FAS reduced oil transport tariff for China via Kazakhstan

Almaty. December 8. Silkroadnews – Russia’s Federal Anti-Monopoly Service (FAS) reduced transport tariff for oil to be delivered to China via Kazakhstan in 2018 by 16.7%, the Kazakh Telegraph Agency (KazTAG) reports with reference to TASS.
“The decision has been taken based on the forecasted level of inflation, the need to ensure the quality of oil in terms of the sulfur content transported to the refineries of the Russian Federation and exports, and aimed at equalizing the tariff loading of all consumers due to the changes in regular oil cargo flows,” the FAS press release says.
Earlier, the agency indexed the tariffs for Transneft’s services for oil transportation via the trunk pipelines system for 2018 by 4%, including 0.1% indexation of the rate for oil pumping in the direction of Kazakhstan. Transneft asked for 21% raise in its services tariff. The company’s officials said a 4% tariff increase could result in budget deficit totaling to 88 billion ruble and inability to pay dividends of 50% of net profit under the IFRS.