Why gasoline in July can rise in price to 100 rubles per liter
- June 23, 2023
- 0
The government’s ambiguous position on the oil industry and the domestic motor fuel retail market is about to turn into an explosion in gas station prices. And it
The government’s ambiguous position on the oil industry and the domestic motor fuel retail market is about to turn into an explosion in gas station prices. And it seems that officials are happy with everything.
To begin with, let’s talk about new records in the wholesale fuel market. Since the beginning of 2023, the price of Regular-92 gasoline on the St. Petersburg International Commodity and Raw Materials Exchange has increased by as much as 76% to 58,711 rubles per ton. And gasoline “Premium-95” has increased in price to 65,787 rubles per ton – by 73%. In addition, growth in June was 10%. For a clear understanding, let’s translate these figures into the cost of a liter of fuel: AI-92 now wholesale (!) Costs 44.5 rubles per liter, and AI-95 – about 50 rubles per liter. The current price tags at gas stations, for example, in Moscow: AI-92 – about 48 rubles / liter, AI-95 – about 55 rubles / liter.
This is only slightly higher than the price tags we saw at gas stations in January 2023. It turns out that then the fuel dealers “charged” almost 20 rubles for each liter of fuel sold, and now – less than 5 rubles. That is, their “margin of safety” in terms of earnings is almost exhausted, and wholesale prices do not even think about stopping their vigorous growth.
“Fuel market analysts” tell us: This is because the government has reportedly decided to cut transfers to oil workers in half as part of the “fuel damper” – when the treasury pays them for not raising fuel prices in Russia. And, they say, in preparation for this event, prices for “wholesale” motor fuel are now somehow rising “by themselves.” Hello analysts! The damper is still being paid and wholesale prices have already increased by more than 70% since the new year – where is the logic in your explanation?
The logic is different here. It’s just that everyone wants real money – both oil tycoons and the budget. Now “in Europe” the selling price of a liter of AI-95 is somewhere between 150 and 170 rubles per liter, depending on the country. Do you feel the difference with the price tags of our gas stations? Yes, you cannot send fuel directly from Russia to the European Union due to the sanctions. But through the hands of a few middlemen – it’s easy! And now calculate for yourself how much more profitable it is to “push” gasoline abroad compared to the domestic Russian market. No “damper” will help here.
Firstly, because the oilmen themselves will not miss such an opportunity to profit and will always find a way to divert their goods from the domestic market to the foreign market. They don’t care that we have a shortage here, and prices are chasing European ones. Secondly, it is also very convenient for the authorities to send fuel abroad, as the treasury is now happy with every extra penny. And if the government really wanted to control domestic motor fuel prices, it would have introduced protective export taxes on fuel “in manual mode” long ago.
Instead, the authorities are keeping a cool eye on the situation. According to a number of experts, the price parity for gasoline in Europe and in our country can “settle” at about 100-110 rubles per liter of AI-95 at Russian gas stations. And it could happen now. At least tomorrow. Since wholesale prices for gasoline are very close to retail prices.
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To begin with, let’s talk about new records in the wholesale fuel market. Since the beginning of 2023, the price of Regular-92 gasoline on the St. Petersburg International Commodity and Raw Materials Exchange has increased by as much as 76% to 58,711 rubles per ton. And gasoline “Premium-95” has increased in price to 65,787 rubles per ton – by 73%. In addition, growth in June was 10%. For a clear understanding, let’s translate these figures into the cost of a liter of fuel: AI-92 now wholesale (!) Costs 44.5 rubles per liter, and AI-95 – about 50 rubles per liter. The current price tags at gas stations, for example, in Moscow: AI-92 – about 48 rubles / liter, AI-95 – about 55 rubles / liter.
This is only slightly higher than the price tags we saw at gas stations in January 2023. It turns out that then the fuel dealers “charged” almost 20 rubles for each liter of fuel sold, and now – less than 5 rubles. That is, their “margin of safety” in terms of earnings is almost exhausted, and wholesale prices do not even think about stopping their vigorous growth.
“Fuel market analysts” tell us: This is because the government has reportedly decided to cut transfers to oil workers in half as part of the “fuel damper” – when the treasury pays them for not raising fuel prices in Russia. And, they say, in preparation for this event, prices for “wholesale” motor fuel are now somehow rising “by themselves.” Hello analysts! The damper is still being paid and wholesale prices have already increased by more than 70% since the new year – where is the logic in your explanation?
The logic is different here. It’s just that everyone wants real money – both oil tycoons and the budget. Now “in Europe” the selling price of a liter of AI-95 is somewhere between 150 and 170 rubles per liter, depending on the country. Do you feel the difference with the price tags of our gas stations? Yes, you cannot send fuel directly from Russia to the European Union due to the sanctions. But through the hands of a few middlemen – it’s easy! And now calculate for yourself how much more profitable it is to “push” gasoline abroad compared to the domestic Russian market. No “damper” will help here.
Firstly, because the oilmen themselves will not miss such an opportunity to profit and will always find a way to divert their goods from the domestic market to the foreign market. They don’t care that we have a shortage here, and prices are chasing European ones. Secondly, it is also very convenient for the authorities to send fuel abroad, as the treasury is now happy with every extra penny. And if the government really wanted to control domestic motor fuel prices, it would have introduced protective export taxes on fuel “in manual mode” long ago.
Instead, the authorities are keeping a cool eye on the situation. According to a number of experts, the price parity for gasoline in Europe and in our country can “settle” at about 100-110 rubles per liter of AI-95 at Russian gas stations. And it could happen now. At least tomorrow. Since wholesale prices for gasoline are very close to retail prices.
Source: Avto Vzglyad
Donald Salinas is an experienced automobile journalist and writer for Div Bracket. He brings his readers the latest news and developments from the world of automobiles, offering a unique and knowledgeable perspective on the latest trends and innovations in the automotive industry.
