Iran Electricity Consumption Declines

EghtesadOnline: Electricity consumption during peak demand season (June to August) declined by 1,000 megawatts compared to the year before, a deputy energy minister said.

News ID: ۷۴۹۱۵۹

10 December 2019

“Load was expected to surpass 61 gigawatts last summer, but it did not cross 57 GW,” Homayoun Haeri was quoted as saying by IRNA.

Unlike 2017 and 2018 when consumption reached 58,000 megawatts during the peak seasons, this year it was 57 GW -- down 2%.

Power consumption in Iran was among the highest in the world from 2014 to 2018, but this growth has started to slow down, Financial Tribune quoted him as saying.

Referring to the main contributors to the declining consumption, he said based on a contract with the agriculture sector, farmers were obliged to turn off their water pumps during peak hours and most of them complied.

"Demand Response (DR) Program" has helped reduce load on the national grid in previous years.

DR changes in electric usage by end-use customers from their normal consumption patterns in response to changes in the price of electricity over time. Demand response programs decrease electricity consumption or shift it from on-peak to off-peak periods depending on consumer preferences and lifestyle.

Highlighting other measures, the senior official said close to “10 million fluorescent lamps were replaced with energy saving bulbs in state organizations, smart meters were installed and five million evaporative coolers and one million air conditioners underwent tuning-up with the help of the ministry.”

Reducing power waste in the national grid also helped in stabilizing the network, he said.

Replacing old and defective equipment, power lines, utility posts, cables and meters as well as penalizing illegal use (theft) of electricity were among other measures to reduce electricity loss.

Haeri did not elaborate on other reasons for the decline in consumption, but economists and energy experts believe that gradual closure of manufacturing units due to insolvency and economic recession are among the noticeable reasons that are taking a toll.

Declining economic growth, recession, US sanctions, currency volatility and other problems are hurting businesses big and small.

Industries and households account for 67% of electricity consumption in the country of 80 million people.

The state-affiliated Power Generation, Distribution and Transmission Company's (Tavanir) maximum generation capacity is 58 GW.