TEHRAN, Nov 16 (NNN-IRNA) – The Iranian government, on Friday, started rationing of subsidised gasoline and increased its prices.
Mohammad Baqer Nobakht, head of Planning and Budget Organisation of Iran, said, proceeds from the price hikes would be used to fund additional subsidies for 18 million underprivileged families, which amounts to about 60 million people, Tehran Times reported.
According to a statement, published by National Iranian Oil Products Distribution Company, the price for a litre of subsidised gasoline was increased to 15,000 rials (nearly 35 cents at the official rate of 42,000 rials per dollar) from the earlier 10,000 rials.
The statement said that the monthly ration for each passenger car is set at 60 litres. Additional purchases would cost 30,000 rials per litre.
Due to heavy subsidies and devaluation of its currency, Iran has one of the cheapest fuel prices in the world, and the country has been fighting rampant fuel smuggling to neighbouring countries.– NNN-IRNA