Domestic market strategy
In the domestic market Gazprom pursues the primary goal of securing uninterrupted gas supplies to the country while maintaining the economic efficiency level of gas sales.
Natural gas produced by Gazprom Group and supplied to Russian consumers remains the only type of fuel with the state-regulated price. According to the decisions by the Russian Government, in the medium term domestic gas prices will gradually attain the level of equal profitability in the foreign and domestic markets.
Consumer demand will be fully met through exchange technologies in gas trading. Gazprom is currently engaged in arranging gas exchange trading in the domestic market.
Gazprom’s export strategy is based on the long-term contract system under the take-or-pay principle, with the contractual gas price pegged to the petroleum product price as the industry benchmark ensuring a foreseeable basis in planning a normal investment cycle.
Maintenance of the unified export channel is the underlying principle of the Company’s export strategy according to the Federal Law on Gas Export adopted in 2006. The legally formalized right for Gazprom Export to be the exclusive gas exporter is a supplementary legal guarantee of the Russian gas export security.
The Company also expands its business in deregulated markets dealing, inter alia, with spot and short-term trading in natural gas, oil, petroleum products, electricity and greenhouse gas emissions quotas. Moreover, Gazprom develops retail sales of natural gas.