22 Nov 2023 12:19

Novak: Diesel export ban to be lifted soon, decision will be made on sale of fuel via futures

MOSCOW. Nov 22 (Interfax) - A decision will be made in the near future to lift the ban on the export of diesel fuel, Russian Deputy Prime Minister Alexander Novak said during government hour in the Federation Council.

He recalled that this year a decision was made that had never been made before, namely to ban the export of gasoline and diesel fuel. As the domestic market became saturated, the ban on gasoline exports was lifted.

"In the near future, I think, a decision will be made to lift the ban on the export of diesel fuel," Novak said.

As for the development of exchange trading in fuel, he noted an increase in exchange standards for sales of petroleum products, as well as the introduction of new exchange measures and instruments, which allow for increases in liquidity and trading volumes. Work is also underway to simplify fuel delivery, namely with Russian Railways to provide a simplified delivery system from base points. Work is also ongoing to eliminate the possibility of market manipulation, since "exchange trading is electronic in nature."

"An important direction is the development of the derivatives market. At the moment, we are considering the possibility of selling some of the volumes that are sold on the exchange through futures contracts. I think these decisions should be made in the near future," Novak said.