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President Putin approves higher gasoline and diesel excise rates from April 1 – Kremlin

According to the Finance Ministry, fuel prices will go up by 5% approximately and additional revenues of the federal budget will constitute about 90 bln rubles

© Vyacheslav Prokofiev/TASS

MOSCOW, February 29. /TASS/. Russian President Vladimir Putin signed the law increasing the excise rates on motor gasoline, diesel fuel, straight-run gasoline and middle distillates from April 1, 2016, the Kremlin’s press service said on Monday.

The Russian parliament approved the relevant regulatory act at the end of the last week.

The law introduces amendments to Article 193 of the Russian Tax Code. In particular, the excise on Class 5 motor gasoline effective from April 1 to December 31, 2016 will be 10,130 rubles ($133.2) a tonne.

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According to estimates of the Finance Ministry, fuel prices will go up by 5% approximately and additional revenues of the federal budget will be about 90 bln rubles ($1.2 bln) by 2016 year-end. Funds will be credited to the federal budget, Deputy Finance Minister Yuri Zubarev said earlier.

This is the second rise in Russia’s excise rates in 2016. Euro 5 gasoline excise rate was increased by 36.1% and diesel fuel excise rate - by 20.3% since January 1, 2016.

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