Authorities Proposed Measures to Stabilize the Aviation Fuel Market

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Authorities Proposed Measures to Stabilize the Aviation Fuel Market
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Novak instructed to explore the possibility of allowing both Russian and imported jet fuel into airports amid rising prices and potential shortages. The Ministry of Transport assures that airports have sufficient reserves. Deputy Prime Minister Alexander Novak instructed the Ministry of Energy, Ministry of Transport, and Rosaviatsiya to examine the issue of Russian fuel supply complexes (TZKs) accepting JET A-1 jet fuel of both domestic and foreign origin. The corresponding proposals should include provisions for refueling aircraft with such fuel, as well as blending it with the widely used Russian grades RT and TS-1 in airport TZK storage tanks, according to two sources familiar with the contents of the directives, as told to RBC.

This refers to the most common type of jet fuel in international civil aviation. In Russia, TS-1 and RT remain the primary aviation fuel grades, while JET A-1 is considered the international industry standard and is used by most foreign airlines.

Additionally, according to sources, authorities are discussing the retention of a damping support mechanism for consumers of imported JET A-1 jet fuel. Novak instructed to explore the possibility of providing such compensations for using imported fuel in line with those for Russian-origin kerosene.

The jet fuel damping mechanism has been in effect for airlines since 2021. The state compensates them for 65% of the difference between the export price of the fuel and the annual threshold. In 2026, this threshold is set at 67,300 rubles per ton.


A separate set of directives concerns the logistics of imported jet fuel. The Deputy Prime Minister instructed to examine issues related to the acceptance of JET A-1 kerosene delivered by sea. This involves identifying unloading ports, terminals, discharge points, storage facilities, and subsequent transfer of fuel to rail transport.

Why the Need for Imported Fuel Emerged

Discussion of additional measures occurs against the backdrop of rising aviation fuel prices. Exchange data on jet fuel has not been published since May 13, when the fuel price stood at 82,750 rubles per ton. According to an RBC source in the oil industry, the St. Petersburg Exchange has recorded increased demand for aviation fuel: as of Monday, June 1, its price reached 110,000 rubles per ton, approximately 33% higher than the last publicly available value. The corresponding exchange index is currently not displayed on the trading platform's website.

The RBC source also reported that only 180 tons of aviation fuel were sold during the trading session on June 1. For comparison, for the entire year of 2025, the exchange sold about 1.674 million tons of jet fuel.

An RBC source at one of Russia's major airports says that in recent weeks, Rosaviatsiya has intensified monitoring of kerosene availability at TZKs, linked to a potential aviation fuel shortage. He attributes the kerosene shortfall to the increased frequency of Ukrainian drone attacks on Russian refineries since the beginning of May.

The Ministry of Transport, in turn, states that Russian airports are equipped with the necessary reserve of aviation fuel.

"Russian civil aviation continues to operate its transportation program as usual," an official representative told RBC. "Flights are operating on schedule. Several independent jet fuel producers are operating in the country, as well as alternative fuel supply companies in each region. The situation with energy supply to airports, including in the capital region, is traditionally under constant monitoring by the Ministry of Transport and the Ministry of Energy."

He recalled the temporary ban on the export of jet fuel from Russia, imposed by the government until November 30. "The goal is to ensure a stable situation on the domestic fuel market," the Ministry of Transport explained.

Sergei Tereshkin, CEO of the petroleum products marketplace Open Oil Market, believes that this case involves easing rules on aviation fuel imports, which will help mitigate the risks of shortage. This indirectly suggests that unscheduled repairs may have affected the output of light petroleum products in general and jet fuel in particular, although a more complete picture is only visible to regulators who have data on fuel output broken down by specific refineries.

The logic of the decision, in his words, fully meets market needs: in conditions of growing shortage risks, it is advisable to ease fuel import rules. However, much depends on the delivery distance, including from Turkey and China—the geographically closest countries producing aviation fuel. The expert also noted that the damping mechanism for jet fuel is paid not to refineries, but to airlines.

Following the US and Israeli attack on Iran and the blocking of the Strait of Hormuz, a jet fuel shortage emerged in several regions, and kerosene prices rose. Over two weeks from late April to early May, global airlines reduced the number of seats in May schedules by 2 million due to concerns about fuel availability in the coming weeks, the Financial Times reported.

When Russia Previously Imported Jet Fuel

The Russian aviation industry has previously faced the need to import jet fuel by sea from abroad. In late 2010, AeroFuelz, one of the country's largest TZK operators, supplied jet fuel by sea from South Korea to the Far East on its own tanker with a capacity of 2,500 tons. Even considering logistics costs and customs duties (then 5%), wing-tip prices made it possible to recoup the costs of delivering fuel from abroad.

At that time, problems with refueling aircraft in the region were triggered by high wholesale fuel prices at refineries, and fuel imports into the country began for the first time in ten years.

Aeroflot, on Monday, June 1, in its IFRS first-quarter reporting statement, separately described kerosene costs as "relatively stable" and added that they "did not have a significant impact on overall expense dynamics." The company believes that "the main challenges on this item are still ahead," but attributes this to rising fuel prices at foreign airports, "which will be reflected in the reports of subsequent periods." Aeroflot stated that aviation fuel costs in the first quarter remained "virtually at the level of the first quarter of 2025"—70.4 billion rubles, and the average cost per ton "decreased by 6.2%, while remaining high." "Fuel damping payments increased to the level of the first quarter of 2024 against the backdrop of rising export kerosene prices," the airline added.

RBC sent requests to the Ministry of Energy, Ministry of Transport, and Rosaviatsiya, the office of Deputy Prime Minister Novak, as well as to the press services of Aeroflot, S7, Ural Airlines, Azimuth, Azur Air, and UVT Aero.

Source: RBC

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