Mishustin expanded the mechanism for subsidizing the transportation of petroleum products by rail
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From April 1, 2023, the geography of oil product deliveries by rail at a reduced rate is expanding in Russia. The subsidizing mechanism was extended to several regions of the Siberian Federal District. Relevant resolution signed by Prime Minister Mikhail Mishustin.
We are talking about subsidies to railway carriers to compensate for losses when introducing preferential tariffs for the delivery of motor gasoline, diesel fuel and jet fuel. Now transportation of such oil products at a reduced rate is possible to the Far East. From April, the mechanism will be extended to the Krasnoyarsk Territory and the Irkutsk Region.
The authorities expect that this will help “to contain the dynamics of wholesale prices, reduce pressure on retail, and also support local independent gas station operators.” The federal budget allocated 9.3 billion rubles to subsidize the program in 2023, 9.6 billion in 2024, and 10.2 billion rubles in 2025. In 2022, almost 9.8 billion rubles were spent on the subsidy program.
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