Evaluation of Iranian strategy for energy use in the next decade

We examine trends in demand and supply of energy and the Iranian energy policy in the next decade. We also evaluate the current energy policy as we look at the international energy prospects on several issues such as environment and alternative sources of energy. Two decades after the 1979 revolution, Iran, as a major oil producer and exporter, faces a dilemma. On one hand, there has been a sharp increase in domestic consumption. On the other, Iran has to deal with increasing demand for oil revenues for a population of 65 millions, one with a high ratio of younger demographic. With a wise policy, and given her vast resources of oil and gas, Iran has the potential to meet both the domestic energy requirement and to maintain her oil exports to other countries. In addition to oil and gas, Iran's potential for use of alternative energy such as wind, solar, and thermo energy has been seriously considered in Iranian development plans. Two other sources, the hydropower and atomic energy, have been considered as supplement for future needs in a limited capacity.