October 12, 2017

Key Drivers

  • High solar radiation potential in a large area of Iran, which makes investment in Iran solar energy development plan a bankable investment.
  • Up to 300 sunny days a year over 2/3 of its total area
  • 5000 MW target for renewable energy by 2020
  • The Government of the Islamic Republic of Iran signs a guaranteed contract for 20-year purchase of electricity produced by solar or other renewable power plants (Guaranteed Power Purchase Agreement (PPA).
  • An attractive feed-in tariff with a guaranteed 20 year PPA
  • Robust grid infrastructure with high electrification rate (98.9%) across the country
  • Guaranteeing the possibility of returning foreign investment principal and interests from Iran, in accordance with the Foreign Investment Promotion and Protection Act (FIPPA), by the Organization for Investment and Economic and Technical Assistance of Iran.
  • 5 to 10 years tax exemptions for solar power plants.
  • Custom exemptions for the solar power plant equipment
  • Subsidy reform plan implemented to reduce fuel subsidies for fossil fuels
  • Highly educated and skilled workforce and an excellent engineering and construction sector
  • Support for renewables through legislation and the establishment of SATBA
  • Commitment to COP 21
  • Opening up to the international market following sanctions relief