TEHRAN – Iran’s Renewable Energy and Energy Efficiency Organization (SATBA) has announced plans to supply equipment to rural councils as part of a national initiative to expand renewable energy generation in villages, according to Deputy Energy Minister Mohsen Tarztalab.

Speaking at a training session on solar power development held at SATBA’s headquarters, Tarztalab said rural councils across all 31 provinces can work with the organization to obtain the necessary permits for constructing renewable power plants. The move aims to bring small-scale solar generation projects to operational status across rural areas.

Tarztalab said the government will announce a new guaranteed purchase rate for renewable electricity in November. Under the current scheme, rural producers can sell electricity to SATBA at a guaranteed rate of 38,500 rials ($0.08) per kilowatt-hour, recovering their initial investment within three to four years. Alternatively, producers can sell renewable power on the Energy Exchange’s Green Electricity Board for over 60,000 rials ($0.12) per kilowatt-hour.

Tarztalab urged the Organization of Municipalities and Rural Administrations to identify funding sources and determine provincial capacity allocations, adding that SATBA will centrally procure equipment at competitive prices once the financial resources are in place.

Highlighting the advantages of renewable energy in rural development, the SATBA chief said the new cooperation framework could lead to the construction of 100 to 150 megawatts of renewable capacity by the end of the year. This expansion, he said, will support rural employment, enhance energy self-sufficiency, and help preserve village populations.

The partnership follows a previously signed memorandum of understanding between SATBA and the Organization of Municipalities and Rural Administrations to develop renewable energy plants of up to 3 megawatts in rural areas. The agreement allows rural councils, cooperatives, and related unions to participate in long-term power purchase projects under SATBA’s development model.

EF/MA