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Iran's energy crisis shuts 80 power plants as rial plummets: What to know

Amid freezing temperatures and increased demand for heat, Iran is facing an acute energy crisis that has all but shut down the country.

Traffic flows on a main road past electricity transmission towers in Tehran, on Dec. 16, 2024.
Traffic flows on a main road past electricity transmission towers in Tehran, on Dec. 16, 2024, after the country suspended operations at several power plants over fuel shortages that have been intensified by rising demand during a spell of freezing weather. — ATTA KENARE/AFP via Getty Images

An ongoing energy crisis in Iran has left 80 power plants, the country's principal source of power, out of service.  

Iran’s semi-official Tasnim News Agency reported on Thursday that at least 80 of Iran’s 600 thermal power plants were out of operation due to a lack of gas, cutting Iran’s power capacity by 8,000 megawatts. One megawatt of power can supply electricity to approximately 400 to 900 homes annually.

Gas-fueled power plants made up 85% of Iran’s total electricity output in 2022, according to the US Energy Information Administration. 

Beginning on Dec. 15, the Iranian government announced the closure of schools and banks and other institutions across nine provinces, according to Iranian state media outlets. The government also began turning off lights illuminating major highways.  

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