MOSCOW, October 9. /TASS/. The ban on exports of fuel from Russia that was imposed by the government on September 21, helped saturate the domestic market, as a result of which fuel prices have already decreased in 81 regions of the country, Deputy Prime Minister Alexander Novak said.
"The government imposed on September 21 a temporary ban on export of gasoline and diesel fuel, with the measure assumed having proved efficient. The restrictions helped saturate the domestic market, which influenced prices positively," he said at a meeting with Prime Minister Mikhail Mishustin.
"The prices of gasoline and diesel fuel on the St. Petersburg International Mercantile Exchange went down by 16-21%, respectively. On small wholesale and on oil depots diesel prices fell by an average of 6,300 rubles per ton, according to the Energy Ministry, while across the country - by around 8%. The decrease was registered in 81 constituent entities of the Russian Federation," Novak added.
The Russian cabinet introduced the temporary limitation of gasoline and diesel fuel exports on September 21 to stabilize the domestic market. The ban is indefinite and its term will depend on market saturation and the results of this measure, First Deputy Energy Minister Pavel Sorokin said earlier.
The Russian government approved a number of new systemic measures for maintaining stability in the fuel market on October 6. In particular, it was decided to amend the Tax Code and resume, effective October 1, the parameters of the fuel damper mechanism that were adjusted starting from September 1.
Moreover, Russia is lifting restrictions on exports of diesel fuel via pipelines to seaports for producers that supply at least 50% of diesel fuel produced to the local market. For suppliers of fuel that purchase it in the market, not produce it themselves, a protective duty on petroleum products in the amount of 50,000 rubles ($500) per ton was imposed for preventing potential "grey" export schemes. This policy will be effective until the end of this year, according to the decree.
The authorities also stepped up demands for the sale of Class 5 gasoline and diesel on exchanges by oil producers from 13% to 15% and from 9.5% to 12.5%, respectively, which is expected to raise the guaranteed volume of supply of demanded fuel on exchanges and increase the volume of transactions under competitive terms. The hike will come into force a month after its official publication, according to the cabinet’s decree (meaning from November 6).