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ICCIMA Urges Gov’t to Reconsider Controlled Power Pricing Policy

Investment in power sector amounted to $7 billion in 2008, which declined by 85% and reached $1 billion in 2020
ICCIMA Urges Gov’t to Reconsider Controlled Power Pricing Policy
ICCIMA Urges Gov’t to Reconsider Controlled Power Pricing Policy

Iran Chamber of Commerce, Industries, Mines and Agriculture’s Research Center has criticized a controversial policy based on which private electricity producers are obliged to sell power to the state-run Iran Power Generation, Transmission and Distribution Management Company (Tavanir) at prices determined by the government. 
Reflecting the opinion of specialized commissions and provincial chambers across the country, ICCIMA said in a report that as long as the private sector is forced to sell electricity at specified (low) prices, investors won’t be interested in developing electricity infrastructures, Barq News reported.
Echoing the views of a cross-section of experts, the chamber said investment in power sector amounted to $7 billion in 2008, which declined by 85% and reached $1 billion in 2020.
"Power generation in Iran costs at least 3 cents per kilowatt-hour for the private sector, but it should sell it to Tavanir for less than 2 cents and consumers are charged less than 1 cent per kWh," reads on excerpt of the report.

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