Transneft to postpone the capital repair program due to a slight tariff growth in 2016

Transneft, the tariff for which in 2016 was increased less than the company expected, will postpone the period of execution of its capital repair of pipelines program. The investment into the expansion of the ESPO will not change, Kommersant writes.

The first Vice-President, M. Grishanin, said that Transneft would cut the investment in the framework of the capital repair program in the coming 2  years but in general it would be executed until 2020.

According to him, the foundation of new objects, including the expansion of ESPO, will not be postponed.  By 2020 Transneft is to increase the capacity of ESPO from 58 to 80 mln tons of oil a year. Rosneft has signed contract for oil supply to China connected with this expansion.

The problems of Transneft are connected with the fact that a week ago FAS indexed its tariffs by 5.76% only, which is by about twice less than the company asked. A source of Kommersant familiar with the position of FAS said that this is the general regulation strategy and Transneft being not the poorest monopoly can’t be an exception.