Official: Investors discouraged to participate in Iran’s CNG projects
Azerbaijan, Baku, Nov.4 / Trend G.Mehdi/
The lack of supportive policies had discouraged investors from participating in the compressed natural gas (CNG) projects, the chairman of the board of directors of the union of CNG station owners stated, the Pana New agency reported.
Ardeshir Dadras added that Tehran is facing the shortage of 160 CNG stations. Increasing repair and maintenance costs, rising dollar price and value-added tax have increased costs of CNG station owners significantly, he said.
On September 9, Dadras said that Iran may decide to import gasoline as many of CNG stations nationwide may be shut down due to unpaid debts to the administration.
Once the CNG stations are closed, gasoline consumption will be increased and the importation of gasoline will be more likely, Dadras told the Mehr News Agency.
CNG station owners have a total debt of 3.8 billion rials (some $310 million) he said, adding that around 1,930 CNG stations are currently operating across the country.
Each cubic meter of CNG is sold at 2,600 rials (some $0.2) to CNG stations.
Some 18-20 million cubic meters of CNG is consumed per day in Iran, equaling 18-20 million liters of gasoline.