OREANDA-NEWS. May 30, 2014. Majilis approved the draft law "On ratification of the Protocol amending the Agreement between the Government of the Republic of Kazakhstan and the Government of the Russian Federation on trade and economic cooperation in the field of oil and petroleum products in the Republic of Kazakhstan dated October 9, 2010" at the plenary session.

"As is known, the volume of petroleum products produced in refineries of Kazakhstan has not been enough to meet domestic demand fully in recent years. For this reason, every year we import petroleum products from Russia. Including gasoline - more than 1 million 300 thousand tons, jet fuel - more than 100 thousand tons, diesel fuel - from 400 thousand tons to 700 thousand tons," the Minister of Oil and Gas Uzakbai Karabalin said presenting the bill.

According to the Minister, the main objective of the Protocol is to complete the fulfillment of obligations of Kazakhstan for 2012-2013 on counter deliveries of oil to Russia, loading Pavlodar refinery with Russian oil, and uninterrupted supply of domestic market with high-octane gasoline and jet fuel produced in Russia in required quantities. Counter deliveries of oil to Russia for petroleum products delivered from 1 January 2014 in Kazakhstan is not carried out.

Under the Protocol, Kazakhstan will increase exports duties on light oil products and until December 31, 2014, and prohibit exports of light oil produced in Russia outside the territory of the Customs Union starting from January 1, 2014. Russian Federation will establish customs declaration of petroleum products delivered from Russia to Kazakhstan starting from January 1, 2014, and prohibit exports of dark petroleum products from the Russian Federation to the Republic of Kazakhstan. In addition, the Protocol extends the life of the Agreement before 1 January 2015.