BAKU, Azerbaijan, June 4. The daily decline in Iran's compressed natural gas consumption by 53 percent, or in other words, 8.5 million cubic meters, has resulted in a daily outflow of $8-10 million from the country, Chairman of the Board of Iran’s CNG Association Ardeshir Dadras told reporters, Trend reports.
According to him, current daily CNG consumption in the country is around 15–16 million cubic meters, whereas before the decline, daily consumption was 24.5 million cubic meters.
Dadras stated that, as a result, Iran is currently importing 8–10 million liters of gasoline daily.
“If only 10 percent of the funds currently spent on gasoline imports were allocated to the development of CNG refueling stations, the production and distribution capacity could exceed 30 million cubic meters per day,” he noted.
He stated that the main reason for the decline in CNG consumption is reduced demand, because gasoline prices have remained unchanged in Iran in recent years, and there is no longer an economic justification for using CNG. As a result, public interest in using CNG has decreased.
As many as 10 oil refineries are currently operating in Iran. The country’s crude oil refining capacity stands at 2.4 million barrels per day. Iran’s daily gasoline production is reported to be 107 million liters, and diesel production is 115 million liters.
Additionally, on May 21, 2025, a contract worth $18.5 million was signed in Tehran between Iran’s National Iranian Oil Products Distribution Company (NIOPDC) and the Iranian Zamyad company. Under this contract, 30,000 pickup trucks will be produced capable of running on dual fuel (gasoline and CNG), which is expected to result in a reduction of 220 million liters of gasoline consumption annually.
On November 15, 2019, gasoline prices in Iran increased from 10,000 rials (approximately $0.01) to 15,000 rials (approximately $0.03) under quota, and to 30,000 rials (approximately $0.05) at market rates.
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