The Iranian government has announced fuel price hikes as much as 75 percent as part of the second phase of the subsidy regulation scheme, the Petroenergy news network SHANA reported on Saturday.

Normal-priced gasoline rose from 7,000 rials to 10,000 rials per liter.

Semi-subsidized diesel prices increased from 1,500 rials to 2,500 rials. Normal diesel prices jumped from 3,500 to 5,000 rials.

Car fuel in Iran is among the cheapest in the world. The latest slashes in fuel and energy subsidies are meant to allocate government money for other sectors in production and infrastructure.

The government plans to finally liberalize prices of energy carriers and reduce growing energy consumption in Iran. Officials and experts have regularly said that Iran’s energy consumption exceeds international standards.

Iran attained self-sufficiency in fuel production after its international suppliers stopped selling gasoline to Tehran under US pressure.

Last year, Iran inaugurated its biggest gasoline production hub with a capacity of 16 million liters per day near the central city of Shazand.