Putin promises tax thaw for oil companies

13 Jul, 2008 07:36 / Updated 16 years ago

The Russian government is pushing for reform of energy infrastructure to help bring down fuel prices.

Prime Minister Vladimir Putin says taxes should be cut and independent producers must have more support. Independent companies currently account for just 5 per cent of the Russian market, with the remaining share divided between nine large companies. The government is also considering building an independent refinery, which would offer much-needed facilities for small producers. Prime Minister Putin said: “It is necessary to build new refineries including refineries that are independent from large oil producers. We have passed a series of measures to the Federation Council which will guarantee a reduction in the tax burden for oil companies.”