Gasoline price hike turbocharges demand for CNG hybrid cars

Financial Tribune – Demand for CNG hybrid cars and prices of such vehicles have soared since the Iranian government decided to triple gasoline prices overnight on Nov. 15, a business insider says.

Alireza Pourhassani, a member of Tehran Auto Dealers Association, told Tasnim News Agency that in the past two weeks, CNG hybrid vehicles’ prices have gone up by 70 to 100 million rials ($570-813) depending on the model.

As per the new regulations, private car owners can buy 60 liters of subsidized gasoline every month with a fuel card for 15,000 rials (12.1 cents) per liter, up 50%. Additional purchases (maximum 250 liters a month) will cost 30,000 rials (24.3 cents) per liter—up 200%.

“Prior to the fuel rationing, car prices were on a mild upward trajectory, which was mostly caused by the domestic carmakers’ falling output. However, after the gasoline price tripled, several vehicle models, including CNG hybrids, saw a price jump,” the official said.