The media are reporting a sharp rise in petrol prices in Moscow following Ukrainian drone attacks on oil refineries

Petrol prices have risen sharply in the Moscow region, according to the Russian newspaper *Kommersant*, citing data from *OMT-Consult*.

Over the course of a week, the price of AI-95 in Moscow rose by almost two roubles to exceed 75 roubles per litre, whilst in the Moscow region the increase amounted to more than three roubles. A similar situation is being observed with AI-92 and diesel fuel.

Market participants cite the systematic attacks by Ukrainian drones on Russian oil refineries as the main cause. In May, 16 refineries came under attack, including eight of the industry’s ten largest facilities.

On the night of 16 June, drones damaged a unit at the Moscow Refinery in Kapotna. This unit accounts for more than half of the refinery’s capacity, and two days later the facility came under attack again and was forced to halt operations. The Moscow Refinery accounts for around 40 per cent of the region’s oil refining capacity and supplies a significant proportion of the local fuel market.

Against the backdrop of a fuel shortage, some petrol station chains in Russia and the occupied Crimea have introduced restrictions on the sale of petrol and diesel. In some regions, the sale of fuel in jerry cans is prohibited, or limits have been imposed on the amount of fuel that can be purchased per vehicle.

The Federal Antimonopoly Service of the Russian Federation has already demanded that a number of major petrol station chains explain the sharp rise in prices.

Experts warn that the fuel shortage could spread to other regions, and that the fuel crisis will be one of the factors driving up inflation in Russia in the second half of the year.

The Ukrainian military is regularly carrying out strikes against Russian oil industry facilities. At the end of May, Reuters reported that, due to attacks by Ukrainian drones, almost all major oil refineries in central Russia had been forced to halt or reduce production.

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