BELARUS NEWS AND ANALYSIS

DATE:

04/01/2007

Transneft has no idea about Belarus introducing export duty on Russianoil

MOSCOW/MINSK. Jan 4 (Interfax) - Transneft has not received any official documents from Minsk so far relating to the introduction of an export duty on Russian oil by Belarus, Vice President of Transneft oil transporting company Sergei Grigoryev said on Ekho Moskvy radio on Thursday.

Meanwhile, the Belarussian oil transporter Gomeltransneft Druzhba was conducting Russian oil transit on a full scale on Thursday, its chief engineer Alexander Bordovsky told Interfax.

"We continue to pump Russian oil. So far there have been no hindrances," he said adding that the company had not received any instructions about changes in oil transit terms.

On Wednesday Belarussian Prime Minister Sergei Sidorsky announced that his Cabinet had imposed a customs duty on oil transported through oil pipelines owned by Belarus as of January 1.

"This customs duty is calculable, and it will amount to $45 per 1 tonne of oil in January," Sidorsky said.

"The government instructed the Economy Ministry and the State Customs Committee to notify the Russian Economic Development and Trade Ministry and the Transneft company about this," he said.

Reports from Minsk say that under Cabinet resolution #1791 the duty is to be paid by Transneft "that delivers oil for transportation across the territory of the republic along oil mains."

The size of the duty depends on the oil transit volume. The duty shall be calculated and paid before the transit, the resolution says.

It says that the payer shall be responsible under Belarussian tax legislation for improper fulfillment of the obligation to pay the duty.

Meanwhile, the Belarussian Economics Ministry has told the press that the authorities expect that the introduction of the oil transit duty will fully compensate for the additional costs related to the introduction of an export duty on oil deliveries to Belarus imposed by the Russian government.

Source:

http://www.interfax.com/3/228407/news.aspx