The Russian parliament has approved tax changes to combat fuel shortages

The Russian parliament approved on Wednesday amendments to its Tax Code to?address?growing fuel shortages caused by Ukrainian drone attacks against oil refineries. Subsidies on fuel imports are also offered, based on Indian delivery prices and costs.

Fuel shortages in some regions of the country have led to fuel price hikes and long queues.

According to the website of the Parliament, one of the tax amendments permits the use of low-quality fuels in straight-run gasoline when blending it with other components.

This is an important law. The law is intended to?stabilise the situation on domestic markets and increase?the supply?of motor fuel through both domestic production and imported motor fuel," said Alexei Sazanov, deputy finance minister.

He said that saturating markets with motor fuel would lead to price stabilization.

Some refineries may delay certain equipment upgrades while still retaining some tax advantages.

Alexander Novak, the Deputy Premier of Russia, said that Russia had also considered a ban on diesel exports.

Russia has already prohibited the export of jet fuel and gasoline.

Industry sources reported that Russia's daily gasoline production was 90,000 metric tons last week, down by about 25% compared to the average of June 2025.

According to LSEG 'data and market sources', seaborne oil products exports were down 15% in the first six months of June compared with the first six months of May due to unplanned refinery maintenance following repeated drone attacks.

Four industry sources told Reuters last week that Russia would import fuel via sea in June to help manage its gasoline shortage. (Reporting and Editing by Emelia Matarise Sithole)

(source: Reuters)