Indian companies to invest in $10 bn Iranian energy park

By Editor


Indian companies will mark greater presence in Iran’s renewable energy sector with their contribution to an energy park in the Middle eastern country. Details about the companies weren’t made available in a report published by Iran’s state television Press TV.

Companies from India will join a consortium which also includes Iranian and South Korean companies. The $10 billion energy park is to be set up in the Khuzestan province of Iran, the report says.

The project will generate 1 gigawatt of solar power, and cumulatively it is expected to generate 5 gigawatts of clean energy for Iran.

While Iranian companies are to invest 30 percent of the capex, Indian and South Korean companies will share rest of the capex, Press TV has reported.

According to the report, representatives of the consortium met provincial authorities on Sunday to outline their plans.

Iran generates more than 70 gigawatt hours of electricity annually, making it the biggest power producer in the Middle East.

However, renewable energy accounts for less than 14 percent of the country’s energy mix. Also, the country has been witnessing a decline in this share owing to prolonged drought which is crippling hydropower generation, the primary clean energy source of Iran.

Ajith Kumar S

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