Economic council approves major oil, power projects to boost energy output
Iran’s Economic Council approved several large-scale projects in the oil and power sectors aimed at increasing production capacity and strengthening the country’s energy supply.
At a meeting held on Monday and chaired by First Vice President Mohammad Reza Aref, the council endorsed the general framework of a plan to raise oil output and offset declines in gas production, the vice-president’s website reported.
The plan includes the implementation of pressure-boosting operations at the shared South Pars gas field, the development of the Sepehr and Jofeir oil fields, and accelerated production from the Azadegan oil field.
The project involves an estimated investment of $17 billion and is expected to generate revenues of up to $520 billion, according to the website.
The council also approved a separate project aimed at real-time monitoring and smart management of the integrated petroleum products supply chain, with an investment of €420 million, plus $48 million funded from domestic resources of the National Iranian Oil Refining and Distribution Company.
The initiative aims to establish intelligent, integrated oversight of petroleum product production, transportation, and storage between 2026 and 2029.
In the power sector, the council approved optimization and performance-upgrade projects for the Dez and Shahid Abbaspour dams and power plants in Khuzestan Province. Based on the approvals, generation capacity at the Dez power plant will increase from 520 megawatts to 720 megawatts, while capacity at each unit of the Shahid Abbaspour power plant will rise from 180 megawatts to 250 megawatts.