- G7's price cap on Russian oil exports forces Kremlin to raise tax burden on producers.
- The tax change is expected to undercut the future production capacity of the Russian oil and gas industry.
- Russian oil and gas tax revenue fell by 45% YoY in Q1 2023.
- Russia's tax change will sacrifice the industry's ability to invest in the long term.
- Russian oil production fell to 10.4mn b/d last month.
Financial Times — World — Russian oil tax — European Companies — War In Ukraine — Oil & Gas Industry
Russia’s energy sector hit as Kremlin forced to increase tax
The G7-led price cap on Russian oil exports has forced the Kremlin to raise the tax burden on producers, undercutting the future production capacity of the Russian oil and gas industry.