The "Euro-3" standard at gas stations (GS) will be available in the second half of August, closer to the end of the month, taking delivery times into account. Importantly, all gas stations must indicate the environmental class of the fuel at the point of sale.
Previously, the government issued a decree allowing the production, import, and trade of gasoline and diesel fuel meeting the "Euro-2", "Euro-3", and "Euro-4" environmental standards (classified in Russia as K2, K3, and K4) until July 1, 2027. Up until August 13 this year, there had been a ban on the circulation of fuels with a class lower than "Euro-5" in Russia since July 2016.
The government announcement emphasizes that this measure is temporary and aims to saturate the domestic market with necessary fuel volumes.Deputy Prime Minister Alexander Novak particularly highlighted that information about the fuel class should be presented at gas stations in a consumer-accessible format.
This easing of requirements is related to the reduced output of gasoline and diesel fuel due to unscheduled repairs at oil refineries (OR) following drone attacks. The production of "Euro-3" is technologically simpler, as it does not require installations used for producing low-sulfur and aromatic compound fuels. Therefore, even some affected oil refineries (if the halted equipment is indeed that which produces low-sulfur fuel) will be able to continue their output.
Additionally, repairs planned for late spring and the first half of summer at certain refineries have been postponed, and now their downtime may also affect market saturation. Refineries are complex enterprises and cannot operate effectively without periodic maintenance shutdowns. Allowing the production and trade of "Euro-3" will help maintain production volumes.
In an interview with "RG," Dmitry Gusev, Deputy Chairman of the Supervisory Board of the "Reliable Partner" Association and member of the Expert Council of the "Gas Stations of Russia" contest, explained that the lower the environmental class of gasoline, the greater the potential production volume. It is not about abandoning "Euro-5," but rather where supplies fall short, the use of lower environmental class fuel will be permitted, he clarified.
According to Sergey Tereshkin, General Director of Open Oil Market, as the import of fuel from Belarus has hit the ceiling of production capacities, and import from India is complicated due to high logistics costs, the easing of fuel property requirements becomes a primary means of mitigating risks of shortage in the domestic market.
The majority of "Euro-3" fuel production will likely come from small refineries with low processing depth (there are about 20 such refineries in Russia with a total processing capacity of 12 million tons per year), believes Sergey Frolov, Managing Partner at NEFT Research. However, the government has not disclosed an official list of refineries permitted to supply this fuel. It is unlikely that it will be found at gas stations of major oil companies. Nevertheless, petroleum products at gas stations must be labeled, and consumers should be warned that they are purchasing fuel below the "Euro-5" class.
On the other hand, as previously mentioned, the production of "Euro-3" is technologically simpler, which reduces the cost of production and thus results in a lower price. This will not only help keep domestic prices in check but will also make the importation of "Euro-3" to Russia more advantageous than that of "Euro-5". However, as Gusev noted, it will be significantly harder for importers to secure available volumes of "Euro-3" compared to "Euro-5".
This is not about abandoning "Euro-5," but rather compensating for the shortfall in fuel volumes in the market with "Euro-3."There remains a need to address the impact of "Euro-3" on the environment and on vehicle health. Regarding the former, Tereshkin explains that the maximum sulfur content in "Euro-5" gasoline is 10 mg per kg of fuel, while in "Euro-3," it is 150 mg per kg of fuel, and the maximum concentration of aromatic hydrocarbons is 35% and 42%, respectively.
Concerning vehicle impact, it is known that "Euro-3" should not be used in modern vehicles classified as "Euro-5" and "Euro-6." According to Tereshkin, using fuel with high sulfur content can lead to the failure of oxygen sensors, decreased effectiveness of engine oil, and damage to the active layer of the catalyst used for exhaust gas purification.
Frolov notes that "Euro-3" can adversely affect vehicle components linked to exhaust control (catalysts, particulate filters, lambda probes) and negatively impact engines due to a higher risk of corrosion and carbon buildup.
Moreover, Tereshkin also points out that potential damage to the vehicle depends on the duration of using such fuel. If it concerns one to two weeks, a simple cleaning of the engine’s fuel injectors at an auto service may suffice. More serious costs occur after several months. It is somewhat analogous to consuming fast food: it's one thing to have a hamburger and fries for lunch, and quite another to eat fast food daily for six months.
Source: RG.RU
