RoydadNaft –  The Deputy Minister of Iran Petroleum for Petrochemical Affairs announced the establishment of a utility corridor in Phase 3 of the Pars Special Economic Energy Zone to support the development of downstream petrochemical industries.

Hassan Abbas-Zadeh, Deputy Minister of Petroleum for Petrochemical Affairs, revealed plans for the creation of a utility corridor in Phase 3 of the Pars Special Economic Energy Zone to facilitate the establishment of downstream petrochemical industries. The announcement was made on the sidelines of the 29th International Oil, Gas, Refining, and Petrochemical Exhibition in Tehran.

A utility unit, as defined by industry standards, is a critical component of an industrial complex responsible for supplying essential resources and infrastructure, including water, electricity, steam, compressed air, industrial gases, and fire suppression systems. These units typically encompass power and steam generation, water and wastewater treatment, nitrogen production or storage, air compressors, fuel systems, and firefighting infrastructure.

Abbas-Zadeh highlighted the presence of the President among petrochemical companies during the exhibition, emphasizing strong support for domestically manufactured equipment. He noted that the use of locally produced equipment in petrochemical development projects has risen from approximately 75% to 80%.

With a focus on completing the value chain, Abbas-Zadeh underscored the government’s commitment to supporting downstream industries. “Our efforts are geared toward completing the value chain, transitioning from semi-raw materials to finished products,” he stated. He also pointed out incentives outlined in the Seventh Development Plan, including a 30% feedstock discount for investors in downstream industries.

Regarding the development of Phase 3 in Assaluyeh, Abbas-Zadeh explained that studies have been completed by the National Petrochemical Company (NPC), and the Pars Special Economic Energy Zone Organization has committed to establishing the necessary utility corridor. This infrastructure will support downstream industries across an area exceeding 350 hectares.

Support for Domestic Manufacturing a Priority

Abbas-Zadeh stressed that supporting local manufacturing is a national imperative. To this end, the NPC has established a dedicated department for research, technology, and domestic manufacturing to foster collaboration between local businesses, manufacturers, and petrochemical companies. He reiterated that procurement processes in the petrochemical sector are conducted with precision to prioritize domestically produced equipment.

The 29th International Oil, Gas, Refining, and Petrochemical Exhibition, held from May 8, 2025, runs for four days at the Tehran Permanent International Fairgrounds, showcasing advancements and opportunities in Iran’s energy sector.