Russian oil companies obliged to sell more fuel at exchange auctions

Russian Prime Minister Mikhail Mishustin has signed a decree according to which oil companies should sell more fuel at exchange auctions, Report informs, citing the website of the Russian government.

"Oil companies will have to sell more fuel at exchange auctions. The decision is aimed at maintaining a stable situation in the domestic gasoline and diesel market in the conditions of seasonal increase in demand," the statement reads.

It is noted that the changes relate to motor gasoline and diesel fuel. The minimum share of gasoline sales on the stock exchange has been increased from the current 11% to 12% of the total production volume. For diesel, from 7.5% to 8.5%.

Also, the sale of part of the fuel produced by Russian oil companies on the stock exchange allows independent gas stations to buy it at market prices. This approach reduces the risks of monopoly pricing since many dominant players in the fuel market have their own network of filling stations.

"The new government decree will increase the guaranteed volume of fuel supply at exchange trading and increase the share of transactions that are concluded on competitive terms," the message added.