Iran’s government to raise gas prices for heavy users due to war and sanctions

Iran will raise the price of gasoline for users surpassing 110 liters (29 gallons) per month starting on Tuesday, a government spokesperson says, as it steps up efforts to tackle problems created by the war and crippling US economic sanctions.

The price for lighter users will remain unchanged, but the price beyond the 110-liter limit will be raised to 100,000 Iranian rials per liter (around 4 US cents based on the free-market rate, or some 15 cents a gallon), Fatemeh Mohajerani says in comments carried by state media.

The increase in Iran’s gasoline price, which is one of the lowest in the world, was discussed by the government and postponed amid concerns it could trigger new protests. Iran experienced widespread protests in 2019 over the same issue.

The higher fuel price is due to “current conditions,” Mohajerani says.

Other motorists can still buy up to 60 liters at 15,000 rials per liter and an additional 50 liters at 30,000 rials per liter, she adds.

In December, Iran partially raised the price of its subsidized gasoline for most users, as the OPEC member sought to control rising fuel demand.