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Russian Energy Ministry has reviewed stress scenario

The Ministry has taken into consideration potential challenges and risks seen at present when preparing the strategy

MOSCOW, April 2. /TASS/. The Russian Energy Ministry has introduced a stress scenario catering for the recent significant drop in the energy demand into the draft Energy Strategy 2035, Minister Alexander Novak said at the Cabinet meeting on Thursday.

"We have reviewed the stress scenario addressing the current market status and the significant demand drop for energy resources in the short run. We consider the critical task now is to monitor the situation on a daily basis, paying attention to stability of the fuel and energy sector industries in current conditions," Novak said.

The Ministry has taken into consideration potential challenges and risks seen at present when preparing the strategy, Novak said. Key ones among them are the skyrocketing development of technologies changing the energy sector configuration and structure and mounting competition, particularly production growth of shale oil and gas and growth of liquefied natural gas production and trade. Novak also noted toughening of non-competitive methods of economic struggle, specifically restrictive measures and sanctions and the trend to promote the ‘green’ agenda worldwide.

"We are also considering the current challenging macroeconomic situation on global markets in the short-term period, which influences on the oil and gas industry in the first instance now due to the significant decline of global prices in consequence of the economic activity drop worldwide, driven by applied quarantine measures against the coronavirus pandemic spread," Novak added.

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