Russia’s state-owned Rosneftegaz, which holds the government’s stake in oil major Rosneft, has applied to the Economic Development Ministry with a proposal not to change a tax burden on the oil industry over the next three years.
This is not a proposal to suspend an oil tax maneuver. Rosneftegaz seeks that stabilization of the tax burden fixed in some legal act as a government ruling.
The ministry has not received such a letter, but favors stabilization of the tax burden, its representative said.
The tax maneuver encompassing a gradual reduction of the oil export duty and increase of the mineral extraction tax (MET) came into effect on January 1, 2015. But in 2016, the government revised the rule by freezing the oil export duty at 42% instead of reducing it to 36%.
In late August the Finance Ministry had prepared a draft order prolonging an increased rate of the MET on oil and gas, which was planned to be a one-time budget fix in 2016, for 2017. The measure can help the government to collect extra 170 billion rubles from gas giant Gazprom and 200 billion rubles from oil companies. (Prime/Business World Magazine)
