Russian Energy Minister Alexander Novak discusses REW 2017 outcomes in interview with Business FM
Moscow, October 9. – During an interview with radio station Business FM on the sidelines of REW 2017, Minister of Energy of the Russian Federation Alexander Novak discussed the outcomes of the event and the agreements concluded there, as well as the prospects for global oil markets, the development of the gas sector, the future of the energy balance in Russia and globally over the next two decades, and cooperation with foreign partners.
On implementation of an agreement to limit oil extraction, the Minister noted that, for the first time in the history of OPEC, which spans several decades, the international cartel is fulfilling 100% of its obligations. “We have never seen such figures before. The level of fulfilment has usually been far lower, but today we are witnessing the OPEC countries fully meeting 100% of their obligations. Non-OPEC countries are also in compliance”, he said.
At the same time, the Russian Energy Minister noted that a breakdown of the nuclear deal forged between the USA and Iran could have an impact on oil markets.
“Everything will depend on what decisions are taken. Iran produces a huge amount of oil and supplies it to global markets. The country currently produces 3.8 million barrels per day. Let’s not forget that when sanctions were introduced, production volumes dropped significantly”, he said.
Commenting on how the collapse of the US–Iran nuclear deal might impact the agreement to limit oil extraction, the Minister expressed his belief that such a development would be unlikely to lead to agreements being broken.
“We already have an example of this with the situation in the Middle East regarding Qatar. Specifically, the Qatari Minister participated in Russian Energy Week, and among the things we discussed were issues concerning oil and cooperation in this area. Qatar is part of the agreement and is continuing to fulfil its obligations to reduce extraction. Nothing has changed in this case, so it’s my hope that we’ll be able to see the agreement through to the end”, he said.
Responding to a question about the development of alternative energy, the Minister noted that all participants in discussions on this subject at Russian Energy Week had agreed that renewable energy sources would continue to grow. At the same time, he expressed the opinion that, bearing in mind the abundance of cheap natural resources in Russia – oil, gas, and coal – solar and wind energy are presently less competitive than traditional energy sources in the country. “We try to strike a balance when making decisions about developing and supporting renewable energies, because we need to keep the needs of the consumer in mind”, Alexander Novak explained.
The website of the #BrighterTogether All-Russian Energy Conservation Festival has started collecting signatures to support a petition on the accelerated transition to energy efficient lighting.
Deputy Minister of Energy of the Russian Federation Anatoly Yanovsky will speak at the panel discussion ‘The Future of the Coal Industry amidst the New Climate Agenda’ as part of the Russian Energy Week Forum.
The winners of the Russian contest among the media, the press services of fuel and energy companies, and regional administrations MediaTEK 2017 will be awarded as part of the business programme of the Russian Energy Week international forum on 4–5 October 2017. The contest received roughly 400 works from 55 regions of Russia. The most active regions in terms of the number of applications were the Yamalo-Nenets Autonomous District, Krasnodar Territory, Leningrad Region, Krasnoyarsk Territory, Republic of Tatarstan, Khanty-Mansi Autonomous District, Kemerovo Region, St. Petersburg, and Moscow. The winner in the ‘Best Press Service’ nomination in the ‘National Fuel and Energy Sector Companies’ category was the company IDGC of the North Caucasus, while the winner in the ‘Regional Fuel and Energy Sector Companies’ category was Tatneft. Siberian Coal Energy Company took first place in the ‘Promotion of Fuel and Energy Sector Professions’ nomination among national companies, while the Kirov branch of T Plus along with the Kirov branch of IDGC of Centre and Volga Region – Kirovenergo took the top spot among regional companies. The contest’s Expert Council also established special prizes, which were awarded to 11 participants in the MediaTEK 2017 competition. The awards will be presented as part of REW 2017 by members of the MediaTEK Expert Council, which includes Russian Minister of Energy Alexander Novak, Deputy Head of the Administration of the Russian President and Press Secretary of the Russian President Dmitry Peskov, Dean of the Faculty of Communications, Media, and Design at the Higher School of Economics Andrey Bystritsky, Dean of the Faculty of Journalism at Lomonosov Moscow State University Yelena Vartanova, Interfax Information Agency First Deputy CEO Georgy Gulia, Russian Deputy Minister of Energy Anton Inyutsyn, Russia Today International Information Agency General Director Dmitry Kiselev, Eventica Communications General Director Sergey Kolushev, President of the Global Energy Association for the Development of International Energy Research and Projects Igor Lobovsky, TASS Information Agency General Director Sergey Mikhailov, and Kommersant Newspaper Editor-in-Chief Sergey Yakovlev.