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Thursday, March 25, 2010

Iran hoarding gasoline

Management consultant Booz Allen Hamilton reports that Iran has been hoarding gasoline (via Laura Rozen).
... The government has reduced the amount of gasoline rations (the amount of gasoline available for purchase per vehicle at subsidized prices) it allots to the population, in order to curb consumption. Gasoline rations were reduced from 100 to 80 liters per vehicle per month last fall, and to 60 liters per month beginning March 21 of this year.

Between the Iranian calendar year 1387 (March 2008 – March 2009) and 1388 (March 2009 – March 2010), gasoline consumption declined by just under five percent.

As a result of gasoline rationing, first implemented in June 2007, the percentage of the country’s domestic consumption supplied by imported gasoline has decreased. That figure has fallen from 40 percent in 1385 (March 2006 – March 2007) to between 32 and 36 percent in the past three years.

Increasing Gasoline Reserves

Between November 22, 2009 and February 19, 2010, Iran’s gasoline imports increased by over 1,500 percent in weight, compared to the same period last year. The government has been, in effect, hoarding gasoline.

Iran’s gasoline imports jumped 150 percent between 1387 (March 2008 – March 2009) and 1388 (March 2009 – March 2010).

The Iranian government says it increased its gasoline stocks by 58 percent in 1388 over the previous year. ...
The obvious takeaway here is that Iran is concerned about its gasoline supplies being cut off. I wonder why.


At 2:53 PM, Blogger NormanF said...

Here you have an oil exporter having to ration its own gasoline because it can't efficiently refine it.



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