Amidst economic challenges and rising fuel prices to compensate for the government’s budget deficit, the regime in Iran has adopted a new transportation policy, discontinuing fuel allocations for internet taxis.
Ali-Akbar Arab Ameri, the Operations Manager of the National Iranian Oil Products Distribution Company, announced that the fuel allocation for active vehicles in internet taxis such as Snapp and Tap30 will be discontinued in the new year.
He clarified that this decision was based on “new resolutions” and stressed that the National Iranian Oil Products Distribution Company was not the authority behind it. Previously, internet taxis were allocated 8.75 liters of gasoline for every 100 kilometers, with a monthly limit of 300 liters. For dual-fuel vehicles, this allocation was 5.25 liters per 100 kilometers, capped at 180 liters monthly.
The removal of this allocation is expected to lead to increased travel costs with internet taxis. This move coincides with widespread fare hikes in public transportation across the country in the year 1403 on the Iranian calendar, including a 28% increase in metro fares, 26% in bus fares, and 45% in taxi fares in Tehran.
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The Ebrahim Raisi government had previously scrapped fuel allocations for Nowruz trips. Arab Ameri stressed the importance of using personal fuel cards, citing legal obligations for the National Iranian Oil Products Distribution Company to distribute 95% of gasoline through these cards.
Additionally, he mentioned the availability of free cards at stations for individuals whose allocations have run out or those with new license plates, with a maximum withdrawal limit of up to 40 liters based on average fuel consumption.
On April 6, the National Iranian Oil Products Distribution Company refuted reports of selling fuel cards worth 20 million tomans at stations. Arab Ameri also disclosed plans for allocating fuel quotas for truck drivers, with a pilot program set to commence in April. Under this plan, truck drivers will receive their quotas online after receiving the bill of lading, potentially resolving quota shortages based on their routes.
The decision to discontinue fuel allocations for internet taxis in Iran is poised to have a significant impact on transportation costs for the public. With the removal of these subsidies, it is anticipated that taxi fares will increase substantially, adding to the financial burden for commuters already grappling with economic challenges.