Mohammad-Sadeq Azimifar, speaking Tuesday at a gathering of managers from NIORDC’s 37 regional divisions, said 22 billion liters of liquid fuel were delivered to power plants in the Iranian calendar year 1403 (March 2024–March 2025), a 40% increase from the previous year, setting a historic record for the company.
Addressing energy imbalances during cold seasons, he noted that due to high gas oil consumption, power plant fuel reserves are currently 80% higher than the same period last year.
Azimifar outlined key plans for the year 1404 (2025–2026), including fleet modernization, diversifying the fuel mix with an emphasis on increasing compressed natural gas (CNG) usage, and combating fuel smuggling. He warned that the declining share of CNG in recent years has led to higher gasoline consumption, creating fuel management challenges. NIORDC must focus not only on distribution but also on demand and consumption management, he stressed.
Over 400m liters of fuel diversion detected
Azimifar highlighted smuggling as a major issue, stating it significantly impacts fuel distribution nationwide. To counter this, regional managers are tasked with closely monitoring consumption and enforcing strict fuel allocation controls.
He emphasized that real-time tracking of petroleum products is a key initiative against smuggling, utilizing smart tools and data analysis to detect fuel diversion in transport fleets. Over the past year, revised monitoring methods and consumption data analysis identified 400 million liters of diverted fuel and 50,000 non-compliant fleets. The real-time tracking system ensures full supervision of every drop of fuel from production to consumption.
With $55 billion worth of fuel distributed annually, Azimifar said improved organization and management could generate at least $5 billion in additional revenue for Iran’s economy, balancing supply and demand while reducing fuel import dependency.
Expanding fuel storage infrastructure
Azimifar announced comprehensive plans to develop fuel storage infrastructure, including the upcoming construction of the Pars pipeline and the Shahid Mahdavi storage facility in Hormuzgan Province. Rigorous engineering oversight aims to address existing infrastructure shortcomings.
He also emphasized privatization as a key strategy for efficiency, citing reduced government control, branded fuel distribution models, and private sector involvement in storage operations as planned measures.
Unmanaged fuel consumption could lead to crisis
Keramat Veys-Karami, NIOPDC’s CEO, noted the challenges faced in production, distribution, and logistics last year but credited employees for overcoming them, including delivering a record 22 billion liters of liquid fuel to power plants.
He warned that without serious consumption management, daily gasoline consumption could reach a record 185 million liters by late 1405 (March 2027).
Stressing the need to curb smuggling and improve workforce efficiency, Veys-Karami said skilled personnel are vital in combating fuel smuggling, adding that NIOPDC’s operational nature necessitates human resource restructuring in 1404.
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