Electricity in Iran in 2023/2024

In the most recent 12-month period from July 2023 to June 2024, Iran's electricity consumption has been overwhelmingly reliant on fossil fuels, with more than 94% of its electricity coming from such sources. Specifically, natural gas accounts for more than 82% of this share, leaving room for only a minimal amount of low-carbon energy, which altogether contributes just over 5% to the nation's electricity. This entire low-carbon percentage can be attributed to hydropower. The heavy reliance on fossil fuels is significant, with the environmental impacts including increased carbon emissions and air pollution being of great concern. This indicates a substantial gap and potential for growth in sustainable energy production, particularly through other low-carbon sources like nuclear and solar.

Suggestions

To elevate Iran's low-carbon electricity generation, the nation can look towards countries with successful track records in this area. For example, France generates an impressive 67% of its electricity from nuclear energy, and Slovakia follows closely with 60%. Both countries demonstrate the potential of nuclear power to provide a reliable, large-scale source of clean electricity. Additionally, nations like Greece have made strides in solar power, with solar energy contributing 22% to their electricity. These examples offer valuable insights into diversification and development of a robust low-carbon energy sector. Iran can draw lessons from these successes, particularly in increasing nuclear and solar capacities, to significantly reduce its dependency on fossil fuels and enhance its energy sustainability.

History

In reviewing the history of low-carbon electricity in Iran, it has witnessed a variety of changes over the years. In the early 1990s, there was a modest uptake in hydropower, followed by fluctuations with some years, like 1994 and 1999, seeing reductions. The early 2000s experienced a resurgence of hydropower, with increases documented in 2002, 2004, and 2006. However, significant declines occurred in 2008 and again from 2018 to 2021. The nuclear sector saw an introduction in 2013, with subsequent growth until 2016. The increase was interrupted in 2021, which unfortunately saw a decline. More recently, in 2022 and 2023, there were positive increments for nuclear and hydropower, respectively. These historical trends highlight the need for consistent policy support and infrastructure investment in low-carbon technologies, ensuring steady growth and less dependency on fluctuating fossil fuel markets.

Electricity Imports and Exports

Balance of Trade

Data Sources