Small-scale, household renewable power plants to be expanded

August 26, 2026 - 21:38

TEHRAN — Iran's Energy Minister Abbas Aliabadi has announced that the development of renewable energy will increasingly focus on household and small-scale installations, emphasizing the environmental superiority of clean energy over fossil fuels.

Speaking at the inauguration ceremony of 95 megawatts of solar power plants—comprising the 63-MW Qaed Shahid and 32-MW Lamerd Martyrs plants in Tehran Province—Aliabadi noted that numerous renewable energy projects are underway across most provinces. He expressed gratitude to partner institutions, including the Central Bank and provincial governorates, for their cooperation in advancing these initiatives.

"Renewable energies are significantly cleaner than fossil fuels, and we must pay special attention to developing renewable power plants on household and small scales," the minister stated.

While acknowledging the ongoing development of large-scale renewable projects, Aliabadi stressed the importance of mobilizing small-scale public capital. He praised the efforts of SATBA (Iran's Renewable Energy and Energy Efficiency Organization) in aggregating micro-investments and directing them toward renewable projects, reducing reliance on large-scale investment and state funding.

Citing the Parand power plant as a successful model, he noted that citizens participated with modest contributions, demonstrating the viability of crowd-funded energy infrastructure.

Aliabadi further remarked that leading industrial figures agree that for the Fourth Industrial Revolution, nations must diversify their energy production sources. "Technology is evolving, and we must keep pace. We are pleased that after years of effort, the country has achieved remarkable records in renewable energy," he added.

According to IRNA, the 95-MW solar facility—the largest in the country—was officially inaugurated on the second day of Government Week with President Masoud Pezeshkian in attendance. Located adjacent to the Shamsabad Industrial Town, southeast of Tehran, the country's largest industrial zone, the plant is divided into two sections of 63 MW and 32 MW.

The project was completed in less than nine months on a 147-hectare site. The plant is designed to supply a portion of the electricity demand during peak consumption hours for the Shamsabad Industrial Town.

With this latest addition, Iran's total solar power capacity has now reached nearly 5,500 megawatts.

Iran's renewable energy sector is experiencing remarkable growth. From roughly 1,250 MW two years ago, total capacity has surged past 5,800 MW, driven by a fivefold increase in solar power. The government aims to reach 12,000 MW by March 2027 and 30,000 MW in the medium term. This push includes a major focus on small-scale and household solar plants, supported by billions in allocated funds and new foreign investment agreements to diversify Iran's energy mix and enhance national security.

EF/MA

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