Putin Signs Bill to Halve Fuel Subsidies, Narrow Urals Discount

Russian President Vladimir Putin signed amendments to the tax code that will halve subsidies to the nation’s refineries, according to a document published on the legal database website.

• Subsidies for domestic supplies of diesel and gasoline would be cut by 50% from September through 2026
• Amendments also narrow the Urals crude discount to Brent to $20/bbl from September to calculate the mineral extraction tax and so-called profit-based tax
• READ, July 28: Russian Senators Back Plan to Cut Refiners’ Subsidies in Half
• READ, July 5: Russia Paid $6b in Subsidies to Refiners in January-June, Down 58%

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