Solar Energy Iran | FDI Incentive to Invest in Solar Power in Iran
Iran is trying to improve heavily its healthcare system by doing imports and exports to the Middle East. Iran is among the top four countries in exports of pharmaceuticals.
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Solar Energy Iran


As the world moves forward in advancing its usage of solar energy Iran has decided to increase its investments in renewable energy as well. Besides fossil fuel, solar and wind energy should become a second pillar to secure the long-term energy supply of the middle eastern country while reducing its emissions of greenhouse gases.

Why is Iran a lucrative location for solar energy?

The Iranian climate is one of the best in terms of suitability for solar energy. A climate which offers up to 340 days of sunshine a year is making Iran the place to be for solar energy plants. In addition, Iran has an steady increasing demand of electricity and an infrastructure to distribute the produced energy across the country.

Iran as Middle Eastern leader in green energy?

Iran is one of the 200 nations which has committed themselves to the Paris climate act of 2015. To live up to the agreement of cutting carbon dioxide and other harmful emission, solar and wind shall become be the leverage to reach these goals. Currently Iran produces about 200 MW from renewable energy but it is predicted that it will grow up to 5000 MW within the next 5 years. Having both, large fossil energy reserves as well as a growing green electricity production, experts are certain that Iran will become one of the middle eastern leader in energy production. Experts also predict Iran to become a hub for electricity and a major exporter of electricity in the middle eastern region.

Solar Energy Iran

The benefits of investing in Solar Energy Iran

The Iranians new 5 – year development plan includes ambiguous targets in terms of green energy usage and therefore solar. To support the expansion of Renewable energy the Iranian government has introduced several attractive incentives for Investors. Therefore most of the projects offered by the Iranian government come with subsidized property and tax benefits.


Guaranteed purchase price for investment project Iran

Furthermore the Iranian government guarantees a fixed purchase price for two decades. Making it possible to count on a steady income from photovoltaic. Not only the fix purchase price provides operators with security. The Iranian climate delivers an average of 3.223,2 hours of sun every year. Those preconditions make the nation an ideal site to use the power of the sun.


Taxes on Solar power Iran

The major plus point however comes from the very beneficial tax policies of the republic. For the first 10 years, the Iranian government will raise no taxes on profits generated from the plant. After ten years, the tax rate will increase from 0% to 25% on profits.


Protection of foreign profits on Solar projects

The connection of Iranian banks to the international banking network will also enable investors to transfer their profits back home. Hence under the foreign investment promotion and protection act foreign investors and their capital is protected by the Iranian government.