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Protests rage over petrol rationing in Iran

1prophet

Diamond Member
Protests rage over petrol rationing in Iran

Angry Iranians have torched petrol stations in protests against the sudden imposition of fuel rationing in one of the world?s most oil rich nations.


Youths set a car and petrol pumps ablaze in the capital
The rationing was announced on Tuesday only three hours before it was due to begin at midnight, leading to long queues at service stations as Iranians rushed out to fill up before the clampdown kicked in.


In the capital, youths set a car and petrol pumps ablaze at a station in the residential Pounak area of northwestern Tehran, throwing stones and shouting angry slogans denouncing President Mahmoud Ahmadinejad, who came to power in an election based largely on his promises to improve the Islamic republic?s faltering economy.

He has been facing growing criticisms over his economic policies, which a group of economists claimed earlier this month were fuelling inflation and hurting the poor.

The Iranian government had been planning for weeks to implement rationing, which was supposed to begin May 21, but has repeatedly held off from making the move.

In a country where citizens are used to having cheap and plentiful gas the issue is a sensitive one.

Lines of more than a half a mile long snaked out of some stations in Tehran, while riot police were in some streets to disperse the demonstrators.

Iran has to import more than 50 percent of its petrol needs because of its low refining capability, despite being the second biggest exporter in the Organization of Petroleum Exporting Countries (OPEC).

To make matters worse, consumers are being forced to use smart cards to keep track of their purchases but problems in distributing the cards have delayed implementation of the plan, while pumping petrol into vehicles is only possible when the smart card is inserted into the pumping machine.

Petrol sales have been subsidised by the government in an attempt to keep prices low.

Under the new rationing system, owners of private cars can buy only 100 litres (26 gallons) per month at the subsidised price of 1,000 Rials per litre (£0.19) while taxi-owners can purchase 800 litres (211 gallons) a month.

Unrest on the streets has also been played out politically in Iran?s parliament, where conservatives have been pushing for higher petrol prices in the hope of cutting back on demand in order to allow for money to be invested in the oil and gas production sector.

President Ahmadinejad has been resisting allowing increases because of his campaign promises to share Iran?s oil wealth with lower income groups and has also fought off efforts by parliament to reverse a 2005 decision to suspend a law stating that petrol prices must increase 10 percent every year.

However, he has been repeatedly criticised by the Iranian press for stoking already high inflation with high spending and promising lavish local investment projects on visits to the country?s regions.

No wonder President Ahmadinejad wants nuclear power, he must be running out of gas since refineries are much harder to build.:laugh:
Maybe he will try a wag the dog to deflect any potential criticism of the countries policies.😉

Check out the pictures of the gas lines, at least they have smart cards instead of relying on odd or even days based on the last digit of your plate.😀
 
I think gives credence to the idea that the way to confront Iran is via a gas embargo.
Also, if we do get into a conflict with them the our first target should be their one refinery, and we should make that clear as day to them.
 
Hmmm, I wonder what would happen if the USA started rationing gas due to constrictions on oil refinery? I bet some the same BS would happen here....

Yeah, sounds like typical children. As soon as they hear the word Iran, all they can think of is War and Destruction.... Trolls.

 
Originally posted by: ericlp
Hmmm, I wonder what would happen if the USA started rationing gas due to constrictions on oil refinery? I bet some the same BS would happen here....

Yeah, sounds like typical children. As soon as they hear the word Iran, all they can think of is War and Destruction.... Trolls.

What?

Iran = Peace, happiness, love, and understanding.


Ignore the facts:

Iran's government is guided by Shariah law.

Iran is the is primary financier of islamic terrorism.

Iran openly expresses it wishes to destroy another country.

Iran is still continuing nuclear operations.

Iran is rationing gas, even though it never had to in the past.



This reminds of WWI. People were so war-lacking (40 years without any major war) that the concept of it was very appealing.

The only difference now, is that the over-exposure of war makes the concept of it, even if needed, appalling - perhaps even insane, to some.


Once Iran strikes the whole world is going to be looking at the west and say, "Why didn't you idiots act sooner?"



*sigh*

 
Somehow, burning gas stations doesn't seem like the wisest thing to do when there isn't much gas available for purchase. But then, angry mobs generally aren't good at formulating reasonable or intelligent solutions to problems.
And setting things on fire is almost always fun.


Noobtastic: When you say "Iran wants this and that," do you mean that its people collectively want those things, or that its crazy high-ranking government officials want those things?

Polls say that a sizable portion of the US doesn't want war with Iraq. Bush and Friends want war. Is it correct to say, "America wants war with Iraq"? I don't think so.
 
Originally posted by: Jeff7
Somehow, burning gas stations doesn't seem like the wisest thing to do when there isn't much gas available for purchase. But then, angry mobs generally aren't good at formulating reasonable or intelligent solutions to problems.
And setting things on fire is almost always fun.


Noobtastic: When you say "Iran wants this and that," do you mean that its people collectively want those things, or that its crazy high-ranking government officials want those things?

Polls say that a sizable portion of the US doesn't want war with Iraq. Bush and Friends want war. Is it correct to say, "America wants war with Iraq"? I don't think so.

No shiat, but still it takes a special kind of stupid to burn the commodity you lack.

These people are so stupid that it completely nullifies all other stupidity i have ever heard of, i mean, not even GW would be this stupid... well, maybe him but it's only GW and the Iranians then.

Someone hand them a fucking nuke and end their pain for good?
 
Originally posted by: ericlp
Hmmm, I wonder what would happen if the USA started rationing gas due to constrictions on oil refinery? I bet some the same BS would happen here....

Yeah, sounds like typical children. As soon as they hear the word Iran, all they can think of is War and Destruction.... Trolls.

If the US state would withhold valuable natural resources, selling them while the population would have to go without, not because there was a lack of it but because the government tried to profit more from it, what do you think would happen once it was known?

It would not be pretty.
 
Iran ranks 2nd largest in natural gas reserves. I've read that Iranian citizens can have their cars converted to run on NG for about $50.
Why all the uproar in Iran over refined gasoline when they can use NG? 😕
 
Originally posted by: Blain
Iran ranks 2nd largest in natural gas reserves. I've read that Iranian citizens can have their cars converted to run on NG for about $50.
Why all the uproar in Iran over refined gasoline when they can use NG? 😕

It's a dysfunctional regime. The only reason they are embracing nuclear power is the ancillary application of uranium. Personally, I think the Bush administration is the worst of the past century BUT . . . Iran is definitely worse.

Iran still burns off excess gas due to a lack of infrastructure for extraction, processing, and distribution.
 
Hmmm. So the Iranians have to import gasoline due to lack of refining capability?
Sounds familiar.
I guess the Democrats won't let them build new refineries.
 
Originally posted by: techs
Hmmm. So the Iranians have to import gasoline due to lack of refining capability?
Sounds familiar.
I guess the Democrats won't let them build new refineries.

They have another US affliction . . . buying the sheeples compliance by giving them something. Their sheeple are just as ignorant/idiotic, so they didn't realize that 30-40 cent/gallon gasoline was being subsidized by lack of investment in oil/gas infrastructure and a myriad of other needs for society.

You have to be pretty d@mn stupid to think it makes sense to drive millions of vehicles getting less than 15mpg when the rest of the world wants to give you $70 just to get a barrel of crude straight out of the ground. Hell, you can even get the evil capitalist to get it out for you (or at least teach you how to do it).

Fortunately, we have principled leadership. There's no way they would try to buy votes by releasing crude from the SPR or boondoggle drug benefit plans.

 
Some excerpts from an interesting article:

The ?Oil Weapon? is Unleashed Against Iran

Posted on Feb 13th, 2007

Gary Dorsch (Global Money Trends) submits: Crude oil has become a key weapon in the battle between Saudi Arabia, Kuwait, and the UAE, aligned with the United States, against the mullahs of Iran. The Arab Oil kingdoms fear the emergence of a Tehran-led axis linking Iran, Iraqi Shiites, Syria, Lebanon?s Hezbollah, Palestinian Hamas in Gaza, and Islamic militants linked to al Qaeda trying to topple the Saudi royal family.

Earlier this month, Riyadh fired the first shot in the war against Iran, by knocking the price of crude oil to as low as $50 per barrel. The goal is to squeeze Iran?s budget and wreck havoc on its economy, as much as possible, before the mullahs can get their hands on the nuclear bomb.
According to a Jan 24th report in the UK Telegraph that indicated North Korea is helping Iran to prepare an underground nuclear test similar to the one Pyongyang carried out last year.

Under the terms of a new understanding between the two countries, the North Koreans have agreed to share all the data and information they received from their successful test last October with Teheran?s nuclear scientists, to assist Teheran?s preparations to conduct its own test, possibly by the end of this year.

On January 24th, the Saudi All Share Index [SASI] closed below the 7,000 level for the first time in two years, and trying to find a bottom. The specter of a nuclear armed Iran is sinking SASI, while lower oil revenue dries up market liquidity. Until SASI shows concrete signs of a bottom, powerful spike rallies in crude oil might fizzle out, with Riyadh trying to apply overhead resistance with excess supply.

On Jan 23rd, Saudi Arabian Oil Minister Ali al-Naimi said the kingdom is aiming for moderate oil prices, but did not give an actual price level. He noted that Saudi Arabia?s spare crude production capacity is set to rise to 3 million barrels per day (bpd). In the event of a US naval embargo on Iran?s daily exports of 2.4 mil bpd, Riyadh could fill the missing gap from its spare capacity.

Crude oil prices were sliding steadily in the second half of 2006, even as OPEC was cutting back on its oil output from a record high of 28.3 million bpd. That?s because 1.8 million bpd of new oil supplies from Angola, Brazil, Canada, Kazakhstan, and Russia are expected to come on stream this year. As of Feb 2nd, OPEC-10 had lowered its output to 26.8 million bpd, but is still cheating by one million bpd above the quotas that it agreed upon on in October and December.

US Vice President Dick Cheney?s visit with King Abdullah on November 25th was brief, lasting only a few hours before he flew back to Washington. Cheney might have asked Abdullah to use his influence in the oil markets to knock prices lower, to put a squeeze Iran?s troubled economy, which depends on crude oil sales for 95% of its foreign exchange earnings and 50% of government spending.

To counter the Saudi inspired plunge in oil prices, Iranian President Mahmoud Ahmadinejad proposed on Jan 21st, to cut the oil price on which the next Iranian budget is based to $33.70 per barrel for the year starting in March, compared with a price of $44.10 for the existing budget.

?It is a signal to Iran?s enemies saying we are ready and we will manage the country even if you lower the oil prices more. We assume our enemies want to damage us by decreasing the price of oil. So we must reduce our dependency on oil revenue,? Ahmadinejad said.

Iranian crude usually sells for about $7 a barrel less than US light crude oil. So West Texas Sweet would have to stay below $51 per barrel for an extended period of time, to wipe out Iran?s budget surplus. Tehran spends $20 billion to $30 billion on heating oil and gasoline subsidies per year, costing the government roughly 15% of Iran?s GDP. Ahmadinejad was elected promising to bring oil revenues to every family, eradicate poverty and tackle unemployment.

But Ahmadinejad has failed to meet those promises. Instead, inflation in Iran according to various estimates is galloping ahead at 15% to 30%, and the jobless rate among men below 30 years old is at 20 percent. Anticipating a possible US blockade of gasoline imports in the next stage of economic warfare, Tehran is prepared to start rationing gasoline as early as March 23rd.

Mohsen Rezai, secretary of Iran?s Expediency Council, told the Dubai-based Al-Bayan newspaper on Jan 21st:

?America will exploit sanctions against Iran to incite people to rise up against the Islamic revolution, provide aid to movements hostile to Iran, carry out operations inside Iran and promote a sectarian war. The next two months will show the world this strategy. An Iranian-US confrontation is inevitable,? he said.

Iran?s nuclear program is continuing apace, and it aims to install an array of 3,000 centrifuges at a uranium-enrichment plant, more than enough to produce fuel for a nuclear bomb. Iran?s supreme leader Ali Khamenei said that if the United States were to attack Iran, he would respond by striking US interests all over the world.

Speaking to a gathering of air force commanders on February 10th, Khamenei said:

?The enemy knows well that any invasion would be followed by a comprehensive reaction to the invaders and their interests all over the world. Some people say the US president is not prone to calculating the consequences of his actions. But is it possible to bring this kind of person to wisdom??

...

Crude Oil Market Jolted by Depletion of Mexico?s Cantarell Oilfield

Then on January 29th, crude oil surge by $3 per barrel on news that daily output at Mexico?s biggest oil field tumbled by half a million barrels to 1.5 million bpd last year, according to the Mexican government. Mexico?s overall oil output fell to just below three million barrels a day in December, down from almost 3.4 million barrels at the start of the year, the lowest rate of oil output since 2000.

Some experts predict that Cantarell?s output will drop another 600,000 bpd by the end of this year. Petroleos Mexicanos [PEMEX] might try increase output by 200,000 barrels a day at other fields, leaving the country with a net decline of 400,000 bpd by year?s end and daily exports of less than 1.4 million barrels. Mexico?s oil reserves are expected to last only nine years and eight months at current rates of production.

Cantarell, the world?s second-largest oil complex, in the shallow gulf waters off the shore of Mexico's southern Campeche state, is a prolific giant that is past its prime. Monthly production peaked in late 2004 at just over 2.1 million barrels a day and has fallen more than 28.5% since then. Experts agree it has nowhere to go but down. Its proven reserves have tumbled by more than a third since 2000.

To counter a powerful $10 per barrel rebound in crude oil prices from a low of $49.84 per barrel, on January 18th, to $60 /barrel on February 19th, Saudi oil minister al-Naimi indicated in a timely interview with the media, that the kingdom would continue to over supply the oil market in the first half of this year. ?Are we going to make additional cuts or increase supply? Most probably, if the trend is like it is today, (i.e. $60 /barrel) with the market getting in much, much better balance, there may not be any reason to change,? he said.

While the Saudis try to squeeze Iran?s income with low oil prices, the Bush administration has increased pressure on foreign banks and financial institutions to cut ties to Iranian counterparts, warning them that they risk losing access to US financial markets unless they stop doing business with Tehran. The US is especially trying to dry up financing for Iran?s two massive new oil fields that could expand output by 800,000 bpd over the next four years.

...

US officials warned they will hold Beijing accountable under Washington?s unilateral sanctions laws if it proceeds with a $16-billion project to develop Iran?s North Pars gas field.
....

Lots of interesting stuff in that article.

The US for all intents and purposes already at war with Iran. What is going on now in Iran is in no small part a result of foreign manipulation.

Note that the article points out the Mexico is at Peak Oil right now. Iraq, Iran and Russia are not. Russia has overtaken Saudi Arabia as the nation with the largest reserves. Another interesting point is that Iraq (under Saddam) traded it's oil in euro, as does Iran now, and Russia demands rubles nowadays. The point being of course that any nation that dares to abandon the dollar for it's oil trade inevitably finds itself in the crosshairs of the US (see Venezuela).

Oil is trading at $70+ atm.

 
Iran averages about 1.5 gigabarrels per year, which is a significant decline from the 6 gigabarrels per year it produced when the Shah of Iran was in power.
 
More up to date info:

US pressures European banks and energy firms away from Iran


link

28-05-07 The United States is piling pressure on European banks and energy firms to avoid doing business with Iran, sending a blunt message that reputations are at stake if they do so, officials and analysts said.
Washington, leading efforts to isolate the Islamic Republic over its atomic program, has slapped sanctions on two Iranian banks. United Nations sanctions have targeted one.

But US arm-twisting may be having a stronger impact, with one bank withdrawing finance for a major gas deal and oil majors rethinking investment. A US official warned multinationals in March to steer clear of OPEC's second biggest producer.
"The world's top financial institutions and corporations are re-evaluating their business with Iran because they are worried about the risk and their reputations," said Stuart Levey, the US Treasury's top anti-terrorism official. "You should worry too and be especially cautious when it comes to doing business with Iran."

French bank Societe General got the message and has pulled the plug on financing for a $ 5 bn project to develop part of Iran's massive South Pars gas field.
"Societe General has stopped their financial support because of pressure from the US," Akbar Torkan, head of Iran's Pars Oil and Gas Company, said. "No European bank is ready to prepare new financing for us. The US is putting pressure on all European banks."

Iran is fighting back with plans to set up an overseas investment fund in Bahrain or Dubai to help finance South Pars. Washington is working hard behind the scenes to ensure that Iran cannot raise the cash it needs.
"The US government is sending out letters to banks on plain white paper with a clear message -- side with us or we'll make it difficult for you to operate," said an Iranian executive.

Iranian officials have brushed off the impact, but Torkan -- a former defence minister -- said major oil companies such as Statoil and Total were also being leaned on.
"They have to follow American policy, otherwise the US will find tools topressure them," he said. "It's punishment for their activities in Iran."

Industry sources said Statoil may have second thoughts about developing the Azar oilfield because it is keen to protect its US interests. Norsk Hydro was planning the Azar development, but Statoil bought Norsk Hydro's oil and gas assets in December and will own the concession when that takeover is complete.
Royal Dutch Shell, ENI and Total have all invested billions of dollars in Iran and also own US assets. Top brass have indicated that political concerns could impact new investment plans.

Despite sanctions, Iran says foreigners are keen to invest in its oil and gas reserves, the world's second biggest. At least $ 100 bn of foreign cash will be needed over the next decade to boost output by 1 mm bpd to 5 mm. On paper, the National Iranian Oil Company has lined up contracts worth nearly $ 40 bn. Whether they are finalized is another matter. Big energy deals in Iran typically take many months or even years to reach final contract.
"Of all of the deals on the table, those involving companies with less of an exposure to the United States -- they're the ones that are likely to progress, but even those are likely to be delayed," said Colin Lothian of Wood Mackenzie.

In the end, however, the lure of Iran's lucrative oil and gas fields will keep multinationals in the game, analysts said. The world's fourth biggest oil exporter is one of the only Middle East reserve owners to let foreigners into its oilfields. Saudi Arabia and Kuwait are off-limits and Iraq's oil law setting the investment rules has yet to be passed by parliament.
"They'll keep a low-profile, but they're in for the long haul," said an oil analyst.

For now, companies from energy-hungry Asia are moving in and taking advantage of the lack of competition.
"The one thing that sanctions don't seem to be doing is deterring national oil companies from countries in Asia," said Stuart Lewis, Middle East director at energy consultancy IHS. "Some of the Asian newcomers really view investment from a different perspective, looking at long-term supply rather than commercial terms."

Source: www.presstv.ir

So if the US/Europeans move out will the Chinese/Asia move in? Looks like they are. The article above this one that I posted (from February) says that: "US officials warned they will hold Beijing accountable under Washington?s unilateral sanctions laws if it proceeds with a $16-billion project to develop Iran?s North Pars gas field."



 
<div class="FTQUOTE"><begin quote>

Noobtastic: When you say "Iran wants this and that," do you mean that its people collectively want those things, or that its crazy high-ranking government officials want those things?
</end quote></div>


Um, last time I checked - Iran was an Islamic republic.



The "collective" population has no influence over governmental decisions. Protesters are immiediately jailed or hanged.


Are you asking if the country has a whole wants these things, or it's just the looney leaders?


It's a mixture of both. Islamic society is difficult to compare to western standards - because there really isn't enough information. It's safe to assume that populations, regardless of country, can get pretty riled up very easily with a little push from the native government.



The fact that the middle east has one of the lowest education rates (excluding Israel) also doesn't help.


 
Originally posted by: Aimster
Iran averages about 1.5 gigabarrels per year, which is a significant decline from the 6 gigabarrels per year it produced when the Shah of Iran was in power.

During that period the benefits went to the sliver of society that supported the shah and the foreign oil companies expatriating profits. The mullahs of Iran sux but don't romanticize about a nostalgic era that never was.
 
Originally posted by: JohnOfSheffield
No shiat, but still it takes a special kind of stupid to burn the commodity you lack.

These people are so stupid that it completely nullifies all other stupidity i have ever heard of, i mean, not even GW would be this stupid... well, maybe him but it's only GW and the Iranians then.

Someone hand them a fucking nuke and end their pain for good?
Kind of like when some public figure, (was it the pope?) said something about Islam being violent, so the response from some Muslims in various regions of the Mideast was violent rioting and arson. I guess the irony was lost on them.
Extremism is never pretty.
 
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