Manipulations with quotes by Deputy Energy Minister Pavel Sorokin on the issue of financing social gasification at the expense of Gazprom's dividends forced the corporation to issue a separate commentary confirming the issuer's commitment to the dividend policy.
Sorokin mentioned that the considered sources of funding included severance tax benefits and dividend cuts, but the adoption of these measures as reducing federal budget revenues is unlikely. Despite this caveat, a number of sources focused on cutting dividends, which caused the collapse of Gazprom shares.
In this regard, Deputy Chairman of the Management Board of Gazprom Famil Sadigov said: Gazprom is ready to fulfill its obligations on gasification in 2021-2025 in full, and for this we will not need to reduce dividends. ”
“As one of the instruments for financing gasification costs, Gazprom is considering and is currently discussing with the federal executive authorities (the Ministry of Economic Development of Russia, the Ministry of Finance of Russia, the Ministry of Energy of Russia) a possible issue of perpetual bonds with state support,” Sadigov said in a comment company.
“I would like to note that we have repeatedly stated, and I am ready to re-emphasize that adherence to the dividend policy is a priority for us, we will strictly adhere to its provisions when determining the amount of dividend payments and will fulfill our obligations in full,” he insists Sadigov.
In June of this year, Russian President Vladimir Putin instructed Gazprom (MCX: GAZP) and the responsible agencies to ensure “the gradual completion of gasification by 2024 and 2030. At the end of 2019, the gasification level in the country was 70.1%, the target level of gasification is level of 83%.
The new gasification program should be fully implemented by Gazprom, taking into account the solution of the “last mile” problem. Its total funding is estimated at almost 2 trillion rubles.
Now gasification is being implemented according to the following scheme: Gazprom builds inter-settlement gas pipelines, and then the regional authorities build intra-settlement networks so that gas can come to every house. However, most regions were unable to fulfill their gasification obligations. In the June presidential order, Gazprom and the departments were instructed to ensure the formation of sources of funding for activities to connect citizens to gas distribution networks without attracting their funds.