Russian oil firms remain concerned about the heavy tax load embedded in fuel prices, a pressure that many say trims profits and hampers both production and sales volumes. This picture was outlined by the business daily Kommersant, which reviewed the latest fiscal dynamics affecting the sector.
Tatneft’s leadership has highlighted a striking benchmark, noting that in September the tax portion accounted for about seven sevenths of the price of AI-92 gasoline and a substantial share of diesel. The result, as described by Nail Maganov, is a negative margin for the company, with losses around 10 rubles per liter of gasoline and roughly 3 rubles per liter of diesel. The executive emphasized that the overall tax burden has climbed from roughly half of income in 2018 to about 61 percent in 2023, signaling sustained pressure on earnings in the current environment.
Surgutneftegaz presented a parallel stance, arguing that in the retail chain the tax burden on gasoline tops 103 percent of the sale price, while diesel sees a burden above 91 percent. The publication notes that the tax share for the company as a whole can reach about 67 percent of income, painting a picture of how taxes can eclipse a portion of revenue in certain market segments.
Industry analyst Boris Lutset pointed out that a portion of these taxes returns to the sector through various subsidies. In his view, government support has a decisive role in guiding investment decisions, sometimes more so than the nominal tax take itself.
Economist Tserazov, speaking in early October, raised questions about how the price of gasoline is formed in Russia, underscoring the influence of fiscal policy on retail pricing and market stability. This discourse reflects ongoing concerns about price formation mechanisms and the impact on consumers and producers alike.
A former government official has commented on efforts aimed at stabilizing retail prices for petroleum products, indicating that policy measures have been directed at smoothing fluctuations in the domestic market. The broader context includes ongoing assessments of how fiscal levers, subsidies, and regulatory actions interact to shape the price citizens pay at the pump and the viability of oil company operations over the medium term.
Across the sector, observers emphasize that the tax structure is only one piece of a complex equation. Market participants point to the need for transparent pricing signals, consistent policy frameworks, and timely fiscal adjustments to support investment in refining capacity and production efficiency. While some taxes feed public budgets, the question remains how to balance fiscal needs with the health of the energy sector, ensuring reliable fuel supplies and fair returns for investors without eroding competitiveness in a global market.