Petrol crisis pushes Russians towards gas as conversion services struggle
Amid Russia's worsening fuel crisis, demand for installing vehicle gas conversion equipment has risen sharply, but manufacturers and service centres have proved unprepared for the surge in demand.
Source: The Moscow Times, an independent Amsterdam-based news outlet
Details: Russian newspaper Izvestia reported that in June, the number of requests for vehicle conversions increased by 35% compared to March-April.
Market participants said the waiting list for converting a vehicle to gas now stretches over the next three months.
Service centres that carry out such conversions have also reported difficulties in purchasing equipment. Suppliers were unprepared for such a surge in demand and the equipment has now sold out, while prices have almost doubled, they said.
The main supplier of gas conversion equipment, Russian Novogrudok Gas Equipment Plant, is unable to cope with the volume of orders.
Background:
- Since late May, more than 30 Russian regions have introduced restrictions on fuel sales, Kommersant reported. The strictest regime is in temporarily occupied Crimea and Sevastopol. Free petrol sales there were suspended on 21 June, with filling stations fully switched to supplying emergency and state services.
- Amid Ukrainian attacks on Russian oil refineries, Russia began importing petrol by sea from India.
- A record 60% of Russians surveyed between March and May said the economic situation in their regions is worsening, while 27% said it is improving.
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