Electricity Consumption in Iran's Agriculture Sector Declines

EghtesadOnline: Power consumption data between March to December 2019 shows an increase of 3.2% compared to the corresponding period in the previous year.

News ID: ۷۴۹۶۱۰

03 February 2020

Subscribers used 195 billion kilo watt hours in the 9-month period, up 6 billion kWh compared to 2018 when the figure was  189 billion kWh, the Persian-language economic newspaper Donya-e-Eqtesad reported,

Monthly average consumption shows a rise of 11% from 21 billion kWh in 2018 to 25 billion kWh in 2019. Consumption in the industrial sector grew by 6.7% to reach 32.3%, according to Financial Tribune.

Unlike the industrial and household sectors, the agro sector registered a decline in consumption, reportedly due to the rising number of energy-intensive agricultural units (agro-wells) shifting to smart meters. The advanced device has helped transform traditional wells into smart wells and farmers can personally monitor and adjust their daily consumption and costs.

The new gadgets helped save 1,000 MW and 3,000 MW in 2018 and 2019, respectively. With 34.4%, Iranian households remain the top power consumers.

Referring to the total number of subscribers, the economic newspaper put the figure in the household sector at 29 million, up 1.5% compared to 2018.

The number of electricity meters in farms amounted to 458,000 in the same period, up 3.2% compared to 2018. This is while there are close to 251,000 industrial subscribers.

Electricity subscribers in the three sectors (household, industries and agro) plus commercial sectors, state and public organizations, street and public spaces lighting are estimated at   about 36 million, up half a million compared to 2018.

Per capita power consumption in the household sector in the 9-month period was 2,300 kWh. In the industrial and agro sectors it reached 251,000 kWh and 65,000 kWh, respectively.

Installed power generation capacity in Iran is 85,000 MW -- up 23% compared to 2015. The number of national grid transformers, electrical devices to supply power by changing magnetic fields has risen 23% to 725,000. The government and private sector have invested $12 billion in the key industry since 2013.

Power generation cost, including production and transmission, is 2 cents per kilowatt-hour. Electricity is subsidized and sold for 0.7 cents per kWh.

Mahmoud Reza Haqifam, a deputy manager at Tavanir, so long as electricity tariffs are not adjusted upwards, efforts to encourage households to use less power will be an exercise in futility.

Peak electricity demand (57,681 MW) grew by 1% in 2019 compared to the previous year.

Power generation capacity in peak hours in 2019 rose by 4% (compared to 2018) to reach 63,000 MW, most of which came from thermal stations.

Thermal power plants generated 47,000 MW of power in peak hours, up 5.4% compared to 2018. Hydropower output was 9,800 MW, 15% higher compared to the previous year.

According to Energy Ministry data, installed renewable energy capacity and distributed generation (DG) capacity has surpassed 850 MW and 1,700 MW respectively -- 21% and 23.7% more than that in 2018.