Iranian projects: Power generation

Power demand in Iran is growing at an annual rate of 7%. Iran has installed power generation capacity of about around 31.5 gw, of which around 80% is natural gas fired, with the remainder either hydroelectric or oil-fired. Iran is adding significant generation capacity, both thermal and hydroelectric, with the goal of reaching a total generating capacity of 40gw by 2005. The most recent official projections mention a total of 56gw by 2011 (PP, 27 June 2002). Although the government is considering privatisation, at present Iran's power sector is run by the state-controlled Tavanir organisation.
Iran has five small nuclear reactors, one in Tehran and four in Isfahan. The country's nuclear programme has attracted international controversy, as it is feared that its nuclear capacity could be used for military purposes. West Germany started work on the Bushehr nuclear plant in 1974. After a long interruption starting round the time of the revolution (1978-9), new contracts were signed with Russia in 1995 and 1998. The 1995 contract calls for completion of the two 1300mw, pressurised-light water units and the supply of two modern VVER-440 units.