Mohsen Mohammadpour, deputy oil minister’s assistant and CEO of the Fuel Consumption Optimization Company, said the main strategies include reforming consumption patterns, revising fuel quotas for industry and transportation, and diversifying the fuel mix.
Speaking Monday on a state TV economic program, Mohammadpour praised oil industry workers across production and distribution sectors, saying their efforts — along with the leadership of the oil minister — ensured stable fuel supplies during the 12-day conflict without disruptions for consumers.
He acknowledged that the war caused damage to some gas production and petroleum facilities, noting that such impacts are inevitable in any conflict.
Call for Public Cooperation on Fuel Savings
Mohammadpour urged the public to take fuel conservation seriously, emphasizing that changes in consumption behavior, adjustments to quotas in industrial and transportation sectors, and fuel diversification would play key roles in managing the situation in the near term.
He added that a broader policy package is being developed, with further details to be announced later by government or Oil Ministry spokespersons.
“We aim to avoid price-based policies for energy carriers such as gasoline, natural gas and diesel,” he said, adding that consumption would instead be managed through nonprice tools and quota adjustments.
Public Transport Incentives and Stable Fuel Quotas
Addressing concerns about potential changes to fuel quotas for private vehicles and transport workers, Mohammadpour said no reductions are planned for drivers reliant on gasoline or diesel, including truck drivers and ride-hailing operators.
He also pointed to the successful implementation of free public transportation — including metro and buses — during the conflict, saying the Oil Ministry has proposed extending the policy to encourage greater use of public transit and reduce fuel consumption.
Fuel Diversification and Gas Recovery Plans
Mohammadpour described fuel diversification as the ministry’s primary long-term strategy to address energy imbalances. He added that efforts to collect flare gas are being accelerated, with plans to capture most of it within 18 months in line with national development goals.
He also highlighted government support for renewable energy expansion, including funding from the National Development Fund to help replace fossil fuels.
Free CNG Conversion and Dual-Fuel Vehicle Support
Mohammadpour said energy consumption is distributed across sectors, with 40% in buildings and small industries, 29% in transportation, 27% in larger industries — more than half of which is power generation — and 4% in agriculture. He stressed that improving power plant efficiency is a necessary medium-term measure.
He noted that a program to convert public transport and pickup trucks to compressed natural gas, or CNG, had been underway before the war and has now been expanded to include private vehicles at no cost.
The Oil Ministry also continues to support agreements with domestic automakers to expand production of dual-fuel vehicles, particularly those powered by CNG, despite limited consumer demand due to low gasoline prices.
Infrastructure Needed for Alternative Fuels
Mohammadpour said expanding infrastructure is essential for broader adoption of alternative fuels such as liquefied petroleum gas, or LPG, noting that sufficient fueling stations must be available across cities, rural areas and highways.
He added that plans are underway to diversify fuels used in power plants to reduce reliance on diesel and fuel oil and better manage natural gas consumption.
Efficiency Standards Deliver Significant Savings
Mohammadpour said mandatory consumption standards for industries have already yielded significant savings. Between 1398 and 1402, implementation of these standards reduced annual consumption by nearly 20 billion cubic meters — about 54 million cubic meters per day — equivalent to the output of more than two standard phases of South Pars.
He said stricter enforcement of these standards will continue to be a key policy tool to help industries better manage energy use.
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