Ministry Of Energy To Continue Privatization

Tehran, May 11, IRNA - The Deputy Minister of Energy said that the ministry will continue the privatization drive in the energy sector. ˈThe power plants which are due to be transferred to the private sector will be changed into companies first and all the loans they have received for their completion will be transferred to the newly established company before setting a price for them as a prerequisite for their transfer to the private sectorˈ, the Petroenergy news network SHANA quoted Hoshang Falahatian as saying on Sunday. Under existing laws, the ministry is authorized to just transfer electricity production and distribution sectors to the private sector. But what happened was that the privatization process, in the past, was meant for transference of power plants to settle unpaid debts. Article 44 of the Constitution on privatization clearly stipulates that the Ministry of Energy will continue the process but it has decided to transfer electricity production activities to the private sector, so the priorities of transfer will be different, he noted. ˈMinistry of Energy expects revenues it earns from selling power plants to be spent in the payment of overdue debts and for the upgrade of production, distribution and transfer sectorsˈ the official concluded./end