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Russia shouldn't rush to abandon oil exports, says Energy Minister

According to him, the intention to switch to carbon-neutral energy is typical for many countries today, that is why the carbon tax has become an urgent agenda for them

MOSCOW, May 14. /TASS/. Russia does not need to rush to abandon oil exports because of the intention of other countries to switch to carbon-neutral energy, Russian Energy Minister Nikolai Shulginov said in an interview with the Energy Policy public business science magazine. He stressed that by 2035, even developed countries will not be able to abandon hydrocarbons.

"It is not correct to think about abandoning oil exports. There is no need to rush to part with hydrocarbons, rather, it is necessary to develop renewable energy sources along with traditional types of energy," the minister said.

"We need to strive for our nuclear energy to be officially considered carbon-neutral. Moreover, the leaders of seven European countries have already turned to the European Union with a request to recognize nuclear energy as clean. The U.S. is of the same opinion," Shulginov said.

According to him, the intention to switch to carbon-neutral energy is typical for many countries today, that is why the carbon tax has become an urgent agenda for them.

"It is impossible to ignore this transition, but you need to understand that by 2035 neither Europe nor the United States will completely get rid of hydrocarbons and traditional energy resources will continue to play a significant role," the minister stressed.

Shulginov noted that Russia needs to analyze the experience of the past winter, when, amid severe frosts, there was a surge in demand for traditional fuels.

"It is not worth relying only on the sun and wind without new developed energy storage systems. This implies the need to constantly maintain a reserve of traditional generation capacities and reserves of traditional fuels," he explained.

Shulginov added that now competition is growing between different energy sources: oil, pipeline gas, LNG. This opens up a new window of opportunity to take advantage of, he noted.

In addition, Russian oil companies such as Lukoil, Tatneft, Rosneft are actively developing their own low-carbon development strategies and even mention the possibility of ensuring carbon neutrality by 2040-2050, the minister said.