Iran Says Modest Household Gas Savings Could Boost PetchemOutput, Earn $400 Mln A Year

Iran Says Modest Household Gas Savings Could Boost PetchemOutput, Earn $400 Mln A Year
(Sunday, December 21, 2025) 16:21

TEHRAN, Dec 21 (NIPNA) – A reduction of just 3–5% in gas consumption by households, commercial users and small industries could generate up to $400 million a year in export revenues if redirected to petrochemical production, a senior industry official said on Sunday.

Ali Rabbani, head of energy consumption optimisation at the National Petrochemical Company, said such savings would amount to 15–25 million cubic metres of gas and help ensure more stable production in the petrochemical sector.

Speaking at a ceremony to sign agreements on reducing energy consumption, Rabbani said better coordination among government bodies, universities, industry groups and petrochemical companies was essential to safeguarding national resources and creating added value for the economy.

He said Iran’s petrochemical industry had entered its second year of a programme to cut energy use by 10%, noting that operational units had reduced gas consumption by the equivalent of 1.7 billion cubic metres over the past four years. This year, 84 efficiency projects are under way, which he said could save a further 260 million cubic metres of gas.

Rabbani said the petrochemical sector receives about 10% of the gas supplied through Iran’s national grid but generates roughly 65% of targeted subsidy revenues from gas sales, highlighting the sector’s outsized economic contribution.

He added that around 70% of gas injected into the grid is consumed by households, commercial users and small industries, arguing that even a 10% cut in that segment would exceed the total winter gas allocation to the petrochemical industry for feedstock and power generation.

Rabbani said petrochemical producers generate more than 90% of their own electricity and called for fair pricing policies, particularly for power plant gas, to avoid penalising higher-efficiency facilities.

He cited a pilot programme last year in Mazandaran province, where 140,000 households cut gas consumption by 41 million cubic metres over two months, enabling social benefits including the provision of wheelchairs to children in need, without public funding.

Rabbani said broader public participation was being encouraged through educational institutions, non-governmental organisations and the media, stressing that the goal was not to reduce living standards but to promote more efficient and responsible energy use.

He invited the public to join the initiative through the “Nabz-e Energy” platform, saying wider engagement could strengthen the economy and improve household welfare.

 


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