Azerbaijan , Baku, Feb. 28 / Trend, A.Yusifzade /
The National Iranian Oil Products Distribution Company (NIOPDC) announced that Iran's gasoline consumption has increased by 1.3 percent to 55.2 million liters per day from Feb. 19 to Feb. 25, 2011, Shana reported.
Total gasoline consumption stood at 386.8 million liters during the Iranian calendar week ending Feb. 25, 2011.
The targeted subsidy plan, which was launched on Dec. 19, 2010, aims to gradually remove all subsidies over a five-year period and instead give families cash handouts as compensation.
The plan eliminates subsidies on gasoline, natural gas, electricity and food.
Before the cuts, subsidies enabled to supply Iranians with cheap gasoline, which cost about 10 cents per liter (38 cents per gallon). Under the reduced subsidies and the rationing, each consumer can buy up to 60 liters (15 gallons) gasoline a month at 40 cents a liter ($1.50 per gallon), while for extra volumes the price is about 70 cents per liter.
According to Shana, by implementation of gasoline production plans in petrochemical plants, Iran's total gasoline production capacity reached 66.5 million liters a day recently making Iran self sufficient in gasoline production.