Russian crude oil export duty is set to hit a two and a half year high after the government's monthly calculation alteration added an extra 16.08% to the rate.

Russia alters its export duty rates on a monthly basis, based upon a calculation of the average Urals price during a period begun on the 15th of a month and ending on the 14th of the following. According to the latest figures given by Finance Ministry official Alexander Sakovich, for the period between February 15 and March 14, the average price of a barrel of Urals crude oil was USD108.16, a substantial increase from the previous figure of USD95.79.

Accordingly, the duty is set to increase in April from USD365 per ton to USD423.7. This represents a 16.08% hike, which is a considerable leap, given that the last rate rise was at a level of 5.3%. Furthermore, with the continuing unrest in the oil rich Middle East, this rate is likely to go up still further in the coming months.

In addition, duty on refined fuels is to rise from USD244.6 per ton to USD289.3 per ton, with duty on heavier fuels to increase from USD170.4 per ton to USD197.9.

Source: Tax News