- Iran introduces higher petrol prices for monthly consumption exceeding 160 litres.
- New pricing tier charges 50,000 rials per litre beyond set limits.
- Subsidies removed for new Iranian and imported cars amid economic strain.
Iran has set increased prices at petrol stations for drivers who consume over 160 liters monthly, according to state media. The choice occurs in response to demands to reduce fuel subsidies in the nation, which offers the cheapest petrol globally, while its economy struggles from pressures exacerbated by severe international sanctions.
Starting from mid-Azar (December 6), a new third price category for petrol will be implemented, according to a recent cabinet decision announced by state television. The initial rate will not be modified: for the first 60 litres each month, the cost will be 15,000 rials (1.3 US cents) per litre, according to the decision.
The second rate will also stay at 30,000 rials (2.6 US cents) per litre for the next 100 litres each month. However, the statement indicated that beyond 160 litres, every extra litre will cost the consumer 50,000 rials (4.3 US cents).
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According to government spokeswoman Fatemeh Mohajerani, drivers of newly made Iranian cars and imported vehicles will be excluded from the fuel subsidy, as stated on state TV. She mentioned that they will be charged 50,000 rials for every litre when they refuel.
In November 2019, fatal protests broke out just hours after the price surged by up to 200 percent. Drivers obstructed streets in the capital Tehran before the turmoil reached at least 40 urban locations.