Template-Type: ReDIF-Paper 1.0
Author-Name:Idrisov Georgy
Author-Name-First: Georgy 
Author-Name-Last:Idrisov 
Author-Workplace-Name: Gaidar Institute for Economic Policy 
Author-Name:Gordeev Dmitry
Author-Name-First: Dmitry 
Author-Name-Last:Gordeev 
Author-Workplace-Name: Gaidar Institute for Economic Policy 
Title: Theoretical and Practical Aspects of Natural Gas Pricing in Domestic and Foreign Markets: The Case of Russia
Abstract: The paper analyzes the need to change the approaches to Russia’s natural gas pricing in domestic and foreign markets. The authors conclude that changes are inevitable in the medium term because existing pricing practices are becoming obsolete in the rapidly transforming gas market. The development of the gas industry is severely hampered by inefficient domestic consumption due to distorted price incentives, lack of competition in the domestic market and the pegging of export gas prices to the oil product basket. The paper discusses possible development options for Russia’s gas industry and their potential macroeconomic effects. 
Classification-JEL: D24, D40, D60, E20
Keywords:  natural gas, pricing, cross subsidization
Creation-Date: 2017
Revision-Date:2017
Length: 32 pages
File-URL: https://www.iep.ru/files/RePEc/gai/wpaper/wpaper-2017-274.pdf
File-Format: application/pdf
File-Function: Revised version, 2017
Handle: RePEc:gai:wpaper:wpaper-2017-274