Iran Negotiates with Chinese Firms to Expand Solar Power, Energy Storage Projects

Iran is in talks with several leading Chinese companies to develop solar power plants and battery energy storage systems (BESS) as part of its strategy to increase renewable energy capacity, a senior official from the Iran Power Generation, Transmission and Distribution Company (Tavanir) announced.

Iran(IIMNA) - Mohammad Allahdad, deputy for transmission and foreign trade at Tavanir, explained that Chinese firms were selected due to their global leadership in solar panel installations and storage technologies. Emphasizing Iran’s high number of sunny days, he noted the importance of incorporating storage systems to improve efficiency. “Solar plants generate electricity only during daylight hours, but with storage systems, their output can also be used at night,” Allahdad said.

The negotiations involve two major Chinese solar energy companies. Allahdad highlighted China’s position as the operator of the world’s largest fleet of solar power plants, many equipped with paired storage systems. He also pointed to Chinese expertise in pumped-storage hydropower projects and previous collaborations with Iranian firms in dam construction.

Talks include provisions for transferring technical knowledge on storage systems to Iranian companies alongside joint solar development efforts. This cooperation aims to support Iran’s solar expansion ambitions while localizing energy storage technology.

The International Energy Agency (IEA) projects a rapid increase in renewables, with solar and wind generation surpassing 4,000 terawatt-hours (TWh) in 2024 and expected to exceed 6,000 TWh by 2026. Renewables are anticipated to meet over 90 percent of global electricity demand growth through 2026, driven by rising industrial consumption, expanded use of household appliances, greater reliance on air conditioning, electrification of heating and transport, and data center growth.

The IEA also forecasts world energy demand growth at 3.3 percent in 2025 and 3.7 percent in 2026, outpacing the 2015–2023 average, underscoring the critical role of renewable energy expansion worldwide.

News ID 904581

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