April 19, 2025
Auto

Delegates have figured out how to ‘freeze’ prices at gas stations for a year

  • November 7, 2023
  • 0

Retail fuel prices shot up again in the fall and never fell again after taking off. And it’s unlikely they’ll ever drop. On the contrary. Meanwhile, the State

Delegates have figured out how to ‘freeze’ prices at gas stations for a year
Retail fuel prices shot up again in the fall and never fell again after taking off. And it’s unlikely they’ll ever drop. On the contrary. Meanwhile, the State Duma is already concerned about the issue of a permanent increase in gasoline prices. The deputies found a way out of the situation. But only in theory…

To be fair, it is worth noting that after the summer price increase at gas stations at the end of September, fuel prices, although not so noticeably, have weakened. Let us give thanks to the ban on the export of petroleum products and the return of the fuel damper. Although it must be admitted that government measures have led to a price drop only locally and in words.

Yes, according to the figures, prices per liter of fuel have become more attractive, but if you compare them with the beginning of summer, the costs remain too high no matter how you look at it. And quite serious – by about 15-18%. And according to a number of specialized experts, markups at Russian gas stations are twice as high as the average in many countries of the world, namely 10%.

Moreover, it is very likely that in a number of regions prices are not shaped by market methods at all, but by informal agreements between major players. It is not without reason that even the FAS has issued appropriate warnings to some oil companies. But the fact remains: lowering the price of gasoline is not beneficial for the sellers nor for the authorities, who receive “non-acid” taxes from the profits of businessmen. However, some lawmakers believe that regular price increases at gas stations could be thwarted.

For example, the chairman of the A Just Russia party, Sergei Mironov, proposes to introduce strict regulation of prices for petroleum products by amending the Law “On Trade”. Granted, as a temporary measure. In his opinion, “the annual increase in the cost of petrol, diesel and kerosene should not exceed the expected inflation rate set in the federal budget for the next financial year.” With his bill, the deputy proposes to organize clear algorithms for predicting the operation of refineries, introduce a mechanism to saturate the domestic market with sufficient quantities of fuel to prevent price increases, and also establish a system of guidelines for the main suppliers of petroleum products.

And deputies of the Liberal Democratic Party submitted a bill to the State Duma that would introduce a mechanism for the highest possible retail prices for diesel and gasoline. In other words, fuel costs at a gas station cannot exceed the maximum allowable limit approved by the government for a given period. However, it is worth noting that if the law is passed, oil workers will mainly export crude oil abroad. At worst, they will simply reduce production levels. And we think you already understand how this will end.

That’s right: a drop in tax contributions to the state dal and the emergence of a new crisis on the fuel market. However, it is certainly not slowly but surely gaining momentum. As already mentioned, fuel prices are rising chaotically, which directly affects the country’s economy. An abrupt increase in price lists immediately affects the increase in logistics costs and, as a result, leads to an increase in the cost of everything, including essential goods and food. Moreover, regardless of domestic and global oil prices, the price of fuel in Russia continues to rise.

Photo: avtovzglyad.ru

To be fair, it is worth noting that after the summer price increase at gas stations at the end of September, fuel prices, although not so noticeably, have weakened. Let us give thanks to the ban on the export of petroleum products and the return of the fuel damper. Although it must be admitted that government measures have led to a price drop only locally and in words.

Yes, according to the figures, prices per liter of fuel have become more attractive, but if you compare them with the beginning of summer, the costs remain too high no matter how you look at it. And quite serious – by about 15-18%. And according to a number of specialized experts, markups at Russian gas stations are twice as high as the average in many countries of the world, namely 10%.

Moreover, it is very likely that in a number of regions prices are not determined by market methods at all, but by informal agreements between major players. It is not without reason that even the FAS has issued appropriate warnings to some oil companies. But the fact remains: lowering the price of gasoline is not beneficial for the sellers nor for the authorities, who receive “non-acid” taxes from the profits of businessmen. However, some lawmakers believe that regular price increases at gas stations could be thwarted.

For example, the chairman of the A Just Russia party, Sergei Mironov, proposes to introduce strict regulation of prices for petroleum products by amending the law “On Trade”. Granted, as a temporary measure. In his opinion, “the annual increase in the cost of petrol, diesel and kerosene should not exceed the expected inflation rate set in the federal budget for the next financial year.” With his bill, the deputy proposes to organize clear algorithms for predicting the operation of refineries, introduce a mechanism to saturate the domestic market with sufficient quantities of fuel to prevent price increases, and also establish a system of guidelines for the main suppliers of petroleum products.

And deputies of the Liberal Democratic Party submitted a bill to the State Duma that would introduce a mechanism for the highest possible retail prices for diesel fuel and gasoline. In other words, fuel costs at a gas station cannot exceed the maximum allowable limit approved by the government for a given period. However, it is worth noting that if the law is passed, oil workers will mainly export crude oil abroad. At worst, they will simply reduce production levels. And we think you already understand how this will end.

That’s right: a drop in tax contributions to the state dal and the emergence of a new crisis on the fuel market. However, it is certainly not slowly but surely gaining momentum. As already mentioned, fuel prices are rising chaotically, which directly affects the country’s economy. An abrupt increase in price lists immediately affects the increase in logistics costs and, as a result, leads to an increase in the cost of everything, including essential goods and food. Moreover, regardless of domestic and global oil prices, the price of fuel in Russia continues to rise.

Source: Avto Vzglyad

Leave a Reply

Your email address will not be published. Required fields are marked *