Fuel shortages in Russia continue to worsen, leading to the implementation of gasoline sales restrictions in a fourth region, with Tyumen and Sverdlovsk joining annexed Crimea and Chelyabinsk in limiting purchases. Gas station chains in these regions have capped sales at 20-30 liters per customer, citing measures to discourage bulk purchases, though some stations are experiencing complete outages. These limitations are attributed to disruptions in fuel supplies, stemming from Ukrainian drone attacks on Russian oil refineries, which have taken out nearly 40% of the country’s refining capacity and caused prices to increase.

Read the original article here

Putin’s Gasoline Crisis Spreads: Sales Now Restricted in 4 Regions, and it’s a development that’s drawing attention, even if the initial scope seems limited. The restriction of gasoline sales in just four regions may appear small on the vast map of Russia. But it’s important to remember that Russia is a country with a massive geographic footprint. Four regions represent a fraction of the whole, but it’s a start.

The escalating prices are a significant indicator of the severity of the issue. Gasoline prices at Tatneft stations jumped noticeably, rising three rubles in just two days. This increase, translating to around $2.30 to $2.42 per US gallon, may still seem relatively low compared to Western standards, but the speed of the climb is concerning within the Russian context. This surge highlights the economic pressures building within the country, especially considering Russia’s dependence on oil revenue and its image as a petrostate.

The fact that the restrictions are in place means that something is undeniably awry, potentially due to disruptions in supply chains, refinery issues, or increased demand. The government’s reaction, in the form of sales restrictions, is a direct response to the unfolding crisis. Some regions, according to reports, are moving to limit fill-ups to a certain amount, indicating an effort to manage dwindling supplies. It is unlikely Moscow and St. Petersburg will see any sales restrictions to maintain public perception.

Of course, the potential ripple effects of these restrictions are worth considering. With fuel becoming more scarce and expensive, there’s a potential for increased social unrest. As people struggle with daily expenses, it can lead to a decline in living standards.

Looking at the broader implications, the situation could be exacerbated by international factors, such as sanctions or the ongoing conflict in Ukraine. The possibility of further disruptions to oil imports, particularly due to the demand for fuel trucks to support Ukraine, adds another layer of complexity.

The underlying issue is how to recover if the situation worsens, the economy continues to decline, and the government fails to serve the best interests of its citizens. The history of the Soviet Union and Russia offers some potential clues, but not necessarily hopeful ones. The nation’s trajectory has often involved periods of decline and the rise of authoritarianism, making the path to recovery incredibly difficult. As Russia’s economy falters, the risk of further isolation and internal turmoil increases.

The hope is that this will encourage citizens to voice their frustrations, potentially leading to changes in policy. However, as previous generations in Russia have experienced, change rarely comes easily. With the economic death spiral due to the war, it’s likely that the inner circle will be the ones who bring about the change.

The situation is multifaceted. The fact that sales are restricted is the main point, especially now that it is becoming a bigger concern and no longer just rumors. The potential for an economic downturn in Russia, fueled by the war, is the underlying catalyst for these issues.