Iran's energy sector review

Iran’s domestic electricity sales decreased by more than 21 terawatt-hours (TWh) to 206.3 TWh during the last fiscal year, according to Energy Ministry. The statistics of the annual report, released on the Ministry’s website indicate that the country increased the power generation capacity by about 2.64 GW, but the actual gross electricity generation decreased by 5.218 TWh during the last fiscal year, compared to the same period of the previous year. Iran’s fiscal year started on March 21. Electricity consumption Last fiscal year TWh Y/Y change TWh Share of total consumption Number of consumers (1000) Housing sector 70.587 -5.516 34.2% 27,220 Public sector 19.587 -2.609 9.5% 1,570 Industrial sector 64.535 -7.692 31.3% 222 Agriculture sector 32.712 -3.377 15.9% 396 Commercial sector 15.047 -1.633 7.2% 4,280 Street light 3.839 -0.178 1.1% - Total 206.308 -21.003 100 - The country increase

Iran exported 2.6 million barrels of crude oil and gas condensate per day during the last fiscal year (ended March 20), of which 2 mb/d was crude oil, said Iran’s oil minister Bijan Namdar Zanganeh. Zanganeh said that during the sanctions era (2012-2015), about 70 million barrels of unsold gas condensate stockpile was stored on tankers, but after the removal of sanctions in January 2016, the volume was sold gradually and reached about zero by March 20, 2017, IRNA reported. Therefore, Iran had sold 2.6 mb/d of newly produced oil and gas condensate and sold 200,000 b/d from its gas condensate stockpile on water during last year. During the sanctions era, Iran’s oil (including gas condensate) output and export volume decreased from 4.1 mb/d and 2.5 mb/d to 3.3 mb/d and 1.2 mb/d respectively. Zanganeh said that Iran plans to keep the export volume unchanged during the current fiscal year. However, he has announced a week earlier that Iran plans to export 2.4 mb/d of oil and gas condensate

Iran increased gas deliveries to power plants by 4.7 percent to 57.74 billion cubic meters (bcm) during last fiscal year (ended Mar. 20, 2016), while the plan was a 20 percent growth to 65 bcm. However, the statistics of Energy Ministry indicate a huge growth in replacing liquid fuels with gas in power generation sector during last four years. Iran had planned to deliver 65 bcm of gas to power sector during last year, and increased the growth by 8.5 percent until the end of fall, 2016, but it seems Turkmenistan’s cutting its gas export to Iran during winter caused a decrease in gas deliveries to power sector. Turkmenistan exported 9 bcm of gas to Iran in 2015, but it cut gas deliveries in January 1, 2017 due to Iran’s $2 billion debt to Ashgabat. However, weekly statistics of Iran’s Energy Ministry indicate that the gas flow to power plants during 11 days of current fiscal year (March 21-March 31) experienced a 14.13 percent growth to 1.411 bcm. Iran’s gas deliveries to p