Iran railways receives fuel economy incentive

By  Trend

Islamic Republic of Iran Railways (RAI) has received some legal incentive aimed at economizing on fuel and the protection of environment.

The incentive came in the form of a contract signed between RAI, Iranian Fuel Conservation Company, and Kooshesh Trade Co., RAI public relations office told Trend October 2.

According to the contract, RAI will receive the equivalent price of 35 cc fuel per ton kilometer increase in transit capacity.

The company will also receive the equivalent price of 20 cc fuel per passenger kilometer of increase in passenger transport capacity increase.

The ceiling of the contract is $7.5 billion for 10 years and has been approved by related legal bodies.

RAI has also be obliged under the contract to make rail transport more attractive via hardware as well as software tools.