Ministry of Energy of Kazakhstan ready to deregulate diesel fuel market

"We come out with this initiative to conduct deregulation of diesel fuel. In our opinion, there a lot of factors that promote to it: first of all, there is a big difference with our neighboring countries, with the Russian Federation, where currently the price is about 185 tenge per liter, in comparison with 99 tenge in Kazakhstan. In the Kyrgyz Republic it costs about 160 tenge per liter," he said.

According to Deputy Minister, respectively, due to a great consumption growth of diesel fuel in the border regions of Kazakhstan, lots of transit traffic prefer to fuel up in Kazakhstan.

"Now we have about 200 thousand tonnes in Kazakhstan, and this is much more than last year. However, today the harvesting campaign starts, in accordance with the agreement with the Ministry of Agriculture we allocate about 391 thousand tons of diesel fuel for the harvest at a price which was during the spring field work, the shipment goes smoothly, in border areas there will be a lot of tension, and in order to resolve these issues, we think that it is necessary to deregulate diesel fuel, " he explained.

Therefore, the Ministry of Energy is ready to cancel the price regulation for diesel fuel in order to avoid shortage in the country. Due to low prices for diesel fuel in the country, a great amount of diesel fuel flows to Russia and Kyrgyzstan. There the diesel fuel cost is almost twice cheaper.