The severe competition between gasoline producers and consumers is excessively raising output, because of which consumption of the strategic fuel should be curbed, the secretary-general of the Association of Iranian Refining Companies said on Saturday.
“To do so, automakers should be required to manufacture fuel-efficient cars to help the country make better use of the valuable commodity,” Nasser Ashouri was also quoted as saying by Shana.
According to the official, since the beginning of the current fiscal year (started March 21), Iran’s daily gasoline consumption has rocketed to 80 million liters and is predicted to hit a massive 96 million liters by the yearend (March 2019).
Iranian refining plants produce nearly 60 million liters of gasoline per day, but the country has to import 15-20 million liters a day to meet domestic demand.
Ashouri noted that the country will become self-sufficient in gasoline production with the help of refining companies and the government’s funding and consumption cut can help accomplish the goal in a shorter period.
“The administration should support refining complexes by making investments in their major projects and eco-friendly plans, which will help them raise profitability that in turn can increase their products’ quality and boost the employment rate,” he said.
Noting that the association was formed about five years ago to help oil refining companies move toward their goals, the official said it is responsible for taking a number of measures, such as preventing “unhealthy” competition, enhancing the quality of products of refineries and subsidiary companies, introducing the firms and their abilities to domestic and foreign consumption markets, safeguarding their rights and increasing business transparency.
Ashouri stressed that the association calls for the modification of regulations to prevent state and private refineries’ bankruptcy and the provision of special inexpensive loans to refineries to help them implement development projects and establish new refineries.
According to Shana, the association’s seven main members account for 80% of Iran’s output of liquefied gas, gasoline, kerosene, diesel, mazut, sulfur, jet fuel and other commodities.
Alireza Sadeqabadi, chief executive officer of the National Iranian Oil Refining and Distribution Company, noted in January that the government has approved a loan worth €260 million from the sovereign wealth fund, the National Development Fund of Iran, to complete the remaining phases of Iran's largest oil refinery in the southern city of Bandar Abbas, Hormozgan Province.
Persian Gulf Star Refinery is being developed in three phases with a combined processing capacity of 360,000 barrels per day of condensate, a type of ultra light crude extracted from the giant South Pars Gas Field in the Persian Gulf.
