Russia halts gasoline exports for 6 months
Russia imposed a six-month gasoline export ban starting March 1 to stabilise prices due to increased demand from consumers and farmers and to facilitate refinery maintenance, Reuters reported on Tuesday.
The ban, initially reported by Russian media group RBC statement that was made available to Reuters, has been confirmed by a spokesperson for the Deputy Prime Minister in charge of Russia’s energy sector.
According to RBC, an anonymous source revealed that Prime Minister Mikhail Mishustin approved the ban following a proposal from Novak on February. 21 stating that measures are needed to balance the high demand for petroleum products and stabilise domestic market prices.
The upcoming presidential election on March 15–17 and recent Ukrainian drone attacks on some Russian refineries add to the sensitivity of domestic gasoline prices for drivers and farmers in the world’s largest wheat-exporting country.
In their ongoing conflict of nearly two years, Russia and Ukraine have attacked each other’s energy facilities to disrupt supplies and logistics and demoralise the opposition.
Russia heavily relies on oil, oil products, and gas exports, which are its largest exports, contribute significantly to its $1.9 trillion economy, and secure its influential position in global energy politics.
The Kremlin has been working with Saudi Arabia, the largest oil exporter globally, to maintain high prices within the OPEC+ group, which consists of the Organisation of the Petroleum Exporting Countries and its main allies.
As part of the OPEC+ initiative to uphold prices, Russia has voluntarily reduced its oil and fuel exports by 500,000 barrels per day in the first quarter.
