January 8, 2021. Head of Tehran Compressed Natural Gas (CNG) Association said the government has invested over 140 trillion rials (USD 3.33 billion) in CNG-related development projects across Iran.

According to Ardeshir Dadras, so far over eight kits and equipment factories, six CNG tank factories, and four compressor factories have been established across the country and the knowledge for the production of more than 80% of the parts and equipment used in the CNG industry are indigenized.

Currently, CNG accounts for only two% of the country’s total fuel basket and the figure should be increased to five percent, Dadras said.

Mentioning the country’s huge gas reserves, the official put the current daily CNG consumption in the country at 22 million cubic meters (mcm), saying that this figure is not desirable considering the level of gas production in the country.

“Given that CNG previously accounted for only 15% of the public transport fleet’s fuel basket and the figure has now reached 20%, this number can be increased to 35% during the Seventh National Development Plan (2022-2026),” he stressed.

Iranian Oil Ministry considers CNG as the national fuel; therefore, the Ministry has it on the agenda to increase the share of this fuel in the country’s energy basket.