August M
Pulling up to an empty fuel pump is a driver’s worst nightmare. For millions of motorists right now, finding enough petrol just to get to work has turned into a high-stakes daily gamble.
A massive supply crunch is gripping the roads, and the trouble is only starting to ripple outward,” reports The Moscow Times.
A deepening crunch
Drivers across dozens of regions face empty pumps and strict sales limits. The problem has spread rapidly, threatening to become the worst fuel crisis in modern history.
A primary cause stems from the sky. According to Kommersant, regular drone strikes have heavily damaged domestic refineries, and an industry source noted that boosting capacity this month will be “at best” a hope.
Data compiled by Energy Intelligence points to a severe industry contraction. Their findings show a 25 percent year-on-year drop in overall refining during June, while actual gasoline output fell by 17 percent. Refinery downtime has reached “extraordinary” proportions, analyst Liam Peach told the Associated Press.
Prices hit records
The sudden scarcity is driving costs through the roof. By late June, retail fuel prices jumped 20 percent over the year, marking a record spike since 2010.
“The most alarming aspect is that the crisis is just beginning,” notes Finam strategist Yaroslav Kabakov. He pointed out that demand peaks in late summer, yet shortages arrived much earlier.
At independent stations, a liter now costs up to 140 rubles. In Crimea, it hits 200 rubles. Macro-Advisory head Chris Weafer stated this happens at a critical moment “as harvest season begins,” endangering the economy.
Desperate global searches
Desperate measures include turning to international markets for waterborne fuel supplies. A report from Reuters revealed a fresh deal to ship 60,000 tons of Indian gasoline via sea routes.
Neighboring Kazakhstan is chipping in too, promising 50,000 tons under the guise of humanitarian assistance. Freedom Finance analyst Vladimir Chernov noted that summer consumption hovers around 110,000 tons daily, concluding that “this volume would be enough for about a couple of days of shortage.”
Rising public anger
Long lines at stations are stoking fury. With citizens already dealing with high inflation, political analyst Andrei Kolesnikov warned that these fuel issues could easily morph into a full-scale political problem.
“This is exacerbating a sense of fatigue, which is turning into irritation,” Kolesnikov said. He added that because people cannot change things, they simply complain about the authorities and the ongoing war.
Sources: The Moscow Times, Kommersant, Energy Intelligence, Associated Press, Reuters
