Plenty of Oil, but Few Refineries for Iran
What Iran lacks are sufficient refineries to keep pace with its thirst for fuel. Iran is almost fully dependent on trucks to move goods. The number of cars is rising each year as drivers from the baby boom decade after the 1979 Islamic Revolution take the wheel.
Iran imports more than 40 percent of its gasoline and diesel needs. It comes mostly from the Middle East but also from as far away as Venezuela.
Closing the import tap could force Iran to either impose rationing _ as it did during the 1980-88 war with Iraq _ or raise prices and risk a backlash from a public accustomed to paying more for bottled water than gasoline.
Making up the refinery shortage would take years, meaning Iran would have no alternative fuel supplies if hit by U.N. sanctions. The United States and its European allies want sanctions imposed if Iran refuses to give up its uranium enrichment program, which is feared to be designed for producing nuclear weapons.
“Iran really does not have a lot of room to maneuver on the basic issue of refinery capacity and demand,” said Narsi Ghorban, an independent energy consultant based in Tehran.
http://www.washingtonpost.com/wp-dyn/content/article/2006/05/31/AR2006053101464_2.html
Sounds like the US.
“Iran imports more than 40 percent of its gasoline and diesel needs. It comes mostly from the Middle East but also from as far away as Venezuela.”
Interesting link in the chain right there with our friend Hugo.
We impose a blockade and stop and search a Venezualan vessel ... could this be the spark that our buddy Hugo would use to get into a fight?