Iran's Kerman Province Halts 17-Fold Petrol Price Hike for 204 Stations
Updated
Updated · CNN · Aug 13
Iran's Kerman Province Halts 17-Fold Petrol Price Hike for 204 Stations
1 articles · Updated · CNN · Aug 13
Summary
Kerman province scrapped a planned petrol increase early Thursday, keeping fuel-card prices unchanged and allowing residents to buy an extra 40 liters at the existing 50,000-rial rate.
The canceled refinery-rate price was 872,000 rials per liter at 204 stations — more than 17 times the current fuel-card price and enough to make a 50-liter fill-up cost 43.6 million rials.
That would have consumed more than a quarter of Iran's roughly 166 million-rial monthly minimum wage, underscoring the strain as food inflation has surged nearly 130% over the past year.
The reversal comes as Washington signals even harsher economic pressure on Tehran, with Treasury Secretary Scott Bessent promising measures "never been seen" and the US already rolling out its eighth 2026 sanctions action tied to Iran's shadow banking system.
As unprecedented sanctions choke Iran, could the escalating ecological and economic fallout trigger a multi-chokepoint global crisis?
With vessels under attack and toxic spills spreading, who truly controls the world's most dangerous oil chokepoint?
After 250 days at sea without port calls, can an exhausted naval fleet effectively enforce security in the strait?
Iran’s 2026 Fuel Crisis: The Kerman Price Shock, Naval Blockade, and the Breaking Point of Regime Survival
Overview
In August 2026, the Iranian government attempted a drastic petrol price hike in Kerman Province, but immediate public panic and a lack of security forces led to a rapid suspension of the plan. This retreat was shaped by the regime’s fear of repeating the deadly 2019 fuel protests, which had triggered nationwide unrest and brutal crackdowns. The failed price hike exposed deeper problems: ongoing war and a US naval blockade had crippled Iran’s oil exports, drained foreign reserves, and caused severe inflation and unemployment. As economic misery soared, protests erupted, showing how fuel policy, economic collapse, and public anger are now tightly linked in Iran’s crisis.