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Less Stick, More Carrot for Some? Russia Reconsiders Across-the-Board Hike of Associated Gas Flaring Fines

By John C. Webb

Published: 3/13/2012

Key players in the Russian government are debating possible refinements to steeper penalties this year for flaring of associated petroleum gas (above the level of 5% of extraction), in the interest of minimizing the negative impact on oil production. In contrast to the original plan for a one-size-fits-all system of higher fines, the more nuanced approach currently under consideration would make more allowance for the different field-level challenges confronting Russian oil companies.

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