BELARUS NEWS AND ANALYSIS

DATE:

10/01/2007

Belarus scraps tax on Russian transit oil

The government of Belarus has decided on Wednesday to cancel a tax on Russian oil shipments transiting its territory, Prime Minister Sergei Sidorsky announced, removing a major hurdle in a row with Moscow that led to a cut of oil supplies to Europe.

"The government, taking into consideration bilateral agreements with the Russian government, has taken the decision ... to cancel the state duty for the transit of oil along the state pipeline network," the Associated Press cited Sidorsky as saying after a meeting of government ministers.

In Moscow, there was no immediate response to the announcement.

Earlier in the day Belarusian President's official website said Alexander Lukashenko had a "long telephone talk" with his Russian counterpart Vladimir Putin, adding that a "compromise has been reached" that would make it possible to "break the deadlock situation concerning, among other things, the transit of Russian oil to the countries of Europe via the territory of Belarus".

2007.01.10 16:29

Russia, Belarus to resolve oil gridlock Friday

As of 1 January, Belarus slapped a tax of USD 45 per tonne on Russian oil shipments in response to a Russian decision last month to impose a customs duty on oil exports to Belarus.

On Monday, Russia stopped pumping crude to Europe via the Druzhba, or Friendship, pipeline that crosses Belarus, accusing its neighbor of siphoning off oil.

EU leaders have slammed Russia for shutting down the oil pipeline.

By Tuesday, the stoppage had affected supplies to Ukraine, Germany, Poland, Hungary, the Czech Republic and Slovakia, forcing those countries to tap emergecy stockpiles and renewing concern about dependency on Russian energy.

2007.01.10 09:16

Hungary taps oil reserves as crude pumps remain idle in Russia-Belarus row

Source:

http://www.portfolio.hu/en/cikkek.tdp?cCheck=1&k=2&i=10701