Emphasis on investment as an undeniable necessity in energy developments

According to Energy Press, the reality is that the global energy transition towards reducing dependence on fossil fuels is no longer an option, but a strategic imperative. Reliable statistics show that over the past decade, the share of investment in renewable energies has increased from 33 percent to more than 65 percent, while the attractiveness of investing in oil projects has noticeably decreased. These structural changes have forced international oil companies to review their strategies and shift their investment portfolios towards clean energies.
Meanwhile, Iran’s oil and gas industry is facing additional problems. On the one hand, international sanctions have limited access to modern technologies and foreign investment, and on the other hand, domestic policies have failed to meet the needs of this industry in the new conditions. A review of past performance shows that policy fluctuations, conflicts of interest between decision-making institutions, and complex bureaucracy have been the most important obstacles to attracting investment.
However, international experiences have proven that even in difficult circumstances, the oil and gas industry can be transformed into an economic engine by adopting smart strategies. Countries such as Saudi Arabia with its Vision 2030 program or Russia by diversifying its export markets are successful examples of adapting to new conditions. Iran can also design appropriate solutions inspired by these experiences and considering its own specific characteristics.
The first step in this direction is a fundamental review of contractual models and the creation of attractive legal platforms for investors. Experience has shown that partnership models can create the necessary incentive for international companies by guaranteeing a return on investment. On the other hand, the development of technologies to reduce carbon emissions and increase the productivity of fields is an undeniable necessity.