Iranian parliament opposes gasoline price increase

Iran Materials 17 January 2012 18:22 (UTC +04:00)

Azerbaijan, Baku, Jan. 17 / Trend F.Milad/

The government intends to raise gasoline prices beyond the stipulations of the budget act for the current calendar year, the Iranian parliament (Majlis) vice speaker Mohammad-Reza Bahonar said.

Mohammad-Reza Bahonar told Mehr news agency that the government intends to increase gasoline prices in addition to the 20 percent rise by the end of the year (March 19), but the Majlis in not satisfied with the government's decision.

The consumption of four highly-consumed fuels in Iran has declined noticeably since implementation of the reform plan, the NIOPDC managing director said.

The Fars news agency quoted Jalil Salari as saying on October 21 that when the Subsidy Reform Plan was implemented in the country in December 2010, the consumption of liquefied petroleum gas, gasoline, kerosene, and diesel has cut between 4 and 19 percent.

The subsidy reform plan allows the Iranian government to gradually slash subsidies on fuel, electricity, and certain goods over the course of five years.