Iranian parliament passes bill to amend subsidy reform law

Iran Materials 22 April 2012 12:40 (UTC +04:00)

Azerbaijan, Baku, Apr. 22/ Trend F.Milad/

The Iranian parliament (Majlis) approved a double-urgency bill on Sunday to amend the subsidy reform law to prevent from irregular rise in prices of fuels, the Mehr news agency reported.

The implementation of the Subsidy Reform Plan saved the country some $5.3 billion in fuel consumption, the Shana news agency reported in January.

The consumption of four highly-consumed fuels in Iran has significantly declined since the reform plan was implemented, NIOPDC managing director Jalil Salari said.

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

The subsidy reform 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 handouts.