Iran, despite possessing some of the world’s largest reserves of oil and natural gas, is grappling with persistent energy shortages and severe environmental degradation, according to energy and environmental experts. These challenges have inflicted significant social and economic harm on the country, highlighting systemic governance issues that have persisted for nearly five decades under the current regime.

Winter months in Iran often see energy shortfalls exacerbated by a reliance on mazut, a heavy and highly polluting fuel oil, to power plants and industrial facilities when natural gas supplies dwindle. This dependency significantly worsens air pollution, particularly in urban areas where temperature inversions trap pollutants close to the ground. The Iranian Health Ministry reported that air pollution was responsible for approximately 59,000 deaths in the year concluding in March 2025, with an economic toll estimated at $17.2 billion.

Experts attribute these environmental and energy crises to longstanding institutional failures, including inadequate investment, weak regulatory frameworks, and a lack of accountability. They emphasize that these issues stem not from recent conflicts but from more than 46 years of governance under the Islamic Republic, during which natural resource wealth has not been effectively channeled toward public health, energy security, or sustainable economic growth.

Iran’s Foreign Minister Abbas Araghchi recently pointed to environmental damage caused by military actions from the United States and Israel as factors in the country’s ecological challenges. While acknowledging that armed conflicts can produce environmental harm requiring scientific assessment, analysts note that the root causes of Iran’s crises predate these events. The Islamic Revolutionary Guard Corps (IRGC) is also cited as a significant contributor to environmental degradation through military and economic activities, including harmful infrastructure projects and encroachment on protected areas, further undermining independent environmental oversight.

A coordinated approach is seen as crucial to reversing these trends. Proposals include modernizing Iran’s aging energy infrastructure, enhancing natural gas management, and diversifying electricity generation to reduce reliance on polluting fuels. Concurrently, strengthening environmental regulations, expanding pollution monitoring efforts, and investing in cleaner technologies are viewed as necessary steps to restore air quality and public health.

The Iran Prosperity Project, led by Crown Prince Reza Pahlavi, underlines the importance of integrating environmental protection with industrial modernization. The initiative advocates for transforming outdated industrial sectors into efficient, competitive, and environmentally responsible operations through cleaner production techniques and energy-efficient manufacturing. Improvements in public transportation and vehicle emissions standards are also highlighted as strategies to improve urban air quality while fostering technological innovation and job creation.

International cooperation is identified as a vital component of these efforts. The proposed Cyrus Accords, reflecting a vision of renewed Iranian-Israeli relations, aim to establish partnerships that promote technological progress, economic development, and shared environmental goals. Such collaboration could harness Israeli expertise alongside Iran’s scientific capabilities to advance clean energy, infrastructure modernization, and pollution control.

Experts maintain that sustained investment and scientific exchange could help overcome decades of political hostility, delivering tangible benefits to both nations. They argue that after nearly half a century of mismanagement, the Iranian people deserve reliable energy supplies, healthier environments, and competitive industries fueled by accountable governance and international cooperation.