republic's inability to supply the country's electricity needs during the summer season, the Deputy Minister of Industry, Mining, and Trade announced in a letter to the Minister of this ministry that electricity restrictions on industries will be intensified this summer, which will disrupt the activities of industries such as steel and cement, ultimately leading to reduced production and increased prices. The ILNA news agency published an image of the letter from Reza Mohtashami-Pour, the Deputy Minister of Mining, addressed to the Minister, stating: "The nominal electricity capacity of the country has reached 90,000 megawatt-hours, and while we have not yet approached the hot months of the year, the peak electricity consumption has reached 70,000 megawatts." The letter emphasized that the electricity required for the cement industry is estimated at 500 to 650 megawatt-hours, while this industry requires 1,000 megawatt-hours of electricity per month. It was also announced that the Ministry of Energy would not be able to supply electricity for the night shift, and in the months of Tir and Mordad (July and August), much stricter restrictions will be imposed on industries. The imposition of restrictions on electricity supply and its consequences, including price increases, comes while a member of the Energy Commission of the Parliament stated in April that, according to the Minister of Energy, "There is enough water in hydroelectric power plants to lead to maximum electricity production in the plants and reduce tensions caused by electricity shortages." Abdolali Rahimi Mozafari claimed that there is enough water in hydroelectric power plants. Additionally, the Ministry of Energy claimed on May 21 that by the beginning of the hot season this year, 1,870 megawatts from industrial power plants would be brought online, which would significantly help supply electricity to industries during the hot season. On the other hand, the power cuts in the agricultural sector have faced protests from parliament representatives, and the spokesperson for the Agricultural Commission of the Parliament pointed to the damages inflicted on the agricultural sector due to a 6-hour power cut last year, stating that this year it has been promised that agriculture will be exempt from power cuts and that "the Parliament will not relent on this issue." Zabihollah Azimi Saroudi emphasized that over 95% of the agricultural sector is smallholder and the role of public participation is significant. Reports indicate that this summer, the government will also be unable to supply the country's electricity needs, and large industries, the agricultural sector, and even household consumers will face electricity rationing. Experts believe that the lack of planning and behavior outside the economic frameworks in developmental discussions is the main factor behind the energy imbalance and argue that with this style of governance, there is no hope for improvement. The newspaper "Donya-e-Eqtesad" explained the reasons for the current situation in the country, stating: "The mismatch between revenues and expenses has led investors to show little interest in the electricity industry and prefer to invest in other industries, while the government, which pays heavy subsidies to household and agricultural consumers, is unable to build power plants or even pay the debts of power plant owners, contractors, and equipment manufacturers in the electricity industry."
Ministry of Industry Reports Intensified Electricity Restrictions on Industries
The Iranian Ministry of Industry has announced intensified electricity restrictions on industries due to the government's inability to meet electricity demands during the summer. This will disrupt major industries like steel and cement, leading to reduced production and increased prices. The situation highlights ongoing energy management issues in Iran.
👥 Key Players
📰 What Happened
The Iranian Ministry of Industry announced intensified electricity restrictions on industries due to insufficient electricity supply during the summer. This will disrupt production in key sectors like steel and cement, leading to increased prices.
- Electricity consumption has reached 70,000 megawatts, while the nominal capacity is 90,000 megawatts.
- Stricter restrictions will be imposed on industries during July and August, affecting production and prices.
💡 Why It Matters
📚 Background
Iran has been struggling with energy supply issues due to mismanagement and insufficient investment in infrastructure, leading to frequent power shortages.
🏷️ Entities Mentioned
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Translation confidence: 85%