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The Russian Petro-State

In: Putinomics

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  • Albrecht Rothacher

Abstract

The evolution of Russia’s petro-state is evidenced by the development of the decisive oil and gas sectors since the nineteenth century and by the division of labour practised within the Soviet empire trading energy for manufactures from Eastern Europe. The chapter demonstrates that revenues from oil exports are used to finance the central budget and Putin’s projects, while those from gas serve to subsidize domestic consumption and energy-intensive production and to line the pockets of the friends of the Kremlin. The continuing struggle for these revenues threatens to destabilize its power structure and undermines the long-term future of the Russian energy sector.

Suggested Citation

  • Albrecht Rothacher, 2021. "The Russian Petro-State," Springer Books, in: Putinomics, chapter 0, pages 163-204, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-74077-1_5
    DOI: 10.1007/978-3-030-74077-1_5
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