Is Iran’s Regime Playing with Fire by Increasing Fuel Prices? – NCRI – National Council of Resistance of Iran (NCRI)

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There have been rumors about increasing fuel prices in Iran. While officials deny this, they tacitly confirm the reports through actions such as recollecting government-issued fuel cards from people. Meanwhile, many consider increasing fuel prices as playing with fire with severe consequences for the ruling theocracy.

The state TV keeps on speaking about the necessity to increase fuel prices due to the devaluation of Irans national currency, the rial, forcing an enormous financial burden on the government, thus leaving no choice for the regime but to increase fuel prices.

The regime tested the publics tolerance on April 4 by issuing an unsigned statement, confirming the increase in fuel prices. The Guardian Council and government have ratified increasing fuel prices to 50,000 rials for rationed gasoline and 750,000 rials for regular fuel, the statement read.

Fearing a public backlash, none of the regimes governing bodies took responsibility for this statement.Now, state officials try to recollect fuel cards under the pretext of combatting gasoline smuggling, which they claim amounts to 50 million liters daily. Even some state-run outlets have rejected this bogus claim.

The fuel tanker capacity is highly variable, with a maximum threshold of 35,000 liters. To put this into perspective, to smuggle a staggering 50 million liters of fuel, over 1,500 high-capacity road tankers must depart the nation daily! the state-run Etemad daily wrote on April 18.

Fuel smuggling in Iran is a reality. But the regime is to blame for it, as the borders, ports, and the countrys oil and gas industry are controlled by the Revolutionary Guards (IRGC).

Obviously, road tankers cannot smuggle 50 million liters of gasoline per day. Even if smugglers use fuel vans or trucks and trailers, which have a small capacity, hundreds of thousands of vehicles should line up at borders daily to smuggle this amount of gasoline. Such a scenario is unfeasible. Therefore, to effectively combat smuggling, authorities must dismantle the structured networks and entities that operate within official ports and borders, with access to their own private pipelines, the paper adds.

In another piece on April 21, Etemad acknowledged how authorities are playing with fuel prices and opting to plunder people further while fearing their reaction.

With many drivers still awaiting fuel cards, the recent news of gasoline price hikes, recollecting fuel cards, and authorities denial of such increases have caused a significant social disturbance. The governments sudden increase in fuel prices in November 2019, which officials had denied just a day prior, still lingers in societys memory. The aftermath of that incident proved to be arduous for the public. Consequently, experts speculate that the current game of cat-and-mouse played by the authorities regarding fuel price hikes is an attempt to gauge the publics patience, the paper wrote, warning about the consequences by reminding authorities about the major protests in November 2019, which rattled the regimes foundation.

By increasing fuel prices, the regime will shoot itself in the leg. Yet, the ruling theocracy desperately needs money to fund its oppressive apparatus and terrorism machine. Ebrahim Raisis government has a huge budget deficit of roughly $11 billion. Yet, his budget bill includes a whopping 131% increase for the IRGC, the regimes primary force of oppression.

In the interim, the bill mandates a minimum wage of 70 million rials per month or the equivalent of $171. In March, the Ministry of Labor estimated the poverty threshold to be approximately 150 million rials or $341 monthly. Furthermore, Iranian citizens are egregiously lacking in any form of governmental assistance, including social welfare and medical provisions. Raisi wants to compensate for his governments budget deficit by increasing taxes and digging his hands deeper into peoples pockets by raising the price of basic needs such as fuel.

By increasing fuel prices, the prices of other consumer goods will also skyrocket, putting more pressure on the Iranian people, who are deprived of their basic needs due to the countrys financial calamity. According to the state-run Donyaye Eqtesad website, taxi fares will increase by 45% starting April 24, and Aftab News reported a simultaneous 23% increase in Tehrans subway tickets

Inflation hovers above 50%, the prices are skyrocketing, and according to Irans state media, over 80% of the population lives under the poverty line.

The nightmare of downfall, particularly amid the ongoing nationwide uprising, haunts the clerical regime. Irans society is on the verge of another social explosion, and anything could lead to a devastating ending for the regime. Irans regime is walking on thin ice as the people have reached a point where they have nothing left to lose, and actions such as increasing fuel prices may only serve to hasten the regimes downfall.

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Is Iran's Regime Playing with Fire by Increasing Fuel Prices? - NCRI - National Council of Resistance of Iran (NCRI)