The Majlis has initiated plans to accelerate the development of the solar energy industry by the private sector, managing director of the Tehran Electricity Distribution Company (TEDC) said, Mehr news agency reported Tuesday.
"Private investors will be given loans to establish solar plants," Seyyed Ali Barband said, adding that Tehran Province's first solar farm is to be built with 510 kilowatt capacity in the near future.
Electricity generation from solar plants was previously costly, but has now become economical thanks to technological advancements.
The government has guaranteed to purchase every kilowatt-hour of electricity generated by solar plants at approximately 17 cents.
Barband predicted a "bright future" for the solar energy industry and said electricity exports would help generate "huge profits."
Solar plants can be built with lower investment compared to fossil fuel plants. It is an especially good solution for remote towns and villages for which, electricity supply is difficult.
Additionally, solar panels can be installed in industries as well as commercial and residential areas. Currently, $47 million has been allocated to develop solar energy by making use of solar cells.
Absence of sound pollution, no need for water, reducing expenses and low maintenance costs are among advantages of solar power plants. An increasing number of environmentalists have in recent years called on the government to gradually shift to renewables and cleaner energy to help protect the environment.
