Iran will charge 10,000 Toman per liter for gasoline consumption beyond subsidized quotas starting midnight tonight, The Zioneer reports. The new rate adds a fourth tier to the current three-tier system of 1,500-5,000 Toman, and follows an earlier government decision to raise fuel prices for heavy users.
Iran will implement a new gasoline price of 10,000 Toman per liter for consumption exceeding subsidized quotas, effective from midnight tonight, according to reports received by The Zioneer. The new rate adds a fourth tier to the current three-tier system of 1,500, 3,000, and 5,000 Toman per liter, depending on quota allocations. The 10,000 Toman rate applies to any usage beyond the subsidized caps.
The move follows an earlier government decision reported earlier today (Monday) at 15:20 Jerusalem, raising fuel prices for users consuming more than 110 liters per month, citing the "current situation" as the official reason. As The Zioneer reported, that step did not affect regular users. The new over-quota pricing follows a report yesterday (Sunday) at 22:30 Jerusalem that unsubsidized gasoline prices had been doubled to 10,000 Toman per liter, based on a review by the Jerusalem Center for Foreign and Security Affairs. That review indicated that the subsidized quota of 5,000 Toman per liter remained in place for 85% of the public.
Iran has deliberated fuel price increases carefully since nationwide riots in 2019. The government repeatedly signaled such a move: as The Zioneer reported on July 25, the Iranian government spokesperson stated that raising gasoline prices was unavoidable due to the burden of fuel subsidies on the state budget. The new price hike comes amid severe economic strain. The Zioneer reported in June that bread prices in Tehran nearly doubled overnight, and meat prices have reached record highs, making staple foods unaffordable for many citizens. War and sanctions continue to pressure the regime's finances.
It remains unclear how the new pricing will be enforced or whether it will trigger public unrest. The government has not specified the exact quota limits for the subsidized tiers under the new system.
3 developments
Source and signal
- Open-source intake