What is retail electricity?
The electricity market is a system for buying and selling electricity in the form of supply and demand, which is set up to determine the price of electricity. In the new structure of the electricity industry, unlike the old structure where the management of production, distribution and transmission was a single management, the mentioned systems operate independently. Meanwhile, the retailer is one of the four sectors of the electricity market, which acts as an intermediary between the wholesaler and the consumer.
The electricity retail market is a part of the electricity market that allows people to act as intermediaries and buy the electricity needed by consumers and provide it to small and partial consumers. This market increases the choice of customers and allows them to choose their electricity supplier.
Retailers, who act as intermediaries in this market, buy the electricity they need from the wholesale market and according to the manufacturers’ offers.
What are the benefits of retail electricity for its beneficiaries?
When a subscriber buys the electricity, he needs from a retail company:
- It is possible to obtain electricity at the most optimal price possible, and as a result, the purchase cost will be significantly reduced compared to purchasing from the regional electricity company or distribution;
- During the implementation of the load response program during the peak load period, blackout will be the last priority;
- It will be possible to buy electricity with various payment methods;
- will minimize the risk of non-use;
- It will be possible to buy electricity in separate periods of low load, medium load or peak load;
- And he will make his purchase by taking into account his actual electricity consumption by observing the meter numbers at the end of the consumption period.
What are the legal requirements for retail electricity?
The necessity of the activity of the energy exchange, followed by the retail market and the bilateral electricity trading market, in order to implement the legal requirements documented in the general policies of Article 44 of the Constitution of the Islamic Republic of Iran and the plans of the Ministry of Energy’s electricity and energy sector in the 10th government, was revealed. Therefore, the Council of Ministers, by issuing Resolution No. 82357/T57467E dated 20/7/2019, obliged all industrial customers of electricity with a power of more than five megawatts to purchase the electricity they need through bilateral contracts or other common methods in the energy exchange.
Also, the Ministry of Energy announced the procedure for the purchase of electricity by all subscribers above 1 megawatt through Resolution No. 1401/69384/20/100 dated 12/27/1401 of the Minister of Energy under the title of the guidelines for the development of electricity exchanges.
As an active company in the electricity retail market, what services does AsiaWatt offer you?
AsiaWatt Engineering Company is authorized to sell electricity to industrial final consumers above 5 megawatt hours based on the electricity retail license number 421-1402-1695 from the Ministry of Energy, through a bilateral contract with various types of financial agreements desired by the customer, buying and selling electricity on the stock exchange. energy, and the purchase and sale of rights and benefits resulting from the exploitation of power plant capacity.
Based on this, if you decide to enjoy the economic benefits and reduce your electricity consumption costs, AsiaWatt will help you to provide the electricity you need in the form of a contract with the flexible payment terms you want.
