The use of power industry in Khuzestan dates back to the discovery years of oil fields in MIS . Then , through the establishment of Abadan Refinery in 1308 ( 1929 ) Abadan was first supplied with power . During 1312-1316 ( 1933–1937 ) , a small area of Ahwaz was supplied with electricity by some 250KW diesel generators through a private company and then with the installation of a 500KW generator in Shoush spinning industry with a six KV line .

In 1314 ( 1935 ) , Shoushtar , taking advantage of hydro-electric powerplant generator which was operating by motor power of Shoushtar waterfall , was supplied by a no voltage , through Barahe-Namaki establishment , which until 1327 ( 1948 ) , supplied the required power to Shoushtar . After 1327 ( 1948 ) , Mostofizadeh power company was established by the same installation with a 220 voltage and continued its services until the commencement of the transmission of power from Dez dasm . The power was gradually supplied to Khoramshahr , Dezful and Andimeshk through a private sector in a limited amount . Because of suitable ecological conditions and natural situation of Khuzestan , and the necessity of operating rich and great resources of water and soil in 1336 ( 1957 ) for the implementation of Khuzestan overall development projects . The Khuzestan Development Resource ( KDS ) was established under the management of American experts .

In 1337 ( 1958 ) a 132 KV line of 113Kms long was constructed between Abadan and Ahwaz and , transmited the extra power of Abadan Refinery to Ahwaz . In the same year construction of the Dez reservoire dam was signed and the construction commenced in 1338 ( 1959 ) and at the same time , the construction of power transmission and subtransmission network projects started .

In early 1339 ( 1960 ) , in accordance with the bill passed by the parliament of the time , KWPA was established and started to work as a first modern developmental organization in the country and over more than 40 years , in total 13 persons under the following names have been director managers of KWPA . At present , KWPA has the responsibility of generation , transmission and distribution of power in both , Khuzestan and Kohgiloye Boyer Ahmad provinces in about 80999km2 area .

In the second part of 1371 ( 1992 ) , four companies of power generation including Dez dam , Shahid Abbaspour dam , Ramin thermal powerplant and Zergan thermo-gas powerplant worked under the direct control of KWPA for execution of unfocused policy and establishment of independent companies in order to generate , operate , maintain and renovate powerplants and dams .

In the distribution field , through the commencement of activities of two companies of power distribution in Khuzestan and Kohgiloyeh Boyer Ahmad provinces , the operation of power distribution networks was in fact shared by these companies under the direct control of KWPA . And in late 1375 ( 1996 ) , after the separation of Ahwaz power distribution company from Khuzestan power distribution company , the three mentioned companies had the responsibility of power distribution in Khuzestan and Kohgiloyeh Boyer Ahmad provinces . Also in late 1380 ( 2001 ) repair and maintenance sector of power transmission was separated from power sector and went under the name of “power transmission repair and maintenance company” , to start working in order to repair and maintain Khuzestan power installations and transimission and sub-transmission sub-stations .