Investments in expensive and complex projects are needed in the gas sector

18 july 2014 | Russia - 24

Recently, the public raised questions about how tax reform will manifest itself in action, how will the so-called new gas tax on mineral resource extraction (MRET) affect the companies and the country's budget?

Alexander Kurdin
Alexander Kurdin
Department for Fuel and Energy Sector

The Head of the Department for Strategic Studies in Energy of the Analytical Center Alexander Kurdin, commented on the current situation during the “Energetika” TV show on the “Russia-24” TV channel.

“If the role of gas tax on mineral resource extraction would increase, it will begin to seriously affect the incentives of gas companies, - believes the expert. - And as the gas fields in traditional areas is being depleted, it is time to think about moving to more complex, difficult to access and expensive regions”. According Mr. Kurdin, the government will raise questions regarding the ways to stimulate companies to invest in expensive and difficult projects.