Electricity in Iran in 2023

In 2023, Iran's electricity consumption overwhelmingly relies on fossil fuels, with 94% of its electricity generated from fossil sources. Natural gas makes up a substantial chunk of this, accounting for 86% of the electricity, while oil contributes around 7%. Low-carbon energy sources like hydropower and nuclear power make up only a small fraction, at about 6% combined. Breaking it down, hydropower contributes nearly 4%, and nuclear power about 2%. The heavy reliance on fossil fuels indicates a significant need for Iran to shift towards more sustainable and clean energy solutions to mitigate the impacts of climate change and air pollution.

Suggestions

Iran can learn from countries that have successfully increased their low-carbon electricity generation. Nations like France, Slovakia, and Ukraine generate more than half of their electricity from nuclear energy, showcasing its potential as a dominant low-carbon source. For example, France produces 65% of its electricity from nuclear, demonstrating the country's commitment to low-carbon solutions. Similarly, Denmark's success with wind power, contributing 53% of its electricity, highlights another viable alternative for clean energy. With its similar economic and environmental constraints, Iran should look at nuclear power as a reliable, scalable clean energy source and also consider investing in wind and solar power to diversify its green energy portfolio.

History

The history of low-carbon electricity in Iran shows a mixed track record. During the 1990s, changes in hydropower generation fluctuated, with notable declines in 1994 and 1997, and periods of growth in the early 2000s, particularly in 2002 and the mid-2000s. A significant setback occurred in 2008, with a large drop of 10.5 TWh in hydropower generation. The introduction of nuclear energy in 2013 marked a pivotal shift, followed by modest gains in subsequent years, such as 2016. However, recent years have seen significant volatility in both hydropower and nuclear sectors: 2019 experienced a substantial boost in hydropower with a 24 TWh increase, offset by severe declines in the following years. Despite setbacks, 2022 saw a notable rebound in nuclear generation. Continued investment in nuclear and improvements in hydropower infrastructure are vital for stabilizing and increasing Iran's low-carbon electricity output.

Electricity Imports and Exports

Balance of Trade

Data Sources