{"id":17644,"date":"2026-07-17T13:05:28","date_gmt":"2026-07-17T13:05:28","guid":{"rendered":"https:\/\/roydadnaft.ir\/English\/?p=17644"},"modified":"2026-07-17T13:05:28","modified_gmt":"2026-07-17T13:05:28","slug":"daily-gasoline-distribution-tops-134m-liters","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/17644\/","title":{"rendered":"Daily gasoline distribution tops 134m liters"},"content":{"rendered":"

RoydadNaft – <\/a><\/span>\u00a0The head of the National Iranian Oil Products Distribution Company reported a significant rise in gasoline consumption, with daily distribution reaching 134.5 million liters during the first 24 days of the Iranian month of Tir (late June\u2013July).<\/p>\n

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Keramat Veys-Karami, speaking on a live economic program on Thursday, said the country’s 10 refineries are operating at full capacity. Since the start of the Iranian year, average daily gasoline production at refineries has stood at 109 million liters, supplemented by 12 million liters from blended production.<\/p>\n

From the start of the year through July 15 (24 Tir), total daily production reached 121 million liters, while consumption climbed to 129 million liters\u2014roughly matching the same period last year.<\/p>\n

Production Rises Despite Lavan Refinery Damage<\/strong><\/p>\n

During the said 24 days alone, refinery output rose to 111 million liters per day, with blended production jumping to 15 million liters daily, pushing total production to 127 million liters per day. Veys-Karami noted that the Lavan refinery lost about half its gasoline production capacity after being damaged on the first day of the ceasefire, though other refineries increased feedstock intake to help offset the loss.<\/p>\n

Distribution during the period rose to 134.5 million liters daily\u2014an 11-million-liter increase over the same period last year\u2014driven by increased urban and intercity traffic, more road travel, and the continued presence of aging, inefficient vehicles.<\/p>\n

Fleet Renewal Seen as Key to Curbing Demand<\/strong><\/p>\n

Veys-Karami noted that around 320,000 old vehicles were retired last year, though this still falls short of targets. He stressed that modernizing the transport fleet and removing outdated vehicles could play a major role in controlling gasoline consumption growth.<\/p>\n

Room to Expand CNG’s Share of the Fuel Mix<\/strong><\/p>\n

The official said Iran’s CNG consumption capacity has reached 35 million cubic meters daily, but current usage is only 14\u201315 million cubic meters. With 2,500 active CNG stations and roughly 4 million dual-fuel vehicles nationwide, he said there is substantial room to grow CNG’s share of the country’s fuel basket.<\/p>\n

Three-Tier Pricing Plan Cuts Consumption<\/strong><\/p>\n

Veys-Karami highlighted the positive effects of the three-tier gasoline pricing scheme launched on December 13, 2025 (22 Azar 1404). Before the price reforms, consumption growth averaged 6% annually, with average daily consumption at 131 million liters. Following the reforms and the elimination of first- and second-tier quotas for some vehicles, consumption fell 6% between December 13 and March 19.<\/p>\n

He explained that at the start of each month, quotas for vehicles of different uses are loaded onto smart fuel cards at first- and second-tier rates. Before the three-tier plan, roughly 172 million liters were charged daily to cards for 32 million eligible vehicles. After the first phase of the plan, this dropped to 165 million liters daily, and further restrictions on owners of multiple vehicles reduced it further.<\/p>\n

Under the plan, subsidized quotas apply only to one vehicle per owner; additional vehicles must purchase gasoline at 50,000 rials per liter through their own cards. This brought daily charging down to 135 million liters\u2014with an ideal target of around 115 million liters, roughly matching the daily output of the country’s 10 refineries.<\/p>\n

Since refinery output is about 110 million liters daily, the shortfall is partly covered by blended gasoline, which the government purchases from the private sector at considerable cost. In the 24-day period, despite refinery production of about 111 million liters daily, distribution reached 134 million liters, with blended gasoline covering much of the gap\u2014an expensive workaround for the state.<\/p>\n

Most Fuel Smuggling Involves Diesel, Not Gasoline<\/strong><\/p>\n

Veys-Karami said gasoline is less prone to smuggling than diesel, with most diversion occurring in diesel consumption, particularly in freight and transport. About 60 million liters of diesel are allocated daily to the diesel transport sector (urban and intercity, freight and passenger), based on electronic shipping documentation.<\/p>\n

He said all fuel distribution and allocation processes are system-based\u2014using the smart fuel system for transport and the petroleum products request system for non-transport uses\u2014with quotas assigned accordingly. He noted the main challenge arises when actual consumer usage isn’t accurately reported by relevant agencies, which increases the risk of diversion in fuel allocation and consumption.<\/p>\n

Non-Power Sector Diesel Consumption Down 1.5b Liters<\/strong><\/p>\n

Veys-Karami said last year marked an unprecedented year for diesel consumption control. Through a combination of system-based measures, field monitoring, and inter-agency cooperation, non-power-sector diesel consumption fell by 1.5 billion liters compared to the previous year\u2014savings that eliminated the need for diesel imports to supply non-power sectors and helped offset fuel needs elsewhere.<\/p>\n<\/div>\n<\/div>\n

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