RusEnergy

Russian oil & gas industry news...

 Gasprom   RusEnergy   World   Pipeliners  Zee Beam 








Thursday, October 05, 2006

Oilmen Prevented from Paying in Advance

Oct. 04, 2006 Kommersant - Russia’s Supreme Arbitration Court ruled yesterday against advance payment of export duties on oil product at lower rates. As even that ruling of the Arbitration won’t suffice to clarify all issues related to the export duties, the judgers suggested making respective amendments to the Customs Code of Russia. On Tuesday, the Presidium of Supreme Arbitration Court refused to uphold Tyumen Oil Co. (TNK, part of TNK-BP now), which had attempted to pay export duty on black oil in advance at rate, which amount had been lower than the rate existing in time of deliveries. The significance of this ruling of Supreme Arbitration is hard to overestimate. Indeed, it has established a precedent and cleared the conflict of laws related to export duties. Under the Customs Code, an exporter of oil product that uses railway or sea transport for deliveries may settle the duties half a month before the actual shipment. But in time of deliveries, the duties on crude oil/oil product could be higher than they used to be when the payment was made. On August 17, 2004, the Orsk Customs refused to accept from TNK a declaration and settlement of duties for September deliveries. The government’s ruling duly promulgated on August 3 hiked the rates from $37.5/ton to $45.4/ton from September 3, while TNK was willing to pay at rates in force in August, i.e. in time of submitting the declaration. TNK went to the law to recalculate the duties in view of the lower rates and to claim 8 million rubles in damages from the customs, but wasn’t upheld first by the Urals court and finally by the Supreme Arbitration Presidium.

Contact me:  

This page is powered by Blogger. Isn't yours?