Page 104 - RusRPTNov22

How big of a difference this switch might make in numbers: If Gazprom sells its gas at $1,000/mcm and exports 80bcm next year to Turkey+Europe, then the savings would be ($1,000-$300)*(50%-30%)*80=$11.2bn or cRb720bn at today’s exchange rate. Thus, the new flat tax idea is the rough equivalent of the increased export duty, although obviously that will depend upon the prevailing export price of the day (as we expect gas prices to fall substantially from today’s extreme levels by 2025, this variant will likely end up being somewhat more expensive to Gazprom while delivering more predictable revenues flows to the government).
Azerbaijan will increase gas exports to Europe by 40%.Azerbaijani gas supplies to Europe will increase by 40% to 11.5bn cubic metres this year, the country's president, Ilham Aliyev, said. According to Aliyev, the country will export 22bn cubic metres of gas in 2022, of which 11.5bn cubic metres will go to Europe. In comparison, in 2021, Azerbaijan supplied Europe with 8.2bn cubic metres. Aliyev also said that following the establishment of new agreements with the EU, Azerbaijan plans to at least double gas exports to Europe by 2027. To this end, Baku has already begun consulting with partners regarding the expansion of the Trans-Anatolian Pipeline (TANAP) to 32bn cubic metres of gas per year and the Trans-Adriatic Pipeline (TAP) to 20bn cubic metres of gas per year.
Russia’s state-controlled Gazprom PJSC suspended natural gas deliveries to Italy in October , escalating the energy crisis in Europe. Gazprom supplies Italy with gas through a pipeline that passes through Austria. The cutoff appeared to target just Italy, with Austria continuing to receive gas. Higher volumes of Russian gas were allocated to OMV than had been recently, said Andreas Rinofner, a spokesman for OMV, which imports Russian gas to Austria,
Germany received no Russian gas at all for the first time in more than 50 years, since it was connected to the Russian gas pipeline network in the 1970s.
104 RUSSIA Country Report November 2022 www.intellinews.com