Increase in Gasoline Prices in 'Next Year'; A Parliament Member Says It Will Be Between 15 to 20 Percent

Ali-Asghar Nakhaei-Rad, a member of the Parliament's Council Commission, stated on Thursday, September 29, that gasoline prices will increase next year. According to the 'Didban Iran' website, he announced that the increase would be 'between 15 to 20 percent' and claimed that this increase is 'less than the inflation rate so as not to put too much pressure on the economy and the people.' In recent days, and prior to the increase in the prices of bread and milk, many reports about the possibility of a gasoline price hike have been published; this coincided with Massoud Pezeshkian's criticism of 'gasoline subsidies' after he took office as the president of the fourteenth government of the Islamic Republic of Iran on September 6, stating, 'There is no logic in buying gasoline at free dollar prices and selling it to the people with subsidies.' Following this and in response to widespread criticism, Mohammad-Reza Aref, Pezeshkian's first deputy, announced that the government 'will not make any hasty decisions' and 'in every decision, we will consider all social, cultural, and justice-related attachments.' Additionally, it was noted that the increase in consumer goods prices in Iran continues; dairy products are becoming 25 percent more expensive. However, this did not prevent discussions about the increase in gasoline prices, especially since Massoud Pezeshkian said in a press conference on September 26 that this economy 'needs intervention and treatment' and asked the media to 'cooperate' in this regard so that 'we can implement therapeutic methods.' He added, 'We should not criticize why we are giving the bitter medicine to the people.' Meanwhile, the 'Javan' newspaper, affiliated with the Islamic Revolutionary Guard Corps, wrote on September 19: 'The approach of revolutionary forces should be completely supportive and in line with these economic measures of the government. We should not act in a factional manner during these critical tasks and leave the government alone in this path.' The defense of the increase in gasoline prices by government officials, media, and their supporters continues amid severe criticism from independent labor and professional organizations, along with a large number of social media users. They pointed out the massive financial support of the Islamic Republic to its proxy groups in the Middle East, the exemption of institutions affiliated with the Supreme Leader from paying taxes, and the widespread corruption in the government, demanding that the government refrain from increasing gasoline prices, which would impose significant economic pressure on wage earners, including workers, and abandon economic policies that harm them. Currently, the minimum wage for workers subject to labor law, married with children, is about 11 million tomans, but according to several independent workers' and retirees' organizations in Iran and some official professional organizations, the monthly cost of living in cities exceeds 30 million tomans. Farshad Momeni, an economist, criticized the increase in gasoline prices, stating in remarks published on the 'Jamaran' website: 'We should tell Mr. Pezeshkian that in a world this complex, anyone who gives you straightforward and simple addresses has no relation to science. It should be said to him that the idea that the situation of a multi-variable like gasoline can only be corrected by increasing its price comes from people who are related to rent-seeking interests and at the very least, do not have sufficient scientific knowledge and competence.' He added, 'The president is being frightened about how you will pay the salaries of government employees. Instead of increasing gasoline prices, no one advises him that if you just prevent one corruption like the corruption of the sweet tea, you will gain more than the total expected income from the shock of gasoline price increases.' Maryam Shakirani, a journalist, also wrote on the social network 'X': 'Mr. Pezeshkian, at least 24 trillion tomans is the budget for the state media; if you shut it down or privatize it, it would be easier to pay for pensions, medicine, and wheat.' The Iranian Retirees Council also wrote: 'Do you think we do not know why you are thinking of increasing gasoline prices? Because you support the interests of the government and the people have no place for you. Just words and promises...' This independent retirees' organization added: 'Many of the people who did not vote correctly knew that no change would occur and things would continue as before; because the structure is corrupt and profit-oriented.' The Free Union of Iranian Workers also wrote on September 23: 'Dear honest, concerned, and logical president! First, increase the salaries of the country's workers to the level of workers, not in Iceland and Luxembourg, where the annual salaries of workers there are about $81,400 and about $85,500 respectively, but to the level of workers in Arab countries or at least according to the government labor law and in accordance with inflation, then talk about the low price of gasoline!' This labor organization emphasized to Massoud Pezeshkian that 'but you will never do such a thing. You impose “dollar” costs on “rial” salaries, and those salaries are several times below the poverty line on workers and other wage earners in society. You have not only stopped there but also shamelessly want to perform economic surgery.' The Free Union of Iranian Workers stated: 'The increase in gasoline prices will immediately spill over into other areas of life such as food, transportation, medicine, and housing, and like a catalyst, it will cause a resurgence of widespread public anger.' According to the 'Ettehad' website, affiliated with the Free Union of Iranian Workers, based on 'calculations from government resources such as the Central Bank, the minimum monthly wage of workers in Iran in the year 1403, with a dollar at 60 thousand tomans, is only 136 dollars.' This organization stated: 'The increase in gasoline prices will immediately spill over into other areas of life such as food, transportation, medicine, and housing, and like a catalyst, it will cause a resurgence of widespread public anger,' and wrote: 'Pezeshkian and other government leaders, despite wanting to show that they are preparing to deal with public reaction to this “economic surgery,” all evidence shows that the people, whose lives are on the line, can no longer move the wheels of this government’s failed economy that is completely stuck in the mud.' The Islamic Republic has a bitter memory of the last increase in gasoline prices, as protests erupted in November 2019 following a sudden increase in gasoline prices starting on the night of November 24 in several cities in Iran, including Mashhad, Ahvaz, Khorramshahr, and Behbahan. The scope of these protests spread to 54 cities, and ultimately the Islamic Republic resorted to cutting off the internet in the country and killing protesters in various cities. On January 2, 2020, Reuters reported, citing sources within the Iranian government, that around 1,500 protesters were killed during the November protests.