NIORDC National Iranian Oil Product Distribution Company N.I.O.P.D.C 24 Nov 2011 Iran Smart Fuel System Iran Fuel Card Project (IFCP) The Gasoline is Provided & Distributed by the government: • Production • Import The price of Gasoline Impact on National Economy Social Justice Smuggling Very Huge Consumption Increase Rate • • • • • • Increasing the number of cars Very low price Using old cars Uncontrollable Consumption Uncontrollable Distribution Smuggling Cutting the Government Support (Releasing the Price) Replacing Gasoline with Gas Using a Technology that can: • Managing and controlling the Consumption • Managing and controlling the Distribution The main constraint was: TIME! The First Nationwide Smart Card Project in the World Various Stakeholders Minimum Social & Economical Impacts Acceptability Lack of Infrastructures & Databases Security & Privacy Expandability, … Preparing fuel consumption database Monitoring, managing and control of the fuel consumption Preventing fuel smuggling out of Iran Proper distribution of subsidies to people in need Monitoring and control of gas station operations Facilitating Payment Providing a unique security and control in the country System Requirements Analysis System Design Procurement & Sub Contracting Construction & Testing Piloting Card Personalization & Distribution System Integration Implementation One smart card for each vehicle (car, motorbike, truck). Dynamic monitoring and control of the fuel consumption. Multi layer quota and pricing model. Centralized management of the quota and pricing model. Offline link between gas station and data center. Payment through PSP (Payment Service Provider). Online network of Customer Support Centers Centralized card issuing and management. Customer Support Software Security Data Center Network Infrastructure Gas Station LAN POS / Terminal Smart Card Planning Data Collection & Police Training & Awareness Raising Fuel Smart Card System Banks & Banking Network Police Department Data Center Card Management Center Customer Support Centers 1402 2814 Gas Stations 226Oil Zones 37 Areas Data Center Data from Pullers to Gas Stations Data from Gas Stations to Pullers Data from Pullers to Data Center Data from Data Center to Pullers Pullers Oil Zones Oil Storages Customer Support Centers Management (Data Center) Vehicle Providers Police Mailing System Card Production Center Customer Care Offices Customers (Card Holders) More than 20,000,000 cards were distributed! 27,000 POSs were installed A very high performance data center was established A robust communication link between all Gas Stations and Data Center is established The project takes about 2 years The whole project budget was about 100 million dollars Manageability of fuel distribution and consumption 25% Fuel Consumption Decrease Direct ROI : 15 Days! Changing the Public Consumption Model Air pollution reduction Improving Public Transportation Experiencing a very huge and complex Smart Card project Top level managers rely on IT for big project 19 89 -1 99 19 0 90 -1 99 19 1 91 -1 99 19 2 92 -1 99 19 3 93 -1 99 19 4 94 -1 99 19 5 95 -1 99 19 6 96 -1 99 19 7 97 -1 99 19 8 98 -1 99 19 9 99 -2 00 20 0 00 -2 00 20 1 01 -2 00 20 2 02 -2 00 20 3 03 -2 00 20 4 04 -2 00 20 5 05 -2 00 20 6 06 -2 00 20 7 07 -2 00 20 8 08 -2 00 9 Million liter per day Anual Fuel Consumption In Last 20 Years 100 90 20 89 80 81 73.6 70 67 60 60.7 50 40 35 30 21 22.7 24.6 26.9 37.7 64.4 66 56.3 45.8 50.5 39.1 42.5 31.4 32.9 29.4 31.3 10 0 Expectancy of last 2 years Real Consumption 19 89 -1 19 990 90 -1 19 991 91 -1 19 992 92 -1 19 993 93 -1 19 994 94 -1 19 995 95 -1 19 996 96 -1 19 997 97 -1 19 998 98 -1 19 999 99 -2 20 000 00 -2 20 001 01 -2 20 002 02 -2 20 003 03 -2 20 004 04 -2 20 005 05 -2 20 006 06 -2 20 007 07 -2 20 008 08 -2 00 9 Million liter per day Anual Fuel Import in Last 20 Years 50 45 0 44.8 40 35 35.9 30 25 24.8 27.5 22.7 20 15 10 5 1.7 0.9 1.7 2.9 4.3 1.9 3.4 5.8 2.7 3.8 Import 18.9 15.1 7.8 10.4 3.4 5.3 20.6 Expectancy of last 2 years 25 million liter of Import reduction Per day More than 13 B USD Saving Managing large scale smart card projects Paying high attention for training Plan for change management Keep the users much informed Technology Independent Design Divide and conquer is the best methodology for solving big problem • There is a big trend to the Smart Card Technology in IRAN • IRAN Fuel Card Project can be a good example for similar projects • Smart Card Projects can solve many economic and Controlling problems : Tracing Smuggling control Tax and …… We are open to share our experience for all companies, which are willing to run such projects