Despite having extensive energy resources, Iran has been struggling with imbalance for years. This imbalance is not limited to a lack of investment; rather, multiple factors influence this issue. In a roundtable dedicated to examining the roots of energy imbalance, senior energy industry managers analyzed these obstacles.
Factors Affecting Energy Imbalance
Aydin Khatlan, CEO of Dana Energy Investment Development Company, pointed out the challenges that have prevented Iran, unlike its regional counterparts, from consolidating resources and attracting investment for infrastructure development. He emphasized the importance of correct policymaking and creating a secure environment for investors.
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Price Stabilization and Its Effects
Ali Sanginjan, CEO of Kian Private Equity Company, considered regulatory price stabilization as one of the main factors of imbalance. According to him, this policy, by sending incorrect signals to producers and consumers, has reduced investment motivation and increased consumption. This situation, in turn, has weakened infrastructure.
Farshid Shekarkhodai, head of the Investment and Financing Commission of the Iran Chamber of Commerce, also referred to the weakening of private property rights and government breach of promises. He believes these issues lead to a decrease in investor confidence in long-term projects and hinder attracting the necessary capital for development.
Mohammad Nazifi, CEO of Iran Energy Exchange, emphasized the nascent nature of the energy market in Iran and called for greater cooperation from policymakers and respect for market rules. He believes that building trust among investors is one of the key elements for directing financial resources towards energy infrastructure development.
The main question of this roundtable was how to restore investor confidence and direct financial resources towards the development of energy infrastructure?
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