Oil Ministry Signals Stronger Support for Private Sector with Petchem Arbitration

Oil Ministry Signals Stronger Support for Private Sector with Petchem Arbitration
(Sunday, February 8, 2026) 10:21

TEHRAN, Feb 8 (NIPNA) – Iran’s Ministry of Petroleum has taken a significant step to strengthen private sector confidence in the country’s petrochemical industry by endorsing the arbitration role of the National Petrochemical Company (NPC) in utility pricing, industry officials said.


Kamil Pourziaei, CEO of Kharg Petrochemical, said the decision to set transparent and expert-determined prices for auxiliary services—known as utilities—confirms the ministry’s special focus on private investors. “This move not only boosts investor confidence but also facilitates the development of new projects,” he said.

Pourziaei noted that the arbitration resolves a multi-year pricing uncertainty that had reached a critical stage, potentially involving complaints to the Supreme Audit Court. “Proper implementation ensures uniformity and reduces risks for development projects,” he added.

The NPC’s authority over utility pricing was approved on Feb. 1 at the Supreme Council for Economic Coordination of Government, marking the end of a long-standing dispute in the sector. Hassan Abbaszadeh, Deputy Petroleum Minister, emphasized that the framework is not directive but establishes a structured channel for public-private engagement in Iran’s strategic petrochemical industry.

 


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