Novak: Petrochemical investment to reach 3.5 tln rbl till 2030

MOSCOW, Nov 22 (PRIME) – Russia will invest 3–3.5 trillion rubles in petrochemical industry until 2030, Deputy Prime Minister Alexander Novak said on Wednesday during a session of the parliament’s upper chamber Federation Council.

“The combined amount of planned investment in the petrochemical industry stands at around 3–3.5 trillion rubles until 2030,” he said.

Taxation of more than 45% of oil production has been switched to the excess profits tax regime.

“The timely replenishment of the resource base, the increase of efficiency of oil production in Western Siberia, and stimulation of development of hard-to-recover reserves and shelf projects are the main tasks for the industry. An array of taxation measures has been implemented to achieve that. More than 45% of oil production has been switched to the excess profits tax,” he said.

He added that the measure had resulted in expansion of production and investment.

Novak also said that Russian ports’ capacities for oil transshipment should be expanded by 32 million tonnes until 2025. The authorities plan to expand the capacities of the ports of Kozmino, Primorsk, Ust-Luga, and Novorossiysk, he said.

He said that the government may fully lift a ban on exports of diesel fuel very soon because the internal market had been saturated.

The government banned exports of gasoline and diesel fuel on September 21 to curb the growth of its exchange prices, but on October 6 it partially lifted restrictions on exports of diesel fuel to the ports via pipelines for companies that sell at least 50% of the fuel in Russia. It also slapped a prohibitive export duty for the companies that don’t produce their own fuel.

(87.8701 rubles – U.S. $1)

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