The private sector has signed 22 water and wastewater deals with the Energy Ministry to develop less privileged areas in the southern Hormozgan Province.
Ventures, with a collective cost of 20 trillion rials ($166.7 million), were submitted to contractors during a ceremony attended by Deputy Energy Minister Hamidreza Janbaz in the southern city of Bandar Abbas on Tuesday, Mehr News Agency reported.
The official said this is part of a bigger outlook launched a couple of years ago for water management in less privileged regions, which has reached 142 ventures.
"Of all the initiatives, some 290 trillion rials ($2.42 billion) have been financed by different suppliers, including domestic and international banks, and private investors," he said.
Referring to the vitality of pushing such plans, the official said, "Some 300 major cities across Iran are on the verge of water tension. Part of the plight comes down to aging and insufficient water processing and supply facilities as well as budget constraints to expand infrastructure."
According to the official, due to financial restrictions, major water projects, including wastewater treatment plants, are lagging and the outlook involves private investors.
Referring to the country's largest desalination project in Bandar Abbas, Janbaz said lack of liquidity and financial constraints have suspended the unit's construction for over a year.
If completed, the unit will have the capacity to produce 20,000 cubic meters of water per day in the first phase, which will reach 100,000 cubic meters as more phases come on stream.
According to the official, the only constraint here is money, since domestic experts have built some 20 desalination units with a capacity of 11 million cubic meters of saline water per annum since 2014.
Analysts say Iran's water reserves are adequate to supply the needs of its 80-million population, but poor management and excessive consumption have made things difficult.
