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TO THE QUESTION OF THE NEED TO REFORM THE GAS INDUSTRY OF THE RUSSIAN ECONOMY

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PDF: Author(s): Bulganina S. N., Burkeeva R. G.,
Number of journal: 2(63) Date: May 2023
Annotation:

Based on theoretical and empirical data, the article shows the contradictory nature of the Russian natural monopoly, which formally acts as a regulated firm and at the same time, implements the socio-economic functions of an administrative monopoly, which manifests itself in the dominance of the “acquired” (system-forming, stabilizing (budget-forming), cost-forming) functions over “generic” (production and sale of quasi-public goods, obtaining a fair profit, limited by tariff regulation), development and strengthening of system-forming and socio-political functions, hypertrophied value of the cost-forming function, replacement of some functions by others. The concept of reforming the natural monopoly in the domestic gas industry has been developed, including the rationale for the sequence of its transition from an administrative (state) monopoly to a regulated firm and the conditions for the development of its “generic” and “acquired” functions; for the first stage, a system of practical recommendations is developed on the formation of institutional conditions for competition “on a single network” (third-party access to the infrastructure network — pipeline) and outsourcing (formation of independent producing companies) in the Russian gas industry. Their possible benefits (transparency of access to the infrastructure network, responsibility under gas supply agreements for all market participants) and costs (preservation of the monopoly position of a regulated company in relation to the infrastructure network, use of cross-subsidization by a natural monopoly in their own interests) are indicated. For the second stage, proposals are presented for the formation of an inter-company strategic alliance that unites all participants in the gas market on the basis of a network of relational contracts (extracting companies, an infrastructure network — a natural monopoly as a regulated company, gas consumers and a market coordinator), ensuring the implementation and development of its “generic” functions — the production of a socially significant good and the receipt of a fair profit

Keywords:

administrative (state) monopoly, regulated firm, PAO Gazprom, socio-economic functions of natural monopoly, “generic” and “acquired” functions, reforming natural monopoly, domestic gas market, outsourcing, institutional environment, relational contract, inter-firm strategic alliance

For citation:

Burkeeva R. G., Bulganina S. N. To the question of the need to reform the gas industry of the Russian economy. Biznes. Obrazovanie. Pravo = Business. Education. Law. 2023;2(63):97—102. DOI: 10.25683/VOLBI.2023.63.621.