Iran saves $1.8b in fuel consumption

March 16, 2011 - 0:0

TEHRAN – The National Iranian Oil Products Distribution Company’s managing director said the country saved $1.8 billion in fuel consumption after implementing the subsidy reform plan.

The Mehr News Agency quoted Farid Ameri as saying that since December 19, 2010 – staring implementation of the subsidy reform plan - fuel consumption throughout the country has declined.
He pointed out the average fuel consumption in the 3-month period has reached 54 million liters compared to 61 million liters in the same period last year.
The official noted that kerosene use in the period has gone down 6 million liters a day in comparison to last year, and is now 16.8 million liters a day.
The subsidy reform plan calls for the subsidies on fuel, electricity, and certain goods to be cut over the course of five years. The administration has decided to pay cash subsidies for an undetermined period of time to compensate low-income families for the inflationary repercussions of the plan.