Putin asks govt to monitor coal industry situation, fine-tune support instruments

MOSCOW. Oct. 16 (Interfax) - Russian President Vladimir Putin has asked the government to monitor coal industry the situation.

"Like any market, it [the coal market] is cyclical, and coal producers are currently facing declining prices. In these conditions, we are supporting our companies and their employees, partly by restructuring loans. I ask the government to continue monitoring the situation and, together with businesses, fine-tune support instruments," Putin said at the plenary session of the Russian Energy Week.

The coal industry, for its part, must improve its own efficiency and competitiveness, he said.

Putin also asked the government to look into the use of advanced clean coal generation to meet the needs of digital infrastructure, data storage and processing centers.

The Russian government approved a set of measures to support the coal industry at the end of May. Among other things, they call for the approval of financial recovery plans for companies in the sector and restrictions on dividend payments. Companies will be provided with targeted subsidies to offset a portion of logistics costs for coal exports over long distances.

All coal companies will get a deferral on the mineral extraction tax and social security contributions until December 1. Companies with large debt burdens will be given the opportunity to restructure their debt. Siberian coal companies will be compensated for 12.8% of the rate for export shipments of coal by rail on the northwestern and southern routes.

The government said it would use a targeted approach when distributing the support to coal companies.

The Russian Energy Ministry is analyzing how effective support measures for the coal industry have been and will decide whether to extend them based on the results of the analysis, Deputy Energy Minister Dmitry Islamov told reporters on the sidelines of Russian Energy Week 2025 on Wednesday.