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Natural Gas Consumption Rising in Iran

Iran’s daily gas consumption hit 521 million cubic meters on Tuesday, indicating a rise of 9 mcm compared with the average use of the fuel in the first quarter of the current Iranian year (started March 21).

“The country burnt a total of 47.7 billion cubic meters of natural gas, or 512.8 mcm/d, in the first quarter,” Saeed Momeni, the National Iranian Gas Company’s deputy for gas distribution, told Shana, the Oil Ministry’s official news agency, on Wednesday. 

Giving a breakdown on gas use, Momeni added that household, industrial and power plant sectors consumed 155 mcm/d, 101 mcm/d and 269 mcm/d respectively on Tuesday.

"Power plants and reservoirs normally receive extra gas in the summer," he said.

According to Momeni, Iran’s gas export on the day stood at 39 million cubic meters. Iran supplies around 50 million cubic meters of natural gas to Turkey and Iraq.

"While the average global gas consumption has observed a mild rise of 1.65% in the past three decades, Iran's demand for the fuel has risen by about 4.2% during the same period, which is alarming," he said.

"Such injudicious consumption pattern should be reconsidered by adopting efficient strategies."

According to a report published early June by BP Statistical Review of World Energy, Iran's natural gas consumption in 2017 stood at 214.4 billion cubic meters. Reportedly, almost 40% of Middle East gas consumption take place in Iran, an unreasonably high level by any standard. 

With a population of 80 million, Iran’s consumption is close to that of China, the second-largest economy and the most populous country in the world, which consumed a total of 191 billion cubic meters in 2015, data show.

Abundance of natural gas, coupled with cheap tariffs and subsidies, has led to the profligate use of the fossil fuel in Iran. Analysts and experts have long argued that unless the government scales back heavy energy subsidies, the wasteful consumption pattern will endure.