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Air fares may rise again

Iran Materials 16 October 2010 11:44 (UTC +04:00)

The head of the Civil Aviation Organization of Iran stated that once the subsidy reform plan goes into effect air ticket prices will raise again proportionally.

Reza Nakhjavani added that the recent 30 percent rise in the ticket prices was due to create a balance between quality of services and costs, but with the subsidy reform plan coming on stream next week the prices will be once again increased.

The Supreme Aviation Committee in Iran's Civil Aviation Organization approved a 30 percent rise in air travel ticket prices from October 6.

The decision has been made despite the directive of President Mahmoud Ahmadinejad's on increasing the prices only when it is endorsed by the subsidy reform plan's specialized working group.

The subsidy reform plan envisages elimination of subsidies for fuel and some other basic goods and services.

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