Russia govt bans petrol exportation till end of 2024

Following significant price increases, the Russian government said on Wednesday that it was reimposing a six-month petrol export ban in an effort to "maintain a stable situation" on the local fuel market. 

"Brought in a restriction on exports of petrol from September 1 to December 31, 2024," the administration stated in a statement.

The measure is intended to keep prices stable “during a period of continued seasonal demand and planned repairs on oil refineries”, the government said.

Russia imposed a six-month ban on fuel exports in March, but due to market saturation, it temporarily suspended the prohibition between May and July. 

According to the administration, deliveries made in accordance with intergovernmental agreements, such as those with Belarus, Kazakhstan, Kyrgyzstan, and Armenia, members of the Eurasian Economic Union, will not be impacted by the new ban. 

Despite having vast energy reserves, Russia announced a similar embargo on the export of petrol and diesel last year as rising petrol prices reduced the purchasing power of Russians, who were already feeling the effects of the falling currency as a result of sanctions.

According to official statistics, Russia produced 43.9 million tonnes of fuel in 2023. Moscow continues to rely heavily on oil and gas revenues as it directs its economic resources towards maintaining the military onslaught in Ukraine. 

Drone assaults on fuel tanks by Ukrainian forces in recent months have cut off Russia's soldiers' access to essential supplies.

Source