MOSCOW, July 25 - The head of Russian gas export monopoly Gazprom (GAZP.MM) on Saturday told Prime Minister Vladimir Putin he opposed a proposed hike in the gas extraction tax, suggesting instead the introduction of import tariffs.
Russia faces at least three years of budget deficits, and is seeking extra sources of revenues to replenish state coffers drained by the country's first recession in a decade.
The Finance Ministry said on Friday a hike in the gas export tariff could bring in an extra 53 billion roubles ($1.71 billion), while increasing the gas extraction tax would add another 7 billion roubles. [ID:nLO692637].
"I do not think these proposals are justified at the current time," Gazprom Chief Executive Alexei Miller told Putin, according to a transcript published on the government website.
"I think it advisable to look into the question of introducing an import tariff for Gazprom's gas purchases abroad. That could be a source of extra income for the federal budget."
Putin replied that import tariffs were "not just an economic question." "We will return to this later," he said.
As the world faces its deepest crisis since the great depression, some countries have been increasingly looking to protectionist measures as a way to help domestic economies.
The meeting comes a day after Putin met Russia's steel barons and pledged to help the sector by stimulating demand and steps to offset protectionism in other countries. [ID:nLO167056]
Miller said that for its part, Gazprom already buys 90 percent of its pipes from Russian producers.
Shares in Russian gas producers sold off sharply last month when the Finance Ministry unveiled plans to increase the tax burden on the sector. [ID:nLH866399]
Russia faces at least three years of budget deficits, and is seeking extra sources of revenues to replenish state coffers drained by the country's first recession in a decade.
The Finance Ministry said on Friday a hike in the gas export tariff could bring in an extra 53 billion roubles ($1.71 billion), while increasing the gas extraction tax would add another 7 billion roubles. [ID:nLO692637].
"I do not think these proposals are justified at the current time," Gazprom Chief Executive Alexei Miller told Putin, according to a transcript published on the government website.
"I think it advisable to look into the question of introducing an import tariff for Gazprom's gas purchases abroad. That could be a source of extra income for the federal budget."
Putin replied that import tariffs were "not just an economic question." "We will return to this later," he said.
As the world faces its deepest crisis since the great depression, some countries have been increasingly looking to protectionist measures as a way to help domestic economies.
The meeting comes a day after Putin met Russia's steel barons and pledged to help the sector by stimulating demand and steps to offset protectionism in other countries. [ID:nLO167056]
Miller said that for its part, Gazprom already buys 90 percent of its pipes from Russian producers.
Shares in Russian gas producers sold off sharply last month when the Finance Ministry unveiled plans to increase the tax burden on the sector. [ID:nLH866399]
