According to official figures, an aging passenger vehicle consumes roughly 1,500 liters more gasoline per year than a modern, fuel-efficient model. With millions of outdated vehicles still on the road, the cumulative excess fuel consumption reaches tens of billions of liters annually, highlighting a key driver of the country’s fuel imbalance.

Older vehicles consume between 16 and 22 liters of gasoline per 100 kilometers, compared with an average of 8 to 10 liters for newer domestic models. As a result, many aging vehicles use nearly twice as much fuel as newer alternatives.

The issue is also pronounced in the freight sector. Experts estimate that older trucks consume about 55 liters of diesel per 100 kilometers, compared with 27 liters for imported modern trucks and about 32 liters for newer domestically assembled tractors. This gap can translate into as much as 20,000 liters of excess diesel consumption per truck each year.

More than 65,000 aging heavy-duty vehicles remain active in Iran’s road transport fleet. Analysts estimate that replacing each obsolete truck with a more efficient model could save the government billions of tomans annually in fuel subsidy costs.

To finance fleet renewal, policymakers are pursuing new mechanisms, including diesel fuel-saving securities traded on the Energy Exchange. The instruments are designed to channel private investment into vehicle replacement projects by turning fuel savings into tradable financial assets.

Authorities are also advancing electrification plans. In the first phase, 20,000 aging motorcycles in Tehran are expected to be replaced with electric models, while the development of thousands of charging stations is planned nationwide.

Experts say fleet modernization, electrification and financing reforms will all be necessary to curb fuel waste, reduce emissions and improve transportation efficiency.