4 Projects Approved Under Note 2(G)

4 Projects Approved Under Note 2(G)4 Projects Approved Under Note 2(G)

The economic council of the parliament approved funding of four oil projects under Note 2(G) of the national budget law in the present Iranian calendar year (ending March 2015), Shana reported.

The projects include gas distribution to Sistan and Baluchestan Province in southeast Iran, optimization of power facilities to 500,000 residential and 100,000 office buildings, a comprehensive plan to develop the remaining phases in the South Pars gas field in the Persian Gulf, and the completion of the 6th, 9th and 11th national pipelines for gas export.

Note 2(G) establishes the investment framework for the oil ministry, allowing it to invest up to $100 billion in oil and gas projects in line with Article 44 of the constitution to help open new opportunities to the private sector and boost privatization.

Close to $1.44 billion is allocated to develop gas supply to Sistan and Baluchestan Province. The province has a population of 2.7 million across nineteen counties, of which, only the residents of Iranshahr county have access to piped gas.

Supply of gas to four power plants in the province will save approximately 5 million liters in petroleum products annually.

Optimization of 600,000 power facilities will also reduce gas consumption by more than 4 billion cubic meters per year.