Main page > Products > The fuel and energy complex of Russia - Series of analytical reports > New Configuration of Political Power and the Oil and Gas Industry Management System

New Configuration of Political Power and the Oil and Gas Industry Management System

New Configuration of Political Power and the Oil and Gas Industry Management System

In spite that Vladimir Putin actually remains the nation’s leader, the system of government decision-making undergoes serious changes. This also affects the oil and gas industry. The importance of the government soars, there appear deputy prime ministers with new functions vested in them, and ministries gain greater influence. This is a different governance concept, for the government and its individual departments have in recent years been rendered less important in their role, with the centre of decision-making shifted to state-run corporations.

What will the new oil and gas sector management system be like? How will structural and staff changes in relevant government departments affect operations in the industry? The answers to these and other questions are given in the new Report of the National Energy Security Fund.

It dwells on the following subjects:

  • Division of powers in energy sector management between Mr Putin and Mr Medvedev

    • Mr Putin retains his status as the «number one oil and gas figure»
  • Putin’s new checks and balances in energy

    • Mixing of elite clans in the boards of directors of state-run companies and executive agencies
  • New system of state control over oil and gas

    • Overall configuration of the allocation of powers relating to control over the industry between the new government departments
    • New deputy prime ministers, ministers and their «favourite» companies in the sector
    • New lobbying chains and opportunities
    • New government commissions on oil and gas sector development and their true weight and powers
  • Relations between the government and oil and gas companies under Mr Putin as Prime Minister

    • The government as a system of control over state companies
    • Key problems of sector development and mechanisms to solve them
    • Fight between Gazprom and Rosneft and administrative support for their interests
  • Medium-term forecast of developments

The contents of the report:

Introduction2
Chapter 1. Putin as the Principal Supervisor of the Energy Sector 3
Chapter 2. Putin’s «Puff Pastry» of Bureaucrats: Byzantine Tangle of Elites. New Composition of the Government and Multilayer Control of Energy 10
Chapter 3. Main Lines of Conflicts over the Development of the Industry in the New Cabinet 23
3.1. Oil Export Problem: ESPO vs. BPS-223
3.2. «Security Officers» versus «Lawyers»: Share-out of Assets between Rosneft and Gazprom 26
3.3. «Lawyers» versus «Exporters»: Fight for Gazprom Divestment 31
Conclusion. Putin’s two main energy objectives 33
Date of issueJune 9, 2008

If you are interested to obtain please contact » Elena Kim

Other issues:
Bookmark and Share

Analytical series “The Fuel and Energy Complex of Russia”:

New OPEC+ Deal and Future of Oil Business in Russia
Gazprom on the background of external and internal challenges
Regulation of Oil and Gas Sector in 2019 and Prospects for 2020
Fiscal Policy on Oil and Gas Sector: Revised as Often as Wikipedia
The tax system in the oil and gas sector continues to undergo radical changes. The beginning of 2019 saw the introduction of a new tax regime: additional income tax. That experiment was supposed to start migration of the oil industry to an innovative principle of taxation: on profit, not revenue. It seemed that a new main road was found. In the same year, however, the Finance Ministry launched an overt offensive against AIT. The fear of loss of government revenue now is more powerful than the threat of causing oil production to collapse in the medium term because of a tax system that does not stimulate investment. The Finance Ministry would strongly prefer to speed up the tax manoeuvre completion that earns the state budget additional money. Oil and gas companies respond to this with individual lobbying, attempting to wangle special treatment for their projects.
Ukrainian Gas Hub: Climax at Hand
The “zero hour” comes in less than a month: the contracts for gas transit through Ukraine and for supplying Russian gas to the country terminate at 10 am on 1 January. Meanwhile, Gazprom and Naftogaz are very far from looking for a mutually acceptable solution. The entire European gas business is watching intently the negotiations between Russia and Ukraine. Everyone is waiting for a new “gas war”: the January 2009 events proved to be a serious test both to European consumers and to Gazprom as a supplier. Is there still a chance of agreement? If there is not, will Gazprom cope with its obligations to deliver gas to Europe? Is Russia bluffing as it assures that the new infrastructure and gas in underground storage facilities will enable it to get by without Ukrainian transit even as soon as this winter? What will happen to Ukraine itself at the beginning of 2020?

All reports for: 2015 , 14 , 13 , 12 , 11 , 10 , 09 , 08 , 07

Rambler's Top100
About us | Products | Comments | Services | Books | Conferences | Our clients | Price list | Site map | Contacts
Consulting services, political risks assessment on the Fuel & Energy Industry, concern of pilitical and economic Elite within the Oil-and-Gas sector.
National Energy Security Fund © 2007

LiveInternet