Russia’s PM hopes no protective duties will be introduced for oil producers

MOSCOW, December 6. /TASS/. The government hopes it will not have to make a decision on protective export duties for oil producers, Russian Prime Minister Dmitry Medvedev said on Thursday in an interview to Russian TV channels.

"Frankly speaking, we had to put pressure on oil producers and force them to sign these agreements. I believe we acted properly. Let us look at evolving situation. I hope this situation will be managed to be under control, because agreements are in place, certain parameters and excise policy changes are present, as well as certain other decisions we made in interests of supporting the oil industry," Medvedev said.

"The point is that this sector is important; it feeds the economy to a significant degree. If everything is stable, we will not make any manipulation. If the situation goes out of control, I can say again, decisions unpopular among oil producers will have to be taken, including protection duties on export. Nevertheless, I hope it won’t run to that," he added.

The government and oil companies negotiated measures for stabilization of the fuel market at the meeting on October 31. Oil companies agreed with the proposal of the government to fix wholesale prices of gasoline and diesel fuel at the June level until 2018 year-end and to increase them by not more than the inflation level in the next year.