Lowering payments will reduce oil companies’ revenues, threatening retail fuel prices to rise. Compensations will decrease with the entry into force of the new damping mechanism parameters from September 2022.
If the oil industry has received compensation from the budget in the amount of 1.7 trillion rubles since the beginning of the year, payments will now be three times less – about 3,570 rubles per ton of gasoline sold on the Russian market. (before September, compensations reached 11,270 rubles per ton).
These amounts should compensate oil companies for lost profits, as it costs more abroad, where they can sell fuel.
But, as Maria Arie, advisor to Petromarket IG, explained to Rossiyskaya Gazeta, the volume of fuel sales on the stock exchange is now falling – from 42 thousand tons per day to 32.6 thousand tons, preventing prices from rising. When the demand for fuel rises, so do the prices.