TEHRAN — A scheme to scrap and replace 90,000 clunker taxis will be set in motion on February 1 and will be accomplished by September, ISNA news agency reported.

According to a memorandum of understanding inked between the Management and Planning Organization, the Ministry of Industry, the Ministry of Interior, the Department of Environment, the Traffic Police, the Taxi Driving Organization, and Iran Khodro car manufacturing group, 90,000 clunker taxis nationwide will be replaced by new, more energy efficient, and environmentally friendly ones.

The clunker’s owner will be provided with a fairly low interest loan worth of 200 million rials (nearly $5700) under relatively easy terms and conditions, Hamid Pourmohammadi, the deputy director of the Management and Planning Organization said.

Pourmohammadi explained that the owners need to secure the loan with promissory notes and a co-signer. This would be a 48-month loan with 16 percent interest rate.

Each buyer will be also granted 50 million rials (nearly $1400) subsidy, as well, he added.

The cars’ delivering process will begin by the Iranian calendar month of Esfand falling on February 20 to march 19 and will last until September 22, he said.

Meanwhile, the director of the Management and Planning Organization, Mohammad Baqer Nobakht, announced that some 4.5 trillion rials (nearly $129 million) is allocated to renovate the country’s old transportation system, of which 1.65 trillion rials (nearly $47 million) is for replacing the old clunker taxis.


MQ/M