Mahdi Masaeli, Secretary of the Iranian Electricity Industry Syndicate, warned about the energy imbalance and its consequences on production and exports in the steel industry at the specialized panel of the International Steel Symposium and Exhibition 1405 in Isfahan. He pointed out that statistics show a lack of investment and price stabilization policies as key factors in the electricity imbalance in the country.
Analysis of Energy Imbalance in the Steel Industry
Masaeli announced at this meeting that out of about 43 million electricity subscribers in the country, only 287,000 are industrial subscribers, consuming nearly 40 percent of the country's electricity. In contrast, the household sector, despite having a significantly larger number of subscribers, accounts for only 32 to 33 percent of electricity consumption. This data indicates an imbalance in electricity consumption and the necessity to reform energy policies.
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Challenges of Electricity Supply in Winter
The Secretary of the Iranian Electricity Industry Syndicate also pointed out that a significant portion of the country's electricity is supplied by thermal power plants. In winter, fuel shortages and reduced access to it can pose limitations on electricity supply. He emphasized that in addition to summer challenges, there is a possibility of intensified electricity restrictions in winter as well.
Masaeli stated that the annual need to maintain and renovate infrastructure and respond to the growth in electricity consumption is estimated at around 10 billion dollars, noting that adequate investment has not been made in this area in recent years. He also referred to the negative impacts of price stabilization policies and the weakness of investment attraction mechanisms, stating that large industries cannot be expected to build power plants to compensate for electricity shortages without a precise assessment of the type of power plant, fuel supply, production costs, and the competitiveness of the final product in domestic and export markets.
The Need for Government Involvement
Masaeli, referring to the financial problems of the electricity industry and its debts, emphasized that the industry's claims from the country's industries and the government create significant financial pressure. He deemed solving these problems necessary for the government to play a role in financing and creating a sustainable economic mechanism for the electricity industry.
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