Iran to ration diesel to stem smuggling surge

By REUTERS
November 14, 2012 13:43
1 minute read.

 
X

Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later Don't show it again

DUBAI - Iran plans to ration diesel supplies in a bid to curb rampant smuggling of the scarce fuel to neighboring countries, its oil minister said on Wednesday.

Government-issued smart cards have controlled private Iranian motorists' use of heavily subsidized gasoline since December 2010 in a program that has successfully dampened demand for fuel in a country where supplies are scarce.

Owners of heavy goods vehicles will also soon have their diesel rationed as well, Oil Minister Rostam Qasemi quoted as saying by Iranian oil ministry news service Shana, as Tehran tries to stem a surge in fuel smuggling across Iran's many borders.

"The government pays huge subsidies to the energy sector, which has led to the sinister phenomenon of smuggling of oil products," Qasemi said.

With the diesel price set at 4,500 Iranian rials a litre, (about 15 US cents at the open market rate), diesel costs less than bottled water in Iran, which has led to wasteful consumption and a surge in smuggling, he said.

"Low prices of fuel play an important role in rising smuggling, and that is why oil products distributor companies should enhance cooperation with security forces to curb oil products smuggling," he said at the launch of new cards that monitor how much cheap gasoline Iranians can put in their cars before having to pay higher prices.

Related Content

Breaking news
August 20, 2018
Liberman to Bolton: Thank you for your contribution to Israel's security

By JPOST.COM STAFF