Iran mulls energy service company

TEHRAN July (Shana)–Managing-Director of Iran’s Fuel Conservation Organization (IFCO) Nosratollah Seifi has said preparations have been made for the establishment of energy service market in Iran.

 He said these markets would set price on energy carriers, define the type of contracts and determine conditions for contribution to Iran’s oil sector.

Seifi said Petroleum Ministry’s Engineering Affairs Department has defined a single type of contracts for energy services companies.
He said that energy services companies are required to meet certain conditions before starting their activity.
Seifi said a pricing model is being finalized by Iran’s Petroleum Industry Efficient Energies Council, adding that the final version of this model would be set as precondition.

An energy service company or energy savings company (ESCO or ESCo) is a commercial or non-profit business providing a broad range of energy solutions including designs and implementation of energy savings projects, retrofitting, energy conservation, energy infrastructure outsourcing, power generation and energy supply, and risk management.

After installing energy conservation measures (ECMs), ESCOs often determine the energy savings resulting from the project and present the savings results to their customers. A common way to calculate energy savings is to measure the flows of energy associated with the ECM, and then to apply spreadsheet calculations to determine savings.



The Iran Project is not responsible for the content of quoted articles.