Iran says it will soon sign deals with German companies for setting up new electricity generation plants as the country seeks to add up to 37,000 megawatts to its national power grid. 

Deputy Energy Minister Houshang Falahatian said last month’s conclusion of nuclear talks with the West has led to new openings for resuming cooperation in energy and power industries with the Germans and expanding it.

“Transfer of know-how and technology for water and electricity economization, upgrading efficiency of power plants and building new power plants, including renewable and new energy facilities constitute the main tops of our talks,” he said.

According to official reports, between 14% to 18% of the electricity produced in Iran is wasted during transmission.

Over the past few months, Iran has held negotiations with several other European companies for partnership and investment in the country’s electricity and energy industries sector.

Falahatian said, “Based on a major program, up to 37,000 megawatts of new power generation capacity will be created within a six-year period.”

The plan includes generating about 5,000 megawatts from renewable energy sources with the help of German companies which are among “the world’s front-runners” in producing clean energy and renewables, he said.

“Negotiations for transfer of technology and know-how for building renewable energy generation units, especially solar and wind plants, are advancing at a satisfactory pace and we expect agreements to be signed soon,” he added.



[caption id="" align="alignnone" width="555"] ?Deputy Energy Minister Houshang Falahatian has said there is no limit to the participation of foreign energy companies and their investment in Iran.[/caption]

German companies are planned to partner local entities through providing finance or direct investment in Iranian projects.

Negotiations come after German Economy Minister Sigmar Gabriel visited Iran at the head of a 60-member delegation including executives of Siemens, Linde, VW, Daimler and GIZ last month.

“Iran’s power and energy market is highly attractive and economically viable for German firms,” Falahatian said.

Falahatian has already said there is no limit to the participation of foreign companies and their investment in the projects, including by American firms.

Iran is the biggest producer of electricity in the Middle East, generating over 70,000 megawatts-hour. Thermal stations account for 85% of the electricity produced in Iran and hydropower plants for 14% of that.

By Press TV