Date: 7 months ago   Category: Energy

Rosneft: protecting duties on fuel can't compensate increase in prices because of excises — Rambler News Service


Photo: Alexander Demyanchuk / Protecting export duties on export of oil products can't compensate to TASS increase in prices for gasoline and diesel fuel because of increase in excises since January 1, 2019, the official representative of Rosneft Mikhail Leontyev has reported to RNS. He has explained that fuel price is formed at the expense of two components — market condition and growth of excises. Export of oil products, balancing of export and deliveries to domestic market, price of oil in the international market and other factors belong to the first component, according to the official representative of Rosneft, in particular. As for, excises, their growth automatically increases fuel price. "Increase in excises is an unambiguous advance in price on goods. It is known that the excise is paid by the consumer. From this point of view the government has made the decision on increase in prices for gasoline. Protecting duties are an additional regulating measures. Growth of excises inevitably leads to growth of the price" — Leontyev has emphasized. On October 29 the prime minister of the Russian Federation Dmitry Medvedev has reported about observed in some cases increase in prices for gasoline and has charged to the Ministry of Energy and to the Deputy Prime Minister Dmitry Kozak in the next two days to hold consultations with the oil companies. According to him, in case of continuation of growth the decision on introduction of prohibitive export duties on oil products for stabilization of a situation in the market can be made. Earlier Audit Chamber of the Russian Federation on the draft budget 2019 and planning period of 2020 and 2021 has specified in the conclusion that increase in excises on gasoline and diesel fuel in Russia since January 1, 2019 can lead to the sharp growth of retail prices for fuel. Excises on gasoline and diesel fuel since January 1, 2019 will raise up to 11,892 thousand rubles and 8,258 thousand rubles for ton respectively. Earlier the Federal Antimonopoly Service (FAS) of Russia, the Ministry of Energy and the Ministry of Finance stated that they don't expect sharp increase in prices for gasoline after increase in excises.

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