Iran Burns Less Gas for Power

Iran used a sixth less gas in the first quarter of this fiscal year (March 21-June 22) to generate electricity compared with the same period last year, and 82.2% more fuel oil, according to the energy ministry.

The country reversed its gas-to-power strategy as crude oil and petroleum products exports have been hit by US sanctions, while its net gas exports have risen by one-third.

Iran used 716mn litres of fuel oil, 482mn l of diesel (down 34.2% year on year) and 15.6bn m³ of gas in the power sector in those three months.

Iran can use diesel in the industrial and transport sectors while fuel oil, which accounts for almost all Iran’s petroleum products exports. has only limited use at home.

The country has not published 1Q fiscal year gas statistics yet, but according to the latest data by National Iranian Gas Company, it injected 646mn m³/d processed gas into the grid in March 21-May 22, about 6% more than the same two-month period last year.

Its gas consumption went up by 4.1% to 534.4mn m³/d (excluding 9.7mn m³/d used in compressor stations, which increased 9% year-on-year), while gas injection into underground storage facilities rose 70% to 57mn m³/d.

Iran’s net gas export during this period also increased by one-third year-on-year to 41.1mn m3.

Iran’s gas trade during March 21-May 22 (mn m³/d)

Source: NIGC