Russian Government Commission Gives Green Light to LNG Export Liberalization

The Russian government’s legislative commission has approved a bill to liberalize of liquefied natural gas (LNG) exports, according to a statement released on the government’s web site on October 29, Prime has reported.

The bill assigns the right to export LNG to those companies whose license was included in the construction of LNG plants as of January 1.

The bill enables the companies, in which the government owns more than 50% and which work on seas and the continental shelf, to also export LNG.

At present, gas giant Gazprom enjoys a monopoly on LNG exports, while state-controlled oil company Rosneft and independent gas producer Novatek, are seeking to contest the unequal position.

To become law, the bill now must be approved by the State Duma, the parliament’s lower house, in three readings, as well as by the Federation Council – the parliament’s upper house – in one reading before being signed into law by the president.

Copyright: Prime, 2013