Alexei Kudrin told a news conference that the issue had not been raised at today's meeting of the G8 finance ministers in Moscow, but added it had been discussed at the World Trade Organization accession talks Russia had held with the EU and the U.S.
In line with agreements reached as part of the WTO accession talks, Russia assumed a commitment to maintain minimal domestic gas prices for several years.
The minister said this issue had been removed at the talks, and in 2005 domestic gas prices had grown by 23% with inflation at 11%. The gas price hike in 2006 is expected at 11% with inflation at 8.5-9%, and in 2007, at 9% with inflation at 7-7.5%, he said.
"That means gas prices will grow faster than inflation," Kudrin said. He added that natural gas was becoming more expensive in dollar terms, but Russia was interested in increased domestic prices for energy because the process stimulated energy savings. He highlighted the experience of member countries of some former Soviet states, where effective energy saving technologies had been introduced.
