Russian Energy Ministry Considered Stress Scenario Of Energy Demand Slump - Novak

The Russian Energy Ministry has considered a stress scenario of a sharp decline in demand for energy resources in its long-term strategy and sees market monitoring as the current main task, Energy Minister Alexander Novak said on Thursday

MOSCOW (UrduPoint News / Sputnik - 02nd April, 2020) The Russian Energy Ministry has considered a stress scenario of a sharp decline in demand for energy resources in its long-term strategy and sees market monitoring as the current main task, Energy Minister Alexander Novak said on Thursday.

"We have considered a stress scenario that takes into account the current situation on the market � a significant short-term reduction in demand for energy resources. Today, we believe that the most important task is to monitor the situation daily and pay attention to the sustainability of the fuel and energy sectors in the current conditions," Novak said at a government meeting during the discussion on Russia's energy strategy until 2035.

Novak explained that today's challenges and risks had been taken into account when formulating the strategy.

"Among them, I would like to highlight the rapid development of technologies that change the look and the structure of energy sector; the globalization of the energy market; increased competition, in particular, due to the rising production of shale hydrocarbons and liquefied natural gas; increasing use of non-competitive methods of economic struggle, among which restrictive measures and sanctions stand out. And of course, it is very important to take into account the green trend," he said.

In the short term, the ministry is also taking into account the current difficult macroeconomic situation in the global markets, which has resulted from falling economic activity due to quarantine measures taken to stem the spread of the coronavirus pandemic, he added.