Gazprom strengthens its position against competitors in Russia

The idea to reform ​​the Russian natural gas market, for which independent producers called for years, gas begun to be realized. As follows from the report of the Presidential Commission on Fuel and Energy Sector, the Government must propose a mechanism of guaranteeing supplier, which will have to satisfy all the needs of consumers in a particular region, by summer. Today only Gazprom has such commitments. The new approach will lead to higher costs of Novatek and Rosneft, but can suit them if Gazprom will give competitors really equal access to pipeline and storage facilities. In this case, the domestic market will be oligopolistically split, which will reduce the costs of the companies.

By June 1, the Government must "study the issue of increasing the responsibility of natural gas suppliers in the regions of Russia, including through consolidation of commitment to ensure the supply during peak periods in contracts," the report of the Presidential Commission on the Fuel and Energy Sector, which met in October last year, says. It also states that "equal economic conditions for all suppliers on the gas market" should be created, including on the access to gas pipelines and underground storage facilities, and "fair tariff" for these services. As the source of the Kommersant explained, it is a mechanism of guaranteeing supplier on the gas market, about which the Energy Minister Alexander Novak said in an interview to the Kommersant on December 22, 2015.