Iran’s government said on Tuesday that the real cost of importing gasoline has climbed to 700,000 rials per liter (about $0.62), far above the heavily subsidized pump prices that remain unchanged.
Government spokesperson Fatemeh Mohajerani said on Tuesday that fuel quotas will stay in place for now, with monthly allocations of 60 liters at 15,000 rials ($0.013) and 100 liters at 30,000 rials ($0.027) continuing as before.
But she said Iran is being forced to spend $6 billion on gasoline imports this year as consumption soars past domestic output.
“It is natural that when foreign currency that should be used for other priorities is instead spent on gasoline – and some of this gasoline is smuggled – the government is obliged to act,” she said.
Mohajerani added that ministers must protect both the public’s livelihood and the country’s health and safety.
She said the government is preparing “serious programs” to curb fuel smuggling and added that the president has ordered automakers to expand production of low-consumption vehicles. “He made it clear they are required to manufacture more fuel-efficient cars,” she said.
Mohajerani also said that officials have examined the inflationary impact of potential adjustments but stressed that no final decision has been made on introducing a third pricing tier, one of several fuel-reform scenarios under discussion.
Her comments come as President Masoud Pezeshkian and senior lawmakers warn that the country cannot maintain ultra-cheap fuel indefinitely. Energy officials say domestic consumption has surged well beyond refining capacity, forcing costly imports and widening the subsidy gap.
Iran’s last major gasoline price hike in 2019 triggered nationwide protests in which at least 1,500 people were killed, according to rights groups and Reuters reporting at the time. The government says any future change will be gradual and tied to broader energy-sector reforms to avoid a repeat of that unrest.
New prices appear in Iran Energy Exchange
A few hours after Mohajerani’s press conference, new signs emerged that Iran is edging toward the higher fuel pricing.
The Iran Energy Exchange announced it will begin offering premium gasoline as of November 23, with a base price of 658,000 rials per liter (about 58 US cents), and a final settlement price of roughly 750,000 rials (around 67 cents) once additional costs are included.
The notice – the first such listing for premium fuel – immediately drew attention because the exchange price is more than ten times the current subsidized pump rate, adding to expectations that Tehran is preparing the ground for broader fuel-price reform.
Tehran’s unveiling of a towering statue depicting the Roman Emperor Valerian kneeling before pre-Islamic Persian King Shapur I has renewed criticism of the Islamic Republic’s appeal to nationalist sentiment following the June war with Israel.
For over forty years, the theocracy purged ancient Persian history from schoolbooks, replacing it with post-Islamic narratives. But after the 12-day conflict with Israel, officials have turned to the distant pre-Islamic past to rally a divided society.
From murals of ancient kings and soldiers to patriotic songs added to Shi’ite mourning ceremonies performed before Supreme Leader Ali Khamenei, Tehran now embraces imagery once deemed heretical by its own revolutionary ethos.
'Kneel before Iran' campaign
Tehran’s Revolution (Enghelab) Square was the scene of an unusual spectacle on Friday as officials unveiled a massive bronze statue depicting Roman Emperor Valerian kneeling in submission before Sassanid King Shapur I, commemorating Iran’s victory at the Battle of Edessa (260 AD).
The event was held under the slogan “Kneel before Iran,” part of what authorities describe as a campaign to project “national unity and historical pride” following the June war with Israel.
Tehran Mayor Alireza Zakani, a staunch ultraconservative, said on X: “Enmity with Great Iran can only end in kneeling before this historic nation.”
Municipal official Davood Goodarzi said the installation would be accompanied by visual displays depicting “other victories of Iranians over foreign aggressors,” including the defeat of British forces by local commander Rais-Ali Delvari, Mirza Kuchak Khan’s resistance against Russian troops, and Surena’s triumph over Rome at the Battle of Carrhae in 53 BCE.
The goal, Goodarzi said, is “strengthening concepts such as national dignity, social unity, and Iranian identity.”
The statue, he said, would remain temporarily at Revolution Square before being moved to a city gateway “where it will stand as the first emblem of Iran before diplomats and foreign visitors.”
Unveiled women were allowed to attend the unveiling ceremony—an uncommon scene at events organized by Tehran’s ultra-hardline municipality.
The turn to the pre-Islamic past
The sharp reversal also recalls remarks once made by Khamenei. In a 2011 speech, he asserted that “all the great military victories of this nation came after Islam,” dismissing pre-Islamic accounts as “things that are not documented.”
In 1987, he had said that prophets triumphed over kings such as Cyrus and that “nothing remains of these monarchs in history but names remembered with derision.”
Nevertheless, pro-government social media accounts have now gone so far as to circulate posters equating Khamenei himself with Shapur, showing him standing with a staff as Benjamin Netanyahu and Donald Trump kneel before him. The caption reads: “You will kneel before Iran.”
'Hypocrisy'
Pro-government figures have hailed the move as a patriotic success. Conservative political reporter Hossein Saremi posted: “Today’s grand Iranian gathering showed that people and the state share one essence: Iran itself. Nothing can take our homeland away.”
Others, however, called the spectacle “hypocrisy.” Journalist Gholamhossein Pashaei wrote on X: “Every year you close Pasargadae to stop people from celebrating Cyrus Day, yet you unveil Shapur’s statue in Enghelab Square with drums and fireworks during Fatimiyya (mourning period)!”
Dissident commentator Hamid Asafi called the ceremony “a perfect snapshot of the Islamic Republic’s contradictions.”
On Telegram he wrote: “A week ago they closed Cyrus’s tomb out of fear of the crowds, and now they glorify Shapur in the same breath. The Islamic Republic fears living history but poses for selfies with its corpse.”
He added: “They know people no longer respond to rosaries and sermons. That’s why they’ve brought history back to the stage—in a controlled costume. If they can’t erase the past, they’ll try to own it.”
The irony deepened as UNESCO formally recognized Cyrus’s Charter as one of the earliest human-rights documents.
President Masoud Pezeshkian wrote on X: “Iran, the cradle of dialogue, justice, and coexistence, can still inspire peace today.”
Users swiftly replied, questioning how such pride could coexist with a government that blocks access to Cyrus’s tomb each year to those wishing to visit it on his birthday.
