Iranian Energy Minister Majid Namjou has called for enhanced ties with India in different sectors, the semi-official ISNA news agency reported Monday.
During a meeting in Tehran with Indian Minister for New and Renewable Energy Farooq Abdullah, Namjou called for Indian private investments in Iran's energy sector, saying that Indian private companies could start their investments in renewable energy by establishing pilot projects in Iran.
Iran plans to make investments to generate more than 1,000 megawatt of power through renewable energy and is ready for mutual cooperation with India in this area, Namjou said.
Iran has the capacity of establishing 60,000-megawatt solar power plants as well as 40,000-megawatt wind farms, according to the minister.
The Indian minister, for his part, expressed India's readiness to cooperate with Iran in generating electricity with renewable energy, according to ISNA.
Namjou said Tehran had reached an agreement with India to export electricity to India instead of gas, since power exports would be more cost-efficient, local satellite Press TV reported on Monday.
"India is currently a leading country in the production of renewable energy and we are planning to develop renewable energy in our country in cooperation with this Asian state," Namjou was quoted as saying.
Iranian President Mahmoud Ahmadinejad has also said that the Islamic republic sees no limitation for expanding ties with India, Press TV reported Monday.
Ahmadinejad said that there are no restrictions affecting the expansion of trade, joint investment, as well as scientific, cultural and tourism ties between Iran and India.
The Iranian president made the remarks during a meeting with Abdullah in Tehran on Sunday.
Tehran and New Delhi should use all of their potentials to enhance the level of their cooperation and bilateral ties, he said.
For his part, Abdullah said the Indian government was eager to expand cooperation with Iran in all spheres, particularly in economy, trade, commerce and culture.
India announce on Feb. 17 to send a high-level business and official delegation to Iran to explore trade and export potentials, despite Israeli allegations that Iran masterminded the attack on the Israeli embassy in New Delhi earlier in the month.
Indian Commerce and Industry Minister Anand Sharma said India's trade relations with Iran would not be affected by the bomb attacks in New Delhi and Bangkok.
"We are determined to go ahead with the crucial visit of the trade delegation. We are looking at Iran as a potential investment and trade destination and the delegation will seek to enhance the economic engagement with Tehran," he said.
Iran is India's second-largest oil supplier after Saudi Arabia, providing for around 12 percent of India's crude oil needs.
India has said it will not implement the sanctions imposed by countries including the United States on Iran's controversial nuclear program.
In January, India defended Tehran's right to develop its civil nuclear energy program, but made it clear that it should be within the parameters set out by the International Atomic Energy Agency ( IAEA).
"With reference to Iran, we have taken a very consistent position. We expect every nation to pursue its nuclear energy ambitions to its logical conclusion," Indian Foreign Minister S. M. Krishna was quoted as saying during a visit to Israel.