Alexander Ananenkov, Acting Chairman of the Gazprom Management Committee has moderated a meeting in the Company’s Central Office on gas balance parameters till 2020 held on the threshold of a meeting of the Russian Government Commission for the Fuel and Energy Sector scheduled for this fall.

Attending the meeting were Andrey Kruglov, Deputy Chairman of the Gazprom Management Committee, Head of the Finance and Economics Department, Yaroslav Golko, Member of the Management Committee, Head of the Investment & Construction Department and heads of Gazprom Administration structural units.

Alexander Ananenkov emphasized that Gazprom was attaching great significance to the work on the gas balance which is an important part of the Russian fuel and energy balance.

The meeting addressed issues concerning the gas balance adjustments taking into consideration the evaluated gas sales potential in the internal and external markets, development prospects for gas production and transportation capacities, capabilities of Russian equipment and materials manufacturers, as well as construction sector capacities.

According to the meeting results respective structural units were tasked with providing Gazprom with proposals on long-term gas balance parameters for the Russian Government Commission for the Fuel and Energy Sector.

Reference:

Fuel and energy balance (FEB) is a system of indicators showing the availability and utilization of all kinds of energy resources in the national economy. The economy demand for fuel and energy resources is determined by the following key criteria: production of other kinds of energy, production and technological needs, other needs, export, gas storage and transportation losses. Fuel and energy resources include the produced fuel, electricity generated at hydro and nuclear power plants, import, etc. FEB indicators are calculated in tons of fuel equivalent.

Gas balance is a system of indicators describing natural gas resources, their distribution and utilization. Overall demand for gas embraces production, operational, and technological needs, export, gas injection into underground storage facilities, etc. The recourse part of the gas balance includes gas production, import, withdrawal from underground storage facilities, etc. Gas balance is calculated in terms of physical volume (cu m).

FEB is a major tool used for long-term planning of the development parameters attributed not only to the fuel and energy sector, but the country’s economy in general. In accordance with the Parliament Proceedings Guidelines of March 20, 2007 “On the Legislative Support for the Russian Federation Fuel and Energy Balance Streamlining”, FEB is the second most important document after the socioeconomic development forecast and a cornerstone within the Federal budget development process.

Gas balance is an integral part of FEB along with the production and consumption balances for other fuel and energy types. The share of gas in the Russian fuel and energy resources consumption pattern accounted for 42 per cent in 1991 and exceeded 51 per cent in 2006. Russia’s Energy Strategy till 2020 approved by the Government of the Russian Federation in 2003 sets the task to reduce of substantial reducing this share in order to enhance the national energy security.