Iran has been under western sanctions for decades now but regardless is currently the 5th largest oil exporter in the world. Iran is self sufficient in this field and even exported technology to Venezuela which has helped them get back on their feet.
Extracting crude oil and producing gasoline is not the most difficult or sophisticated technology out there. Iran just needs more investment in order to expand operations. Sure it would be nice to get the most cutting edge technology from the west but right now the issue in Iran is over consumption.
To combat this Iran could increase petrol prices slightly, not double overnight or anything drastic. More like 10% increase at the most. One thing that should be noted is that although the price increases last time caused major protests, fuel consumption went way down. Rationing and creating awareness can also bring down consumption.
German cars do get excellent gas mileage but aren't most Iranian cars economy cars, like all those Peugeot cars built under license or IKCO Saman, Soren models for example which are used as taxis ? You see alot of them on the road and I don't think they consume that much. I know someone who drives a Benz and actually they consume alot of fuel, since they are luxury cars.
I honestly don't remember that many cars from the 70's or 80's on the road in Iran. It seems to me that in Iran there are lots of cars from the late 90's, early 2000s and beyond, but again they tend to be economy cars. The newer cars produced by Iranian automakers, as far as I know they're up to EURO 5 emission standards so they don't consume too much fuel.
I honestly don't think the issue in Iran is that the cars consume more fuel. It's a proven fact that when fuel, electricity, heating or water are extremely cheap, people will always over consume and become completely careless.
Yes its definitely a tremendous challenge. The Iranian government needs to invest in the energy industry and power generation but at the same time they have to figure out a way to bring consumption down. Investing in more public transit and hybrid / electric cars is another potential solution.
Also how have past Chinese investments in Iran's energy sector been disastrous ? Chinese firms charge alot less than western counterparts and as long as there's quality control then it's fine. I know that several Chinese industrial sites in Iran have a combination of Chinese and Iranian workers working side by side. This is contrary to many western firms who only bring in their own workers from abroad. You see alot of this in the Arab kingdoms in the gulf.
Extracting crude oil and producing gasoline is not the most difficult or sophisticated technology out there. Iran just needs more investment in order to expand operations. Sure it would be nice to get the most cutting edge technology from the west but right now the issue in Iran is over consumption.
To combat this Iran could increase petrol prices slightly, not double overnight or anything drastic. More like 10% increase at the most. One thing that should be noted is that although the price increases last time caused major protests, fuel consumption went way down. Rationing and creating awareness can also bring down consumption.
German cars do get excellent gas mileage but aren't most Iranian cars economy cars, like all those Peugeot cars built under license or IKCO Saman, Soren models for example which are used as taxis ? You see alot of them on the road and I don't think they consume that much. I know someone who drives a Benz and actually they consume alot of fuel, since they are luxury cars.
I honestly don't remember that many cars from the 70's or 80's on the road in Iran. It seems to me that in Iran there are lots of cars from the late 90's, early 2000s and beyond, but again they tend to be economy cars. The newer cars produced by Iranian automakers, as far as I know they're up to EURO 5 emission standards so they don't consume too much fuel.
I honestly don't think the issue in Iran is that the cars consume more fuel. It's a proven fact that when fuel, electricity, heating or water are extremely cheap, people will always over consume and become completely careless.
Yes its definitely a tremendous challenge. The Iranian government needs to invest in the energy industry and power generation but at the same time they have to figure out a way to bring consumption down. Investing in more public transit and hybrid / electric cars is another potential solution.
Also how have past Chinese investments in Iran's energy sector been disastrous ? Chinese firms charge alot less than western counterparts and as long as there's quality control then it's fine. I know that several Chinese industrial sites in Iran have a combination of Chinese and Iranian workers working side by side. This is contrary to many western firms who only bring in their own workers from abroad. You see alot of this in the Arab kingdoms in the gulf.
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