BELARUS NEWS AND ANALYSIS

DATE:

06/02/2007

No word from Belarus on hike in oil transit tariffs - Russian minister

MOSCOW, February 6 (RIA Novosti) - Belarus has not officially notified Russia of a hike in tariffs for the transit of Russian crude across its territory, Russia's industry and energy minister said Tuesday.

Belarus announced February 5 it will increase rates for the transit of Russian crude through its domestic pipeline network by more than 30% on average starting February 15. The announcement came a month after an energy spat overshadowed previously warm relations between the two former Soviet allies.

"There have been media reports that Belarusian authorities have allegedly decided to increase tariffs on the transit of Russian oil via Belarus. We have received no official notification from Belarus on this issue so far," Viktor Khristenko told a news conference.

The minister said Belarusian energy companies rather than authorities should provide the relevant information, alluding to contracts binding the two countries' companies until 2020.

"Further work and discussions on this issue must involve the companies," he said.

Belarusian pipeline operator Gomeltransneft Druzhba said earlier it would raise tariffs by 35%, to $3.50 per metric ton of oil along the Unecha-Adamova Zastava route, and by 31.6%, to $1.50 for transit along the Unecha-Brody route.

As a result, the average oil transit tariff will be $0.60 per ton for every 100 kilometers (60 miles), which corresponds to Russia's domestic tariffs, the Belarusian economics ministry said.

The Druzhba (Friendship) pipeline extends for almost 2,000 kilometers (1,300 miles) across Belarusian territory and pumps on average up to 80 million tons (1.6 million bbl/d) of Russian oil per year to Germany, Poland and Ukraine.

Russia halted deliveries to Europe via the pipeline January 7, saying Belarus was illegally tapping oil following a tit-for-tat price and tariff dispute.

Belarus imposed a transit levy of $45 per metric ton of crude after Moscow doubled the price of natural gas and introduced a duty on oil supplies to Belarus as of January 1.

The interruption in supplies affected Germany, Poland, Hungary, the Czech Republic and Slovakia, and further damaged Russia's reputation as a core energy supplier to Europe following a similar energy row with Ukraine involving natural gas this time last year.

Russia agreed to resume supplies after receiving a Belarusian government resolution abolishing the transit levy on Europe-bound Russian oil.

The current transit tariffs were introduced in 1995 and have never been changed

Source:

http://en.rian.ru/russia/20070206/60310432.html