(MENAFN) Despite achieving self-sufficiency in gasoline production and becoming a net exporter of the fuel, Iran's average daily gasoline consumption increased by 11 percent in the past Iranian calendar year 1401, according to the managing director of the National Iranian Oil Refining and Distribution Company (NIORDC), Jalil Salari. The country's average daily gasoline production has reached 115 million liters.
Salari expressed concern over the exponential increase in gasoline consumption, citing a 20 percent increase in consumption in 1400 and an 11 percent rise in the past year. He emphasized the need for special attention to be paid to fuel consumption management. With 29 million cars in the country and the number rising, the amount of fuel consumption in Iran is far from world standards, and cars are high-consuming, which should be taken into consideration, Salari added.
The NIORDC managing director further explained that the annual entry of one million cars into the country's transportation fleet is equivalent to one billion liters of gasoline consumption, requiring the construction of a refinery with a daily refining capacity of 150,000 to 200,000 barrels. However, this takes at least four to five years.
To manage fuel consumption effectively, Iran must think economically and consider production in the value chain, said the deputy oil minister. Incorrect consumption of resources and national capital should be avoided.
In recent years, Iran has achieved significant progress in gasoline production and exports. The Persian Gulf Star Refinery (PGS) project's third phase, which added 120,000 barrels to the country's daily gasoline production, enabled Iran to become a net gasoline exporter in February 2019. However, the significant increase in domestic gasoline consumption in recent months has raised concerns about the need for imports once again.
In summary, Iran's average daily gasoline consumption has increased by 11 percent in the past year despite achieving self-sufficiency in gasoline production and becoming a net exporter of the fuel. The exponential increase in gasoline consumption, especially with the rising number of cars in the country, requires special attention to be paid to fuel consumption management. Iran must think economically and consider production in the value chain to avoid incorrect consumption of resources and national capital.
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