Poor record of fuel consumption optimization projects / the need for the company to operate under the sub-ministry

According to the economic correspondent of Fars News Agency, non-observance of the pattern and culture of energy consumption by the people is effective in the high rate of consumption in the country compared to the world average. And the main knot of unbridled consumption in Iran can be opened only with the implementation of fuel consumption optimization projects, the implementation of which is the responsibility of governments.

In other words, a small part of non-optimal energy consumption in the domestic sector is due to the culture of misuse by the public and the main problem is the low efficiency of equipment and non-compliance with standards in construction, which can be solved by governments.

Unfavorable situation of 24 fuel consumption optimization super-projects

So far, 24 optimization super-projects in the country have been published by the Fuel Consumption Optimization Company, and their progress is not very favorable.

Table 1 details each project.

Table 1

Fuel Consumption Optimization Company is one of the subsidiaries of the National Oil Company. According to experts, the incorrect location of the company in the energy governance structure and, consequently, the lack of financial resources required is one of the most important reasons for stopping or slowing down the implementation of optimization projects.

* Fuel consumption optimization company does not have the necessary efficiency

The main focus of the National Oil Company is on upstream projects, including the development and maintenance of oil and gas production in the country and the export of oil and gas condensate, and the definition of a fuel consumption optimization company under the National Oil Company has removed this company from priority.

Arash Najafi, Chairman of the Board of Directors of the Energy Consumption Optimization Association, says in this regard: Fuel Consumption Optimization Company has become a decor And in the Rouhani government, there was a backyard for the assistants of the Minister of Oil, for example, managers who want to retire with high salaries are appointed as the CEO of the optimization company in the last few months of their service and then retire.

It seems that this issue is still true for the fuel consumption optimization company at least in terms of inattention to optimization and decoration projects, and it is necessary to plan to improve the position of this company.

* Withdrawal of fuel consumption optimization projects from the optimization company

In the thirteenth government, after a long delay, in December 1400, Hossein Aboniki was finally appointed as the head of the Fuel Consumption Optimization Company. But so far there is no news about the implementation of fuel efficiency projects.

In this regard, Mohammad Amin Rad, energy expert, in an interview with Fars News Agency economic reporter, referring to the incorrect location of the Fuel Consumption Optimization Company, says: “Residential” from the Fuel Consumption Optimization Company and entrusting them to the two national companies of refining and distribution and the National Gas Company oversees the incorrect location of this company and not having priority among other companies under the National Oil Company.

He stressed: “Also, the definition of this company under the National Oil Company has caused that in competition with upstream projects, it is never the turn to finance fuel consumption optimization projects.” It seems unlikely that the budget laws of 1400 and 1401 could untie the knot of financing problems for the company.

* There is no news that 14 optimization projects have been licensed by the Economic Council

Fuel Consumption Optimization Company in April of this year in a report entitled “24 major fuel consumption optimization projects remain undecidedReferring to Table 1, it states that the progress of 14 optimization super-projects is not zero, but is in the process of obtaining permission from the Economic Council.

The report of this company states: Regarding the plans No. 11 to 24, the progress of which has been announced as zero in the table published by Fars News Agency, it informs that the Fuel Consumption Optimization Company has prepared technical and economic justification reports regarding these plans and Through the Ministry of Oil and the Program Organization, it has applied for approval from the esteemed Economic Council, which has not been approved and announced yet and is under review by the mentioned authorities.

It has been about 2 months since this explanation of the Fuel Consumption Optimization Company, but there is no news about obtaining a license from the Economic Council and implementing projects. The National Oil Company and the Fuel Consumption Optimization Company have also refused to provide explanations in this regard after several follow-ups by Fars News Agency.

* The need to pursue fuel consumption optimization projects in the extra-ministry institution

In response to reporters’ questions about the Ministry of Oil’s plan to optimize fuel consumption, Minister of Oil Javad Oji has so far referred to only two projects: “gasification of cars” and “upgrading of engine rooms of buildings”, both of which were defined in the previous government.

Mohsen Khojastehmehr, CEO of the National Oil Company, in his position, only mentioned the issue of optimization as one of the priorities of the oil industry and did not present a specific program in this area.

Of course, the Ministry of Oil has also called for using the capacity of knowledge-based companies and supporting them, the fate of which is unknown. A memorandum of understanding has also been signed between the Ministry of Oil and the Municipality of Tehran to study urban optimization projects.

Experts believe that the location of the optimization company in any other department in the Ministry of Oil will not solve any problems, because the issue of fuel efficiency optimization involves several ministries and needs to be pursued in an extra-ministerial body such as the Vice President or the High Energy Council.

End of message /