Based on SATBA’s public relations and international affairs office, the members of the Board of Directors of the Iranian Wind Energy Association visited Dr. Ardakanian, Minister of Energy with the aim of presenting the problems of the private sector in the development and operation of the renewable power plants in the current situation. In this meeting, the representatives of the mentioned Association stated that the main reasons that renewable energy has not developed in Iran are that fossil fuels are subsidized and also cheap fuel is given to thermal power plants, as well as the efficiency of fossil power plants are very low in Iran.
The report adds that the chair of the Iran wind energy association pointed to the power purchase guarantee law from renewable sources which have provided adequate capacity for the development of renewable power plants in the country. Due to the recent fluctuations in the foreign exchange market in Iran and its negative effects on the investment process in the field of renewable energy, he suggested that the exchange rate should be considered for investment in power purchase guarantee process as well as in the text of the said contract, amendments to the calculation of the adjustment coefficient shall be applied.
According to this report, Dr. Ardakanian, while explaining the perspectives of the Ministry of Energy and the Government on the renewable power plants development, he put emphasis on the institution’s role such as scientific associations and NGOs in the identifying of the importance of this issue. In addition, for the proposal put forward by the Iranian Wind Energy Association to reform the method for allocating electricity subsidies in terms of its benefits, it is very positive and possible to plan it in the form of Cabinet board, and especially between the two Ministries of Petroleum and Energy, to provide an operational model to be considered by the association.