Gasoline prices on the verge of going up
Municipality Newspaper: How long will the government maintain the current gasoline price?
Hamshahri Newspaper wrote: The National Iranian Oil Products Distribution Company denied rumors of a gasoline price increase, stating that a price increase is not on the agenda of the company and these rumors are completely false.
It is clear that the mentioned company is not the decision-maker in setting the prices of oil products, including gasoline, and is merely an executor of government decisions. Therefore, the denial of the gasoline price increase rumor by the executing company is not substantial.
However, the question remains: if there is an increase in imbalance between gasoline production and consumption, what will be the policy of the government and the Ministry of Oil? How long can they maintain gasoline at the current price, and with this decision, can the rising trend of consumption be stopped?
Experience has shown that neither the policy of price stabilization in the long term is defensible, nor does the policy of price shocks work. It seems that to solve the gasoline dilemma, one must distance from short-term errors and perspectives and inform the public about the issue and the future imbalance between supply and consumption before making any decision. If price correction is to happen, it must be clear what clear policy will be implemented to prevent the consumption trend and to reduce fuel usage in vehicles.
Until this dilemma is resolved, any policy will be a temporary program, and it will not be possible to prevent consumption by relying on it.
