Energy in Iran
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Iran possesses significant energy reserves, holding the position of the world's third-largest in proved oil reserves and the second-largest in natural gas reserves as of 2021. At the conclusion of the same year, Iran's share comprised 24% of the oil reserves in the Middle East and 12% of the worldwide total.[1]
In 2020, the Total Energy Supply (TES) in Iran was primarily sourced from oil and gas, with gas being the predominant contributor at 69% and oil at 29%. Nuclear power and
Iran also has the ability to generate significant power from renewable resources; due to the nation's closeness to the equator, 90% of its land area could provide solar power for at least 300 days a year.[3]
History
Iran is in a constant battle to use its energy resources more effectively in the face of
Iran is one of the leading members of
Iran has become self-sufficient in designing, building and operating dams and power plants and it has won a good number of international bids in competition with foreign firms.[11][12]
Energy generation capacity of Iranian thermal power plants reached 173 terawatt hours in 2007, accounting for 17.9 percent of energy production in the Middle East and African region. Natural gas has been the main energy in Iran in 2007, comprising over 55 percent of energy needs, while oil and hydroelectricity accounted for 42 and 2 percent respectively. The region’s energy need will increase by 26.8 percent until 2012.[13] In 2017, the fuel consumption in Iran was equivalent to 5.5 million barrels of fuel per day (bpd), the rate of which is considered as the highest energy consumption rate in the world in terms of energy intensity.[14]
Energy plays an important role in Iranian politics. Robert Baer in his 2008 book The Devil We Know: Dealing with the New Iranian Superpower argued that Iran had attained the status of an energy superpower and was on its way to become a military-political superpower.[15]
Iran plans to create an
Year | Population (million) |
Prim. energy (TWh) |
Production (TWh) |
Export (TWh) |
Electricity (TWh) |
CO2-emission (Mt) |
---|---|---|---|---|---|---|
2004 | 67.0 | 1,696 | 3,233 | 1,530 | 137 | 369 |
2007 | 71.0 | 2,151 | 3,757 | 1,602 | 165 | 466 |
2008 | 72.0 | 2,350 | 3,801 | 1,429 | 174 | 505 |
2009 | 72.9 | 2,514 | 4,068 | 1,537 | 168 | 533 |
2010 | 73.97 | 2,423 | 4,060 | 1,574 | 196 | 509 |
2012 | 74.80 | 2,467 | 4,113 | 1,614 | 200 | 521 |
2012R | 76.42 | 2,554 | 3,523 | 961 | 210 | 532 |
2013 | 77.45 | 2,656 | 3,477 | 649 | 224 | 526 |
Change 2004-10 | 10.4% | 42.9% | 25.6% | 2.9% | 43.0% | 37.8% |
Mtoe = 11.63 TWh, Prim. energy includes energy losses
2012R = CO2 calculation criteria changed, numbers updated |
Primary energy sources
Primary energy supply is around two thirds gas and one third oil, with tiny amounts from other sources.[18]
Natural gas
Iran is the world's third producer of
Domestic consumption has matched production at 3.6×10 12 cu ft (100 km3) in the year of 2005. Domestic consumption is expected to go up at about 7% per year for the following decade. The Iranian government has also subsidized natural gas prices along with gasoline prices, and this is expected to sustain this high level of domestic consumption. In lieu of this increasing domestic demand, natural gas exports are expected to decrease in the following years.[22]
In 2021, Iran ranked as the world's fourth-largest consumer of natural gas, behind the United States, Russia, and China. A significant share of its natural gas production is utilized domestically in various sectors. Over the last ten years, consumption of natural gas in Iran has risen by approximately 50%, influenced by a range of factors. These include heavily subsidized prices, an extensive distribution network, enhanced domestic production, and government initiatives aimed at replacing oil with natural gas in residential, commercial, and electric power sectors.[23]
Natural gas:[24]
- production: 151.8 billion cu m (2011 est.)
- consumption: 144.6 billion cu m (2010 est.)
- exports: 9.05 billion cu m (2011 est.)
- imports: 10.59 billion cu m (2011 est.)
- proved reserves: 33.61 trillion cu m (1 January 2013 est.)
Oil
Iran has the second largest oil reserves in the world, and the third largest exporter of it.[citation needed] By the end of 2009, Iranian oil R/P ratio was 89.4 years which is the world's highest.[25] By 2009, Iran had 52 active rigs and 1,853 producing oil wells.[26]
Iran possesses abundant
Iran held 10.3% of the world's total proven
There is a growing recognition that prices must rise faster to curb consumption and ease the burden on the public finances. Cheap energy has encouraged wasteful consumption in Iran, and a brisk business in smuggling petrol into
The growth in consumption of domestically produced oil has been modest, owing to refining constraints. By contrast, fuel imports rose to 180,000 barrels per day (29,000 m3/d) in January 2005 from 30,000 barrels per day (4,800 m3/d) in 2000, and petrol consumption is estimated to have been around 1,800,000 barrels per day (290,000 m3/d) in 2007 (before rationing), of which about one-third is imported. These imports are proving expensive, costing the government about US$4bn in the first nine months of 2007/08, according to parliamentary sources.[28] Nearly 40% of refined oil consumed by Iran is imported from India.[29]
Iran contains 27 onshore and 13 offshore oil-producing fields, largely concentrated in the southwestern
Oil:[24]
- production: 3,589,000 bbl/d (570,600 m3/d) (2012 est.)[30]
- consumption: 1,755,000 bbl/d (279,000 m3/d) (2008 est.) (expected to increase 10% each year since 2006)
- exports: 2,377,000 bbl/d (377,900 m3/d) (2010 est.)
- imports: 156,000 bbl/d (24,800 m3/d) (2010 est.)
- proved reserves: 154.6 Gbbl (24.58×10 9 m3) based on Iranian claims (1 January 2009 est.)
note: as of 2009, 1/3 of Iran's gasoline needs are imported because of insufficient domestic refining capacity, over-consumption and contraband.[31]
Nuclear energy
Iran plans to generate 23,000 MW of electricity through nuclear technology to meet its increasing demand for energy.
Hydro
Droughts have reduced hydropower.[35][36] The Energy Ministry plans to improve existing plants and build more small and medium hydro.[37]
Biofuel
In 2016, the Iranian Biofuel Society (IBS) in collaboration with the Vice Presidency for Science of Technology and Tehran and the Suburbs Bus Company executed the first urban pilot project for the consumption of waste cooking oil biodiesel in Tehran`s bus fleet in an attempt to generate public awareness regarding Global Climate Change, wherein they recommend “reducing net
Solar
In 2021 there were 450 MW of solar power, less than 1% of
Iran has an average of 2,200 kilowatt-hour
Wind
In 2020 there were just over 300 MW of wind power, less than 1% of installed capacity.[43] The east is suitable to build more, and wind there matches annual demand variation, being higher in spring and summer.[44]
Geothermal
According to global tectonics Iran is impacted by subduction of the Arabian Plate under the Central Iranian Plate and four thrust faults: two that make the Southern Caspian Sea
Electricity
Iran’s domestic consumption and production have steadily grown together since 1984 and it is still heavily reliant on traditional thermal energy sources of electricity, with a small fraction being produced by hydroelectric plants.[49] As of 2023 a quarter of electricity is generated from oil and most of the rest is gas-fired.[50] In recent years,[date missing] Iran has put greater emphasis on participation of domestic and foreign investors in electricity generation sector, with projects underway to add 40,000 MWh more capacity to the national grid.[51]
It is estimated that some 18.5 percent of electricity generated in Iran are wasted before it reaches consumers due to technical problems.
The exploration efforts for sources of power generation are wide and diverse in Iran. Plans are being made to make oil efficient power plants as well as an emphasis on natural gas production in order to meet their growing electricity demand.
Iran has displayed a new approach to this sector. After the 1979 Islamic Revolution, the construction of hydroelectric power plants became both a popular private and public venture. Often, construction projects did not meet basic environmental standards, engineering standards, and technical requirements. As a result, many of these dams were destroyed or left in dilapidated conditions.[57]
By 2004, the addition of new hydroelectric stations and the streamlining of conventional
In 2021, Iran produced 341 terawatt-hours (TWh) of net electricity, 94% of which came from fossil fuels. Natural gas was the primary source, accounting for about 81% of electricity generation. Oil’s contribution rose from 9% in 2018 to 14% in 2021, driven by
It has been estimated that Iran has the potential to produce at least 6,150 MWh of electricity by
In 2021, Iran's electricity generation was primarily sourced from natural gas, accounting for 81% of total production. Oil contributed 14%, followed by hydropower at 4%, and nuclear power at 1%. Both coal and non-hydro renewable sources each made up less than 1% of the electricity generation mix.[23]
According to a 2022
Subsidies
Iran was estimated to have paid 19% of GDP for energy subsidies in 2019.[61]
Iran is the world largest energy subsidizer,
Environment
Air pollution, much of which is from fossil fuels, is estimated to cause nearly 3000 deaths a year in Tehran alone.[62]
- CO2 emissions per capita: 11.9 tonnes (2015 est.)[63]
- GDP per unit of energy use: 4.0 (2007)[28]
- Energy use per capita (kg of oil equivalent) (2005 PPP $ per kg of oil equivalent): 2,352 (2007)[28]
Renewable energy
In 2022 less than 1% of electricity was generated by solar and wind.[64]
Iran plans to introduce 10,000 megawatts of renewable electricity into the electricity grid by the end of 2025.[65]
See also
- Economy of Iran
- Energy development
- International rankings of Iran
- Ministry of Energy (Iran)
- Oil megaprojects (2011)
- Wind power in Iran
- Nationalization of the Iranian oil industry
- List of renewable energy topics by country
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External links
- (in English) Ministry of Energy Of Iran - Official Website
- (in English) Renewable Energy & Energy Efficiency Organization Of Iran Archived 2012-03-01 at the Wayback Machine - Official Website
- (in English) Ministry of Economic Affairs and Finance Of Iran - Official Website
- (in English) Ministry of Industry, Mine & Trade Of Iran – Official Website
- Iran Energy Profile - International Energy Agency
- Annual Reviews - Reports by the Central Bank of Iran, including statistics about the energy sector in Iran.
- US Department of Energy - Iran
- Brief Sector & Environment Study (2003)
- Energy Security Implications of an Iran in Transition
- Tavanir - Iran's Electric Power Generation Organization
- Ahmadinejad's Gas Revolution: A Plan to Defeat Economic Sanctions Archived 2020-11-30 at the Wayback Machine
- IAEA: Energy and electricity in Iran (2002)
- Solar insolation maps