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Russian fuel market stabilizes, prices decline — Novak

According to the Russian deputy prime minister, wholesale prices for oil products decreased significantly in practically all Russian regions

MOSCOW, October 4. /TASS/. The Russian fuel market is stabilizing, with reserves increasing by 430,000 tons following the implementation of an export ban, and prices are falling, according to Russian Deputy Prime Minister Alexander Novak.

"The main measure adopted was a ban on exports of motor gasoline and diesel fuel. This move had a positive impact on the domestic market, as our reserves increased by around 430,000 tons over this time period. Oil product prices stabilized and stock exchange prices declined by 16-20% during this period," he said in an interview with Rossiya-24 TV channel.

Novak also stated that wholesale prices for oil products decreased significantly in practically all Russian regions.

At the same time, wholesale fuel prices have dropped in almost all Russian regions after introduction of the export ban, he said. The ban on exports of gasoline and diesel fuel positive influenced the domestic market situation and the drop in exchange prices by 16-20% already led to their lowering in the small wholesale segment, the official said. "We see a significant decline in wholesale petroleum product prices in almost all Russian regions. This is the criteria, the result needed to be achieved," Novak said.

According to the Deputy Prime Minister, the government is continuing to monitor the issue together with the Ministry of Energy and the Federal Antimonopoly Service. "Today, we met with the heads of oil companies. Everyone is committed to ensuring that the market is balanced and has sufficient volumes, and that the situation on the stock exchange and in the wholesale sector stabilizes," Novak said.

The Russian government introduced the temporary limit of gasoline and diesel fuel exports to stabilize the domestic market from September 21.

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