OIL AND GAS REVENUES IN THE FEDERAL BUDGET IN WESTERN SANCTIONS CONDITIONS

Abstract

Despite the recent upward trend in decreasing oil and gas revenues in the federal budget, their share remains significant. The global energy market faces dramatic changes, with the United States of America and the European Union declaring a total economic war on Russia in order to reduce Russia’s influence on the European gas market, as well as the European Union announcing an embargo on Russian gas. Gas deliveries to European Union countries were halted due to sabotage on gas pipelines and Ukraine’s refusal to receive gas through the stations of the Luhansk People’s Republic, which became part of Russia. The European Union and the United States of America are attempting to set a price ceiling for Russian gas and oil in order to stop the rise in energy prices caused by ongoing demand for them. At the current moment, the European Union has set a price ceiling for Russian oil at $60 per barrel. The aim of the study is to examine the dynamics of changes in oil and gas revenues in the federal budget since 2010, as well as the impact of the current global energy market situation. The article analyzes types of the budget revenues based on price and quantity. According to the study, despite a decrease in energy supplies, budget revenues are increasing due to a price increase caused by Western sanctions.