The government explained why the petrol is not getting cheaper after oil

© RIA Novosti / Pavel to Listenpreise in fotobanka diesel fuel in Yekaterinburg. Archival photoThe government explained why the petrol is not getting cheaper after oil© RIA Novosti / Pavel to Listenpreise the image Bank

Oil fell to a level below the price of fuel began to decline in the domestic market, said in an interview with TV channel «Russia 24» Deputy Prime Minister Dmitry Kozak.

«It (oil. — Approx. ed.) fell to such an extent (this in total acts — the oil price and the ruble exchange rate) to the domestic market at current prices it became more profitable to sell,» he said.

Vice Prime Minister noted that in any industry the level of prices is not reduced.

«It may be, if it significantly oversaturated domestic market, if there is increased competition, when the fight for the consumer and so on. While in our country … the current level of production, processing and the global price of oil <…> do not foresee such a significant reduction in prices», — said Kozak.

The Deputy Prime Minister has ruled out a situation where gas stations can remain without gasoline.

«There is no crisis and can not be. Well, no, it can be, if in the world markets of oil falls to $ 12, then you will have a crisis,» — said Kozak.

Protective tariffs

He added that the need for the introduction of protective duties on the export of petroleum products has passed and it is unlikely that their introduction will be required before the end of 2018.

«Today, thanks to this agreement, the need for the introduction of protective duties, I believe that has passed. Ninety percent — we have this need until the end of the year will not be, and from 1 January 2019 we begin to operate other tools of price regulation on oil products, we will provide the refinery the so-called inverse damping excise taxes», — said Kozak.

The Vice-Premier noted that if there is a threat of rising prices after March 31, when the end of the agreements with the oil fuel can be introduced as protective tariffs, and alternative measures. For example, discussing the licensing of exports.

He stressed that the oil industry could lose about 300 billion rubles by the end of the year in the imposition of protective duties.

«Thus, the excess income will be withdrawn from the oilers — they will be ranavalona to sell on the domestic and foreign market», — said Kozak.

He recalled that the existing law provides that under certain conditions until January 1, 2019, the government may introduce prohibitive export duties.The government explained why the petrol is not getting cheaper after oil© RIA Novosti, Infografiken European countries on gasoline prices – 2018

Source