Moscow Gas Stations Reimpose Fuel Limits as ‘Second Wave’ of Shortages Hits Russia

Key Points:

• Fuel purchase restrictions are being reintroduced in parts of Russia, including Moscow, due to ongoing shortages caused by Ukrainian drone strikes on oil refineries and storage facilities.
• Gazprom Neft and Tatneft have imposed limits on gasoline and diesel purchases, with Gazprom Neft capping regular gasoline at 60 liters per customer and Tatneft limiting sales to 50 liters of gasoline and 60 liters of diesel per vehicle.
• Despite government claims of partial market stabilization, fuel shortages persist in regions such as Siberia, the Far East, and annexed Crimea, prompting the extension of a temporary export ban on gasoline and diesel through early next year.
• Ukrainian forces continue to target Russian oil infrastructure, with recent drone attacks causing significant damage and repair delays, exacerbating supply challenges.
• Gasoline prices in Russia surged nearly 20% since the start of 2023 but have slightly decreased recently; however, long queues at gas stations remain common as logistics issues continue to affect fuel availability.