Power grid ready for summer with focus on consumption management
TEHRAN- The managing director of Iran's Power Generation and Distribution Company (known as TAVANIR) has announced the power grid's readiness for the summer peak load, the development of renewable energy sources, and the implementation of a restriction program for high-consumption subscribers.
According to Mehr News Agency, Mohammad Allahdad stated during the inauguration of the Summer 2026 Peak Load Management programs and the unveiling of the "25 Degrees; A Pact of Empathy" campaign that despite damages inflicted on the grid at over 2,000 points, reconstruction and repair operations have been completed, and main transmission lines and key substations are ready to get through the summer.
He noted that extensive measures are being implemented in both the generation and consumption management sectors, adding that the capacity of renewable power plants has quadrupled since the beginning of the current administration, and development in this sector continues to ensure a share of the country's electricity supply comes from clean energy.
Allahdad further stated that in the first weeks of the current year, more electricity has been delivered to the industrial sector compared to the same period last year, and key production chains, particularly petrochemical plants, have been prioritized for supply.
Referring to electricity supply for the agricultural sector, the Tavanir managing director clarified that the operating permits are the criterion for action, and no restrictions beyond the permit have been imposed on authorized subscribers. However, unauthorized extraction and consumption are being seriously addressed.
He put the total electricity consumption of the agricultural sector at approximately 5,534 megawatts, stating that out of this amount, 4,000 megawatts are covered by valid permits, and the remaining roughly 1,434 megawatts — which have not been verified in the two-way system — are being organized.
Allahdad pointed out certain abuses in this sector, adding that using agricultural tariffs for purposes such as villas, gardens, and banquet halls is illegal. In cooperation with the Prosecutor's Office, legal action against unauthorized water and electricity extraction is on the agenda.
He announced the notification of a demand reduction program during summer peak hours, stating that Tavanir's target is a 5% reduction in demand, which would keep the peak load below 73,700 megawatts.
The Tavanir managing director also announced the installation of 7 million smart meters, adding that by the end of this summer, that number will increase to 9 million units. The installation of 100,000 consumption limiters has also been scheduled for the next month.
He highlighted consumption inequality, noting that 2% of household subscribers consume about 10% of the electricity. Over 500,000 high-consumption subscribers have been identified, of which 170,000 — those consuming more than 2.5 times the standard pattern — are prioritized for limiter installation.
He announced the launch of the "Mahtab" system to consolidate actions against unconventional consumption, adding that crackdowns on unauthorized cryptocurrency mining, loss reduction, and the removal of illegal connections are being pursued through this system. By the end of Khordad, the target has been set to identify and eliminate 1,800 megawatts of unauthorized consumption.
The Tavanir managing director continued that nearly 700 megawatts of this program have already been achieved, and by removing over 130 transformers, approximately 12.5 megawatts of load have been eliminated from the grid.
In conclusion, he said that in the Summer 2026 program, the use of distributed generation and small-scale generators holds particular importance, and the target is to supply 1,635 megawatts of electricity from this source.
* Energy ministry’s plan to curb electricity consumption and develop alternative energy sources
The Minister of Energy has announced the implementation of new electricity consumption management programs, the development of electric vehicles, and the restriction of high-consumption subscribers to get through the summer peak.
According to Mehr News Agency, Abbas Aliabadi, on Monday, at the inauguration ceremony of the Summer Electricity Peak Consumption Management programs and the unveiling of the "25 Degrees; A Pact of Empathy" campaign held at Tavanir's parent company, emphasized the key role of the expert body in the country's development.
The Minister of Energy stated that ministerial structures and senior officials are transient, adding that the bureaucratic and expert structure is the foundation of sustainable development and is permanent. Therefore, senior managers should be selected from within this very expert body, from among specialized and lasting individuals.
Aliabadi, referring to the increasing trend of electricity consumption in recent years, stated that the approach in this period is to prevent excessive consumption growth and, if possible, reverse this trend. He added that the Ministry of Energy's goal is to not only manage consumption but also to move toward resolving the imbalance and achieving a positive energy balance by making the business environment more attractive and increasing generation capacity.
The Minister of Energy emphasized that oil should not be viewed solely as fuel, stating that oil is a commodity and a raw material for a vast chain of valuable products. However, we are currently burning this national wealth and gasoline — a trend that will certainly change in the future.
Aliabadi, noting the advantages of electrifying transportation, pointed out that the electrical power needed for one million electric vehicles is very negligible compared to the enormous volume of gasoline and diesel it would replace. He added that we must move toward meeting people's needs through secondary energy sources such as electricity, and in this regard, the development of renewable resources tailored to the country's climate is a priority.
Finally, the Minister of Energy explained the approach toward subscribers who consume more than the permitted pattern, stating that for this group, a "restriction" program has replaced full power cut-offs. He also noted that fortunately, 70% of subscribers correctly observe consumption patterns.
* NDF allocates $300m to boost renewable energy by 15,000 MW
A member of the National Development Fund's Executive Board announced the allocation of $300 million in new credit to SATBA (Iran's Renewable Energy and Energy Efficiency Organization), a significant reduction in collateral requirements for the private sector, and plans to bring 15,000 megawatts of renewable electricity into the national grid by 2027.
According to IRNA from the National Development Fund, Seyed Alireza Mir-Mohammad Sadeghi, detailing the support for renewable energy, stated: With the aim of accelerating power plant projects, the Executive Board has approved the allocation of $300 million in new credit to SATBA, so that in addition to the previous $1 billion, all projects under the 7,000 MW plan will be completed and their administrative files closed.
Referring to a new resolution to reduce the financial burden on applicants, he said: The collateral requirement outside the project (Group 3) for power plants ready for transfer has been reduced from 30% to 15%. Additionally, applicants can begin the financial process by submitting a letter of undertaking.
Mir-Mohammad Sadeghi added: The private sector's interest in this field has increased so much that the applicants' equity contribution has risen from 20% to over 35%.
MA
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