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Iran gasoline consumption up 5.8 percent

Business Materials 29 October 2012 16:43 (UTC +04:00)

Azerbaijan, Baku, Oct.29/ Trend F.Milad/

Iran's average gasoline consumption stood at 65.5 million liters per day in the week to October 26, the IRIB News Agency reported.

The amount shows 5.8 percent increase compared to its preceding week.

Deputy manager of National Iranian Oil Products Distribution Company (NIOPDC) Naser Sajjadi said on October 22 that Iran's average gasoline consumption stood at 64 million liters per day in the first seven months of the current Iranian calendar year, which began on March 20.

The amount is 5.7 percent more that the same period previous year, the IRNA News Agency reported.

According to Sajjadi averagely some liters of diesel oil were also consumed in Iran during the mentioned period which is 4.2 percent more that the same time span previous year.

Sajjadi had previously said that Iran's gasoline consumption increases by 5 percent each year.

He also said that considering the official reference rate of 12,260 rials to the US dollar, the real price of gasoline in Iran is 10,000 rials (about 82 U.S. cents),.

Currently gasoline is sold at two prices: a 60-liter monthly allowance at 4000 rials (33 cents) per liter, and any amount above that at 7000 rials (57 cents) per liter.

Last year the International Monetary Fund commended the Iranian government for the subsidy reform policy, which it said had led to a reduction in fuel consumption.

"Now that Iran is entering the second stage of the subsidy reform plan, the most appropriate price for a liter of petrol is 10,000 rials (about 82 U.S. cents)," MP Gholam-Reza Mesbahi Moghaddam said in May.

Mesbahi Moghaddam, who is the chairman of the Majlis Economic Reform Committee, told the Mehr News Agency that since the subsidy reform plan must be implemented over a five-year period, 10,000 rials per liter is the best price for gasoline, which is now sold at 7000 rials per liter.

He also suggested that the monthly allowance price of 4000 rials per liter be increased to 7000 rials per liter.

Last year the International Monetary Fund commended the Iranian government for the subsidy reform policy, which it said had led to a reduction in fuel consumption.

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