On Wednesday, Saeid Tavakoli, deputy oil minister for gas affairs, announced the start of the national initiative to swap 725,000 inefficient heaters for modern high-efficiency units. The project involves a $288 million investment and is expected to significantly reduce gas consumption during the cold months, when demand puts critical pressure on the national gas network.
“Gas saved through this initiative will be directly allocated to the industrial sector,” Tavakoli said during a ceremony marking the launch. “Our country is facing an overall energy imbalance — not just in gas. Over 73% of Iran’s energy basket is supplied by gas, which is an unprecedented figure globally.”
Addressing a seasonal energy deficit
Tavakoli stressed that space heating remains the largest contributor to wintertime gas overconsumption. “During the cold seasons, the energy shortfall can reach 350 to 400 million cubic meters per day. This program can partially offset that deficit,” he said.
Each heater replacement is expected to save up to 466 cubic meters of gas annually, Tavakoli added. So far, agreements have been signed to replace 1.725 million heaters, generating benefits for investors, the environment, and the government alike.
As part of the broader energy optimization efforts, 105,000 boiler rooms have already been upgraded, 100,000 smart control systems installed, and 20,000 old gas-burning systems replaced, he noted.
The total number of gas heaters in use across the country is about 4.1 million. According to Tavakoli, the project aims to replace 3.7 million of them with high-efficiency models, with the remaining units being replaced by thermal packages.
First phase targets 750,000 heaters
The National Iranian Gas Company is committed to fulfilling its obligations under the plan and has called on all relevant institutions to cooperate. Tavakkoli said 750,000 new heaters are set to be distributed starting next year as part of the project’s first phase, and the gas savings will be channeled exclusively into industrial operations.
Promoting energy safety, environmental goals
Valiollah Dini, CEO of the Iran Gas Trading Company, emphasized the project’s significance for gas reduction, safety, and environmental protection. He said contracts have already been signed to replace nearly 2 million of the 4.1 million substandard heaters currently in use across the country.
“This national project was launched with the dual purpose of reducing energy use and enhancing safety in residential and educational spaces. It is expected to cut gas consumption by as much as 50%,” Dini said, stressing the importance of collaboration across all government bodies to meet these goals.
He added that the heater installations align with the Economic Council’s energy policy mandates and represent a key step in improving quality of life, safeguarding the environment, and promoting responsible energy consumption.
$288m investment launches from Khorasan Razavi
Hassan Eftekhari, managing director of Khorasan Razavi Gas Company, said the campaign officially began in the northeastern province with the same $288 million investment. “This initiative is centered on reducing gas use, improving energy efficiency, and ensuring a steady supply of fuel for steel industries,” Eftekhari noted.
Each high-efficiency heater installed is expected to save an average of 466 cubic meters of gas annually, he added.
Local officials back project’s strategic role
Gholamhossein Mozaffari, governor general of Khorasan Razavi, also praised the project, calling it a transformative national effort in energy optimization. He highlighted the crucial role such initiatives play in redirecting energy resources to the productive sector.
“This project aims to replace 4 million low-efficiency heaters with high-performance models. Even achieving just one million replacements would represent a significant milestone in managing energy demand,” Mozaffari said. “Our ultimate goal should be channeling energy use toward production because production is the only viable path to national resilience and prosperity.”
Mozaffari stressed the importance of reshaping consumption patterns and called for precise planning, continuous public campaigns, and transparent communication with citizens to achieve lasting results.
He concluded by commending the National Iranian Gas Company’s recent performance. “Last year, we were pleased to avoid gas cuts at major industrial units — a valuable and successful experience we hope to repeat this year.”
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