Russian Energy Ministry prepares recommendations on recording oil, oil products
MOSCOW. Nov 21 (Interfax) - The Russian Energy Ministry has prepared temporary recommendations for oil companies to record oil and petroleum products.
The text of the recommendation is published on the ministry's website.
The document contains recommendations for organizing oil production records and for carrying out accounting operations for leading oil producers in Russia and its shelf, independent of their organizational-legal form and ownership form.
The ministry proposes maintaining records-keeping for oil for the compilation of an administrative balance sheet, submitting information to agencies of government authority, assessing companies' activities and implementing operational control and management of technological processes in oil production.
The authorities recommend accounting for produced oil, oil taken from third parties and transferred to third parties, oil consumed after the receipt of broad fraction of light hydrocarbons, oil consumed during petroleum product production, oil used on technological needs and fuel, and oil residues and lost oil.
The recommendation contains mathematical formulas for calculating the mass of produced oil consumed during the production of broad fraction of light hydrocarbons and petroleum products, the inclusion of its residues, losses and expenditures on internal needs. In addition, the recommendation provides formulas for taking into account oil used during transport on railways and tank cars, shipments in tankers, its storage in reservoirs, etc.
The document recommends that oil records be kept on a daily basis, and that oil records entitled to government regulation be kept on a monthly basis.
The Russian government earlier introduced to the State Duma draft legislation "On a state informational system for the fuel-energy complex" prepared by the Energy Ministry. The document provides for the creation of legal and organizational bases for submitting information on energy complex activities, in particular a state system of accounting and control for production and movement of oil and petroleum products (the Neftecontrol system).
The system facilitates an increase in the transparency of the oil market, the elimination from the market of unscrupulous producers and suppliers, and a reduction in the illegal circulation of petroleum products and budget loss.
