Russian Govt: Responsible No More For Gas Prices

The Federal Energy Agency said yesterday the moratorium on increasing fuel retail prices will not be extended in 2006, Kommersant business daily reported.

The authorities believe that growing gasoline prices can be kept back by changes in taxation on the energy industry, the state oil reserves and the demonopolization of regional oil markets.

The head of the energy agency Sergey Oganesyan confirmed yesterday that gasoline prices did now grow in October-November as they were frozen following an agreement between the Russian government and oil companies. However, it did not take oil companies much effort to curb the prices thanks to a recent downward trend in world oil prices, which led to a drop in wholesale prices.