MOSCOW: Russia could increase its petrol export twofold in coming years due to a surge in the country’s refining capacity and a decline in domestic consumption, considers Reuters. The production of high-octane petrol totalled to 38,3 million tonnes last year, with almost 35 million tonnes sold in the local market. Thus, the export volume amounted to 3,35 million tonnes, which was higher by more than 15% compared to the previous year. According to Reuters calculations, Russia’s high-octane petrol production capacity will add 3,95 million tonnes by the end of 2017 and exceed 50 million tonnes.
At the same time, Russia’s domestic demand for petrol contracted by 1,3% in 2015. This decline, which has been the first since the early 2000s, is probably caused by a plunge in car sales. In 2017, the domestic demand for fuel can drop by almost 4%, considers Moscow-based Vygon Consulting. The experts estimate that annual petrol export can reach 9 million tonnes in 2017-2018. According to Ekaterina Grushevenko from SKOLKOVO Business School Energy Centre, Russia’s petrol output may rise to 43 million tonnes in 2018, while the export volume is likely to reach 7-8 million tonnes. ”There are two key reasons behind the rise in gasoline exports: decline in domestic demand for gasoline and an increase in fuel production in Russia,” said Grushevenko.
