MOSCOW, November 2. /TASS/. Russian President Vladimir Putin signed a law, whereby oil and gas revenues during budgeting will be calculated again according to the base oil price set as $60 per barrel.

The document was posted on the official web portal of legal information.

The fiscal rule returns therefore to its previous calculation parameters. As before, extra revenues from oil sales above the base price ($60 per barrel) will be directed to the National Wealth Fund (NWF). If prices drop below the baseline level, the shortfall in revenues will be compensated from NWF.

In 2023, this mechanism worked in a different way. The cutoff level was taken as the nominal figure of eight trillion rubles ($86.1 bln) per year.

The new law is the budget forming one. It was presented to the State Duma by the Russian government simultaneously with the draft federal budget for 2024-2026. The calculation of oil and gas revenues will also factor in baseline prices of natural gas ($250 per 1,000 cubic meters). Baseline oil and gas prices are subject to annual indexation by 2% (at the currency inflation level), starting from 2027.

Baseline prices of an export alternative of the Class 5 92-octane gasoline and Class 5 diesel fuel are also among the parameters. They will be calculated based on actual prices for these types of fuel multiplied by the ratio of the baseline and actual oil prices.