Power Purchase From Tavanir Unviable for Industrial Units

Generating electricity with the help of industry-funded power stations is more financially viable for industrialists compared to purchasing power from the Iran Power Generation, Distribution and Transmission Company (Tavanir), the energy minister said.
“Purchasing power from Tavanir costs industries at least 2.5 cents per kilowatt, but producing the same volume of electricity in their own power stations will cost them less than 1 cent that is more economically justifiable,” Ali Akbar Mehrabian was also quoted as saying by the Energy Ministry’s news service.
As per the new bill passed by Majlis last year, electricity tariffs for energy-intensive industries, namely cement factories, oil refineries and petrochemical and steel companies, have increased fivefold since March, he added.
Industries can play a key role in boosting electricity output by embarking on power plant development projects, in which case they will no longer be at the mercy of the state-run Tavanir.