China agreed to add export duties to the price of electricity

The Russian energy company Inter RAO, which is a single operator for the export and import of electricity, agreed with the Chinese side to include an export duty in the price of supplies to China. Inter RAO representative Alexandra Panina told reporters about this on October 12 on the sidelines of the Russian Energy Week (REW-2023) forum. “China is increasing the price under our contract by the amount of duty. China is responsible for paying this duty,” Panina emphasized.

We are talking about flexible export duties linked to the ruble exchange rate, which were introduced by the Russian government on October 1 and will be valid until the end of 2024 for a wide range of goods. This duty also applies to the export of electricity. The duty rate for exports outside the EAEU (including Russia, Kazakhstan, Belarus, Kyrgyzstan and Armenia) will be 4–7% of the customs value of the goods with an average ruble exchange rate of more than 80 rubles/$. According to the Moscow Exchange, on October 12 at 17.10 Moscow time, the dollar was trading at 97.3 rubles.