Source Pravda.Ru

Gazprom Adopts New System of Operations in Russia

Gazprom chairman Alexei Miller yesterday signed a document which brings into effect a range of measures for coordinating the company's operations in Russia. According to the gas giant's press service, on January 1, 2004 Gazprom is planning to introduce 100% prepayment for gas in Russia's regions.

The new scheme will also mean that Gazprom's sales subsidiary, Mezhregiongaz (MRG), will cede the right to conclude agreements with regional gas companies for buying or selling gas to its parent company. MRG will also hand over to Gazprom its stakes in regional gas companies.

According to deputy chairman Alexander Ryazanov, the new system of operations is aimed at liberalizing the gas market in Russia. 'Instead of just one seller, there will now be several dozen sellers of gas in Russia,' said Ryazanov. 'This scheme will enable us to minimize delays, ensure that payments are made on time, and avoid accounting and billing problems in company's transactions with Gazprom.

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