Industry and Energy

Home page

Industry and Energy

Russia terminates transit of Azeri oil - UPDATED

Russia terminates transit of Azeri oil - <span style="color: red;">UPDATED

14 May 2013 14:05 (UTC +04:00)

The decision was signed by Russia’s Prime Minister Dmitry Medvedev on May and published today.

Besides, the Ministry of Foreign Affairs of Russia has been tasked to inform the Azerbaijani side in this regard.

Remind that, Azerbaijani oil was transported via the Baku-Novorossiysk pipeline.

APA reports citing Ä°TAR TASS agency that representative of Russia’s Transneft company Igor Dyomin said that, in the past 5 years official Baku did not fulfill terms of the intergovernmental agreement, signed between Russia and Azerbaijan, on Transit of Azerbaijani oil through Russian territory and transported oil 2 times less than the number considered in the document.

To him, according to terms of the agreement, though Azerbaijan should transport 5 mln tonnes of oil per year, in fact the country transported 2 mln tonnes: ‘The incomes from transit did not meet the expenses for maintenance of Transneft oil pipeline in a required technological situation. At the same time, Transneft could not change the parameters of tariffs, considered in the agreement. Because the tariff parameters were determined under the intergovernmental agreement. From next year, Transneft company will transport Azerbaijani oil on the basis of commercial contract.

SOCAR told APA-Economics that the company is unaware of the matter.