Iran plunges into darkness amid escalating energy crisis article by the New York Times

Iran is grappling with a full-blown energy crisis that has brought the country to a near standstill, according to an article by the New York Times, Caliber.Az reports. 

Government offices are operating at reduced hours, schools and universities have shifted online, and industries face devastating power cuts. Highways, shopping malls, and factories have been plunged into darkness, as energy shortages wreak havoc on daily life and the economy.

Despite sitting on some of the world’s largest reserves of natural gas and crude oil, Iran's energy crisis stems from years of sanctions, mismanagement, aging infrastructure, wasteful consumption, and covert attacks by Israel. President Masoud Pezeshkian addressed the nation earlier this month, acknowledging the severity of the situation. “We are facing very dire imbalances in gas, electricity, energy, water, money, and environment,” he said in a televised address. “All of them are at a level that could turn into a crisis.”

The crisis has reached a critical point, with gas shortages estimated at 350 million cubic meters daily. To ration energy, the government prioritized residential heating over electricity generation, leaving 17 power plants offline and others only partially operational. Widespread power cuts now occur randomly and can last for days or weeks.

Economic catastrophe

The industrial sector has been hit hardest. Mehdi Bostanchi, head of Iran’s Coordination Council of Industries, estimated manufacturing losses at tens of billions of dollars. Small and medium-sized factories have borne the brunt of the crisis, with production falling by 30–50% over the past week.

The uncertainty has left businesses reeling. “None of us have seen anything this chaotic,” said the owner of a major construction materials factory.

Social strain and daily disruptions

The crisis has disrupted everyday life for millions. Schools, universities, and government offices have adopted reduced schedules or gone fully online. Many households face blackouts that cut off heating, water, and internet services. “The power outage has severely affected daily life,” said Sephideh, a teacher in Tehran.

In Isfahan, engineer Soheil warned of looming layoffs at his household appliance factory, citing soaring production costs due to power cuts.

A perfect storm of factors

Iran’s energy crisis is the result of a combination of factors. Sanctions have hindered foreign investments needed to modernize its aging infrastructure. Years of mismanagement and corruption have compounded the issue, while government subsidies for cheap gas have encouraged wasteful consumption.

A lesser-known factor has also played a role: targeted attacks by Israel. In February, Israeli forces reportedly blew up two Iranian gas pipelines, forcing the government to tap into emergency reserves, further depleting supplies.

Natural gas accounts for 70% of Iran’s energy needs, with most homes reliant on gas for heating and cooking. However, the government’s ambitious infrastructure expansion has left it unable to meet rising demand.

Public outcry and government response

President Pezeshkian’s administration has launched a campaign urging Iranians to conserve energy, including lowering home temperatures by two degrees. Even the presidential compound has gone dark to set an example. Yet, critics argue these measures are too little, too late.

The crisis comes at a precarious time for Iran. The rial has plunged to record lows, regional influence has waned following setbacks in Syria and Lebanon, and the anticipated return of Donald J. Trump’s “maximum pressure” policies looms on the horizon.

As Iranians wake up each day to new uncertainties, the government faces mounting pressure to find solutions. For now, however, the crisis shows no signs of abating, with power cuts and economic losses deepening by the day.

By Khagan Isayev