Russian President Vladimir Putin relaxed the foundations on gasoline subsidies to the nation’s refiners, permitting them to proceed receiving billions of rubles in help amid intensified Ukrainian assaults on the trade.
Refineries will stay eligible for subsidies even when market wholesale costs for diesel and gasoline considerably exceed threshold costs, in accordance with a presidential decree revealed on Sunday. The adjustments will keep in place from Oct. 1 till Might 1.
The subsidies are designed to encourage Russian oil producers to maintain supplying gasoline and diesel to the home market, even when export costs develop into extra engaging. Below present guidelines, the federal government is legally certain to pay the subsidy if the market wholesale worth of gasoline doesn’t exceed 10% of the edge worth, with the vary for diesel at 20%. Refineries gained’t obtain state funds after that stage.
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Russia paid 1.8 trillion rubles ($22 billion) in gasoline subsidies final yr, whereas funds over the primary 9 months of 2025 fell to 716 billion rubles. Since early August, Ukraine has intensified assaults on the Russian oil trade, with repeated strikes on refineries leading to a drop of crude-processing charges, exacerbating a gasoline crunch and resulting in rising home costs.
Final month Deputy Prime Minister Alexander Novak mentioned the fuel-price hike that triggers subsidies will probably be elevated by 10 proportion factors from September. The utmost allowed market-price hike could be raised to twenty% of the edge worth for gasoline and 30% for diesel.
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