Iran sells 11,430-rial petrol to domestic airlines for international flights
Azerbaijan, Baku, Apr. 20/ Trend F.Milad/
Iran has started selling gasoline at 11,430 rials (some 930 cents) per litre to domestic airlines for their international flights, an aviation official announced on Friday.
Fars news agency quoted Alireza Mousavi as saying that the rise in gasoline price will certainly lead to a rise in ticket prices.
He emphasised that the move will be detrimental to the national aviation industry and may help foreign airlines to boost their power of competition with their Iranian rivals.
"We tried to negotiate with the National Iranian Oil Production and Distribution Company not to raise gasoline prices before implementing the second phase of the Subsidy Reform Plan, but they did not agree," he said.
The second phase of implementing the plan envisaged removing the subsidies of some three million Iranian families. The Iranian government is planning to pay more cash subsidies to the economically vulnerable and cut those of the well-off families.
The plan allows the Iranian government to gradually slash subsidies on fuel, electricity, and certain goods over the course of five years, with low income families being compensated with direct cash hand-outs.