Kazakhstan expects deficits in liquefied gas in 2019 - the deputy
It will be caused by the fact that for the manufactures it is costly to supply gas to the internal market.
Deficits in liquefied gas is expected in Kazakhstan in 2019. It was said by Majilis deputy of the Parliament Baktykozha Izmukhambetov when presenting the draft amendments to the law "On gas and gas supply" at the plenary session of the chamber.
The reason to initiate the draft law was the situation in the market of liquefied oil gas of the Republic of Kazakhstan. The gas that is mostly consumed by the population and enterprises of the regions of the state that are not gasified with sales gas, as well as by vehicles," said Izmukhambetov.
He noted that in accordance with the law of gas and gas supply, in Kazakhstan the wholesale price for liquefied gas is being established, which is as of today is 38 437 tenge per ton excluding VAT.
This price is considerably lower compared not only to expert ones, but also wholesale process in the cross-border countries, which stimulates its illegal export from Kazakhstan. At the same time, retail prices for liquefied gas are considerably lower than wholesale prices in our country, and are slightly lower than in the neighbouring countries. Thus, our plants work at their loss when supplying gas to the internal market," said Izmukhambetov.
According to him, only in 2017, the revenue of the Kazakhstan manufactures of liquefied gas was more than 38 billion tenge. At the same time, the main revenue was mediators from the plant to the consumer.
It is completely costly for the plants to supply liquefied gas to the internal market under such conditions, as well as to increase volumes of its production. The conditions are complicated by the fact that over the last four years, there was a two-time growth in demand for liquified gas. Today, almost 72% of gas produced in Kazakhstan is supplied to the internal market. If the tendency remains, deficits in liquefied gas will occur in 2019," said Izmukhambetov.
The draft amendments to the law "On gas and gas supply" was passed by the Majilis deputies in the first reading.
Source: BNews.kz
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