Electricity Export Prices Average 8-11 Cents

Electricity Export Prices Average 8-11 CentsElectricity Export Prices Average 8-11 Cents

Electricity is being exported at 8-11 cents per kilowatt-hour (kWh) on average, Esmael Mahsouli, deputy energy minister said, ILNA reported on Saturday.

"The price of electricity for export starts at 4-5 cents and goes up to 12-13 cents per kWh," he said.

Iran's electricity price for export varies from country to country. Afghanistan, for example, receives less expensive electricity due to Iran's commitment to contribute to the development of the war-ravaged country, whereas exports to Pakistan, Turkey and Iraq have higher tariffs, according to Mahsouli.

Annual exports are estimated at 12 billion kWh, with revenues  close to $1 billion per year. Revenues from electricity exports are in hard currency. However, importing equipment in lieu of hard currency could be an option "if required."

An increase in exports could lead to higher tariffs considering global price of electricity.

Iran is the largest exporter and importer of electricity in the Middle East and exports electric power to Armenia, Pakistan, Turkey, Iraq, and Afghanistan.

Electricity exports to neighboring countries increased by more than 4 percent in the March-September period and production increased by 7 percent compared to the same period last year.

Iran exported more than 5164 gigawatts of electric power to bordering countries, a 3.37 percent increase from 4995.5 gigawatts in the said period.