Unfair Tariffs Pushing Green Sector Over the Edge

Despite the fact that in the past few years almost 50% of foreign direct investment in Iran’s power sector was in green energy, some 200 companies active in the renewable sector are facing insolvency, board member of Iran Renewable Energy Association (IrREA) said Tuesday.
“Volatility and instability in the currency market and the Energy Ministry's reluctance to allow fair and reasonable tariffs for electricity produced by the private companies are among root causes of the problem,” ISNA quoted Mohammad Javad Mousavi as saying.
It was not until 2015 when the ministry (for the first time in its history) set reasonable tariffs to purchase clean energy produced by private firms (6 to 9 cents per kilowatt). That move worked well and was a major incentive to attract local and foreign investment in renewable energy ventures, he noted.