The failed attempt to freeze Europe, which deprived Russia of a key natural gas sales market, has collapsed gas revenues in the Russian budget, say analysts from the Russian Gaidar Institute.
According to the first quarter’s results, only ₽114B ($1.22B) in gas export duties were delivered to the treasury. In annual terms, revenues from gas exports fell by 17%, or ₽24B ($256.8M), and if compared with the same period in 2022, they fell by 77%.
In general, the declining gas sales to European customers deprived the Russian Federation of 1.9% of ’its GDP. Russia’s export revenues from gas approached the lowest value for six years.
In turn, Naftogaz of Ukraine said that Russian gas is still arriving in Europe through Ukraine, but its volume is less than 5% of the total volume of supplies to the EU. Ukraine will not renew its transit contract, so countries like Austria and Slovakia must look for alternatives.