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6 Annual Big Press Conference Part 7 February 1,2007 President of Russia V.Putin Round Hall,the Kremlin,Moscow S. SANNIKOVA (Moya Udmurtia TV channel, Izhevsk): Good afternoon, Vladimir Vladimirovich. Gazprom plans to liberalise gas prices on the domestic market soon. What impact will this have on the social sphere? VLADIMIR PUTIN: Gazprom cannot liberalise anything, including prices, without a corresponding decision from the Russian Government. The Russian Government has, in my view, made carefully considered decisions regarding energy development. This concerns not only gas prices but also electricity, nuclear energy and hydro-energy prices, and market regulation and deregulation. What is the actual issue here? If we take the resource in question, gas, the issue is that gas is regulated and sold on the domestic market at non-market prices, and this leads to a situation where the entire economy, the housing and utilities sector, the population in general and all heat and energy consumers, become dependent on one primary energy source. This has a negative impact on all the other segments of the energy sector. This is dangerous from the point of view of ensuring energy supplies for the population and the national economy. We realise that this system is quite vulnerable and that we need to achieve more balanced energy consumption. Even if you put a policeman to watch each consumer, they will still use whatever is cheapest. This is why we need prices that make it equally ...
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