The production of equipment to generate electricity in thermal power plants has experienced a substantial growth in 2022, the head of Turbine and Electric Generators’ Manufacturing Association said.
“The manufacture of turbines and electric generators rose by 30% and 20% respectively a year ago,” Ali Safaei was also quoted as saying by IRNA.
Most factories suffered from very low production rate between 2016 and 2021 due to economic recession, but their production boomed last year after six years, he added.
The official noted that in 2016, turbines and electric generators’ production and sales plummeted by 32% and 45% and some factories had to announce insolvency.
Nonetheless, by attracting investment and proving their capabilities to power plant owners, most factories have been working at full capacity over the last 18 months and their sales figures are growing.
Close to 20,000 people are active in the field of power plant construction, yet the figure was less than 6,000 in 2019.
Iran is self-sufficient in manufacturing turbines used in petrochemical, oil and gas industries and power stations.
Safaei said domestic firms have transferred the much-needed knowhow to produce different turbines from Europe and the advanced technology has been indigenized.
According to Managing Director of Iranian Gas Engineering and Development Company Reza Noshadi, locally-make turbines are being used in the power plants of Iraq, Syria and Oman, and negotiations are underway to sell them in Latin American countries, namely Cuba and Venezuela.
Referring to the turbine market in Arab states, the official noted that although the UAE, Qatar, Kuwait and Saudi Arabia need high-tech rotary mechanical devices, the US does not allow them to sign contracts with Iranian firms and their markets are dominated by European companies.
Commercial Principles
No matter how reasonable domestic prices are, Arabs will not buy Iranian turbines as they are prohibited from trading with Iran, hence competition has been politicized and is not based on commercial principles, he said.
According to Noshadi, domestically-made oil and gas equipment and parts comply with European standards and have potential customers in the markets of Central Asia, Latin America and Russia, which are not under the US dominance, hence long-term plans should be devised to penetrate these markets.
“A contract has been signed between Iran and Russia, based on which 40 turbines manufactured domestically will be exported to Russia,” he said.
The National Iranian Gas Company, a subsidiary of the National Iranian Oil Company, has invested $4 billion to fast track the indigenization of vital equipment in collaboration with domestic manufacturers and engineers over the past two decades.
The indigenized equipment include turbines, pumps, anti-corrosion steel pipes, valves, storage tanks, boilers and compressors.
“Currently, 85% of the facilities and equipment needed by the gas industry are made by local manufacturers, which has enabled the country to also export their parts,” he said.
Turbines are generally used to generate power by coupling it with a generator. The fluid can be steam or gas with high pressure.
