Need to Rewrite Energy Optimization Plans

Need to Rewrite Energy Optimization PlansNeed to Rewrite Energy Optimization Plans

As energy wastage is high in Iran, optimization projects can bear fruit in the short run and offer a great investment opportunity, Nossratollah Seifi, the head of Iranian Fuel Conservation Company, said on Sunday.

"With the help of current know-how, we can only reduce energy wastage by 50%. Hence, to maximize energy efficiency, new approaches should be adopted," the official was quoted as saying by IRNA.

On the critical issue of investment in this sector, Seifi said, "Given the expected 6% economic growth during the next five years, more than $190 billion should be invested in energy optimization projects."    

According to Seifi, implementation of projects by foreign firms will depend on the private sector's contribution, as foreign enterprises are referred to the private sector to commence their activities.

"However, private investors are not willing to participate in such plans since their investments usually do not yield a reasonable return and the profit margin is low," he said.

Underscoring negotiations with Japanese, German, French and South Korean companies to invest and import the much-needed technology, the official added, "As soon as foreign enterprises start to implement their plans, we will utilize as many domestic services and products as possible."

According to the official, sanctions' removal will accelerate talks with potential investors, which had started prior to the Vienna Agreement.

Although some energy optimizing products are manufactured domestically, several others have not been indigenized and ought to be imported, including fluidized bed combustion boilers monopolized by European companies.