1.5. Contribution to Russia’s Economy

The Gazprom Group makes a significant contribution to the country’s economy by paying taxes, developing import substitution, purchasing products from domestic producers, and cooperating with SMEs.

The Group’s priorities include stringent control of operating expenditures, balanced cash flows and financial stability.

Material topic 1

The Gazprom Group’s economic performance

Gazprom Group's Contribution to the Russian economy
Indicator 2020 2021 2022
Payments to budgets of the Russian Federation, all levels (taxes and other similar payments), incl.: 2 116 3,310 5,381
customs duties, RUB billion 472 1,232 1,711
MET, RUB billion 812 1,308 2,898
income tax, RUB billion 89 328 591
property tax, RUB billion 154 147 220
Dividend per the government’s stake, RUB billion(1) 181 149 607
(1) PJSC Gazprom’s dividends attributable to the government and legal entities controlled by the government.
Material topic 6

The Gazprom Group’s legal compliance

As a key actor in shaping a competitive economic landscape of the Russian Federation, the Gazprom Group has numerous environmental and social commitments and makes a significant contribution to the well-being of the present and future generations.

For more details on the Group's operating and financial performance, see Gazprom Annual Report 2022.

Russia’s Major Taxpayer

Key documents

Tax Strategy of PJSC GazpromApproved by resolution of the Management Committee of PJSC Gazprom No. 48 dated December 7, 2017.

The Gazprom Group is among Russia’s largest tax payers. In the reporting year, the Group paid over RUB 5 trillion to Russia's budgets.

In 2022, the Gazprom Group's tax payments to the budget of St. Petersburg, where it is headquartered, amounted to around RUB 250 billion, or over 20% of the city's fiscal revenues.

For more details on taxes paid by the Gazprom Group to regional budgets in 2022, see Appendix

Tax Policy

PJSC Gazprom implements a single tax policy and ensures uniformity in tax law application by the Gazprom Group entities. PJSC Gazprom and the Gazprom Group entities independently determine their tax liabilitiesExcluding corporate income tax for consolidated taxpayer groups. and bear responsibility for compliance with applicable tax laws.

Legitimacy

The Gazprom Group strictly complies with the tax laws of the Russian Federation and other countries where it operates when determining its tax liabilities.

Flexibility and responsiveness

When managing its tax policy, the Group promptly responds to changes and adapts to a new environment.

Rationality, optimality, and reasonable care in tax planning

PJSC Gazprom uses tax planning mechanisms and opportunities efficiently with due regard to shareholder interests and its strategic goals.

Centralization and unification

The Group’s single methodological center is responsible for coordinating tax management on a consistent basis.

Tax Monitoring

The Group companies keep joining the tax monitoring system, providing tax authorities with access to accounting and tax data in real time using a domestic IT platform. This approach helps increase the transparency of operations, streamline tax administration, reduce spending on audits, and minimize tax disputes. The number of the Gazprom Group companies registered in the tax monitoring system in 2022 increased to 36 and is expected to reach 46 from 2023.

On top of that, the Group takes part in the Federal Tax Service’s pilot project seeking to integrate the IT systems of companies subject to tax monitoring with its Nalog 3 automated information system. In 2022, the Gazprom Group successfully completed all scenarios of information exchange with the Federal Tax Service, and expects to continue this work in 2023.

Plans to Develop the Tax Policy

As part of the Group’s tax management efforts in 2023–2024, more Group entities will transition to tax monitoring. The Group will continue working to improve tax efficiency and relevant risk management while also implementing tax support measures for its projects and operations.

Investments for the Benefit of Russia

PJSC Gazprom makes considerable investments in infrastructure across its regions of operation and contributes to the economic development of local communities by creating new jobs.

In the reporting year, the Company took advantage of market conditions and better financial performance to increase its CAPEX and fast track its oil and gas projects. In 2022, the Group’s investments totaled RUB 1,737.95 billion.

For more details on the Gazprom Group's investment projects, see Gazprom Annual Report 2022.

Impact of the Gazprom Group companies' key investment projects on Russia's social and economic development in 2022

Development of the Chayandinskoye OGCF

Republic of Sakha (Yakutia) Development of the Kharasaveyskoye GCF, Yamal-Nenets Autonomous Area

Positive social effect

  • Gas production to ensure supplies to Russia’s Far Eastern Federal District, including exports to China

Social infrastructure development

  • Gazprom Dobycha Noyabrsk helped build two children’s playgrounds in Peleduy and one in Lensk along with a hockey ground in Vitim

Charity support

  • Providing financial aid to the FOOTHOLD civil society foundation which staged an I Am An Engineer contest for school and university students and young professionals
  • Annual charity campaigns for low-income families with many children held by Gazprom Dobycha Noyabrsk and Gazprom Transgaz Tomsk

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Automation and limited manning
  • Application of equipment intended to ensure safety of well operations and corrosion monitoring systems, and use of soil temperature stabilization system
  • Establishment of an in-house fire station
  • Use of autonomous energy sources based on renewables
  • Regular environmental monitoring and control

Project launch

2013

Number of jobs created

80

in 2022

1,139

from the start of calculation till December 31, 2022

1,176

planned for the project life cycle

Development of the Kovyktinskoye GCF,

Irkutsk Region

Positive social effect

  • Обеспечение добычи газа для газоснабжения регионов Дальневосточного федерального округа России, с учетом экспорта на рынок Китая.

Social support

  • A #ReadZhigalovo Local Stop project implemented by Gazprom Dobycha Irkutsk and the Russian Geographical Society in the Zhigalovsky District, Irkutsk Region
  • Zhigalovsky Ski Track sports competitions organized in the Zhigalovsky District

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Automation and limited manning
  • Application of the equipment complying with the best available technologies (BAT), as reflected in the BAT reference books:
    • ITS 29-2017 Natural Gas Production
    • ITS 8-2015 Wastewater Treatment in the Manufacturing of Products (Goods), Performance of Works and Provision of Services at Major Organizations
    • ITS 9-2015 Thermal Waste Treatment (Waste Incineration)

Project launch

2019

Number of jobs created

1,353

in 2022

2,129

from the start of calculation till December 31, 2022

2,302

planned for the project life cycle

Development of the Chayandinskoye OGCF

Republic of Sakha (Yakutia) Development of the Kharasaveyskoye GCF, Yamal-Nenets Autonomous Area

Positive social effect

  • Expansion of gas production on Yamal Peninsula

Support of indigenous minorities

  • Removing metal scrap and other legacy waste of the first geological exploration expeditions from indigenous territories

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Use of underground reservoirs to place the drilling waste in the stable hard-frozen state
  • Use of heat-insulated casing pipes that prevent permafrost thawing and help minimize the permissible well spacing and reduce the size of the well pad
  • Use of full internal water recirculation systems that eliminate pollution of water bodies and soil
  • Construction of special crossings through communication lines for wildlife migration

Project launch

2012

Number of jobs created

0

n 2022

408

from the start of calculation till December 31, 2022

942

planned for the project life cycle

Development of the Bovanenkovskoye OGCF

Yamal-Nenets Autonomous Area

Positive social effect

  • Ramping up gas output to supply gas to Russian consumers and international markets

Social infrastructure development

  • An ongoing program of Gazprom Dobycha Nadym to repair living quarters for shift workers, including two dormitories for 657 people

Support of indigenous minorities

  • Setting up special reindeer passages crossing the utility lines of the Bovanenkovskoye field to preserve reindeer herding and indigenous minorities’ traditions
  • Providing medical help and advice of specialist physicians to reindeer herders at the Bovanenkovo health center
  • Removing metal scrap

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Automation and limited manning
  • Use of soil thermal stabilization system and equipping the production string with heat insulated tubing to prevent thawing of wellhead rocks
  • Geophysical surveys using the technology that eliminates any gas leakage into the atmosphere
  • Use of underground reservoirs to place the drilling waste in the stable hard-frozen state
  • Gas treatment by applying the most advanced and sustainable method of low temperature separation with the use of domestic turbo expanders
  • Use of full internal water recirculation systems that eliminate water bodies and soil pollution
  • Construction of special crossings through communication lines for wildlife migration

Project launch

2006

Number of jobs created

100

in 2022

3,177

from the start of calculation till December 31, 2022

3,272

planned for the project life cycle

Construction of the Power of Siberia gas pipeline section from the Kovyktinskoye GCF to the Chayandinskoye OGCF

Republic of Sakha (Yakutia), Irkutsk Region

Positive social effect

  • Social and economic development of the Far East
  • Gas production from the Chayandinskoye OGCF and the Kovyktinskoye GCF to ensure supplies to Russia’s Far Eastern Federal District, including exports to China

Gas infrastructure expansion

  • Launch of the Svobodny gas distribution station (gas supplied to a residential neighborhood where Amur GPP employees reside)

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Automation and limited manning
  • Automated welding and triple inspection of welds to prevent accidents
  • Use of autonomous energy sources
  • Regular environmental monitoring and control
  • Use of rapidly deployable self-propelled bridges to preserve the ecosystem
  • Environmental improvement in settlements by way of coal-to-gas power plant conversion
  • Installing at compressor stations the energy-saving equipment with improved efficiency to increase the energy efficiency of gas transportation, as well as with low emissions and a  significant service life
  • Use of domestic steel pipes with smooth inner coating reduces energy consumption for gas transportation
  •  Group companies’ participation in regional and municipal environmental campaigns

Project launch

2014

Number of jobs created

375

in 2022

2,228

from the start of calculation till December 31, 2022

2,521

planned for the project life cycle

Project launch

2022(1)

Number of jobs created

201

за 2022 г.

201

from the start of calculation till December 31, 2022

590

planned for the project life cycle

(1) Commissioning/launch year for key production facilities.

Sakhalin – Khabarovsk – Vladivostok gas trunkline (including trunkline expansion from Komsomolsk–on–Amur to Khabarovsk)

Sakhalin Region, Khabarovsk Territory, Primorye Territory

 

Positive social effect

  • Ensuring reliable gas supplies to consumers in the Sakhalin Region, Primorye Territory, and Khabarovsk Territory
  • • Increasing gas supplies to Russian consumers via the trunkline

Social infrastructure development

  • Gazprom Transgaz Tomsk’s contribution to the development of the Lukashov Nature Park in the Khabarovsk Territory
  • Aiding Selikhinsky and De-Kastri rural settlements in the Khabarovsk Territory in cleaning a solid waste landfill and an area adjacent to social infrastructure

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Automation and limited manning
  • Environmental improvement in settlements by way of coal-to-gas power plant conversion
  • Installing at compressor stations the energy-saving equipment with improved efficiency to increase the energy efficiency of gas transportation, as well as with low emissions and a significant service life
  • Use of domestic steel pipes with smooth inner coating reduces energy consumption for gas transportation
  • Regular environmental monitoring and control

Project launch

2009

Number of jobs created

0

in 2022

1,091

from the start of calculation till December 31, 2022

1,212

planned for the project life cycle

Construction of the Amur Gas Processing Plant

Amur Region

Positive social effect

Social infrastructure development

  • A phased commissioning of 78 apartment blocks in a residential neighborhood in Svobodny built for 5,000 residents
  • 24 blocks with 780 apartments commissioned
  • 854 apartments commissioned as part of an infill construction project in Svobodny

Employee education and training

  • Making cooperation agreements with Russian institutions for secondary vocational and higher education to create a talent pipeline
  • Running the Gazprom Class project to help its participants get relevant education in secondary vocational schools and universities

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Developing a system for 3D navigation and positioning (comparable with virtual reality) at the production site of Amur GPP to introduce safety practices to the support personnel
  • Running all engineering processes and operations in a closed tight system
  • Process units equipped with an advanced monitoring, management and automation system and an excellent emergency shutdown system ensure safe operation and minimize the likelihood of emergency situations, including those related to hazardous emissions and discharges
  • Use of shut-off valves of at least leakage class 1 ensures the minimum probability of pollutant emissions
  • Application of engineering processes without the use of external cold sources (cryogenic gas facilities)
  • Collecting all types of wastewater with their subsequent supply to purification plants for treatment
  • During wastewater biological treatment, the use of membrane bioreactors that increase the capacity of treatment facilities without expanding the structure’s area
  • Application of waste heat recovery from exhaust gases at Ladoga—32 gas pumping units of the gas turbine unit: boiler water used as heat transfer fluid in the heat supply system is heated by way of recovering waste heat from GPU exhaust gases

Project launch

2015

Number of jobs created

955

in 2022

3,087

from the start of calculation till December 31, 2022

3,087

planned for the project life cycle

Gas Processing Facility within the Ethane-Containing Gas Plant

near Ust-Luga, Leningrad Region

 

Positive social effect

Social infrastructure development

  • Housing, social infrastructure and utilities to be built in residential neighborhood No. 7 of Kingisepp

Advantages in process safety, energy efficiency and environmental impact mitigation

  • Analyzing industrial safety risks by using an advanced risk-based approach when designing the Gas Processing Facility within the Ethane Containing Gas Plant. To assess the risk of accidents and mortality, as well as to develop the necessary actions to ensure industrial and fire safety, PJSC Gazprom engaged the leading scientific and design institutions of Russia (VNIIPO EMERCOM of Russia, the Academy of State Fire Service of the EMERCOM of Russia, Russian Energy Laboratory, APATIT Center for Professional Development, GL Engineering)
  • Use of manufacturing processes and automation equipment, application of cutting-edge and highly efficient emergency protection devices to significantly reduce the likelihood of an accident and eliminate injuries and fatalities of both the employees of the facility and the residents of neighboring settlements
  • Development of design solutions intended to preserve the existing ecosystems and the daily routine of the local population surrounding the Gas Processing Facility within the Ethane-Containing Gas Plant
  • Running all construction processes, including the construction of production facilities, in strict compliance with environmental, sanitary, fire safety and other applicable standards
  • Project development in accordance with all the applicable national standards and principles, including the Equator Principles and the general approaches of the Organization for Economic Cooperation and Development

Project launch

2019(1)

Number of jobs created

260(2)

in 2022

766(2)

from the start of calculation till December 31, 2022

4,213(3)

planned for the project life cycle

(1) The year when the project office was launched. The operator is RusKhimAlyans, a joint venture of PJSC Gazprom and RusGazDobycha.

(2) Project office headcount.

(3) Headcount of the Gas Processing Facility within the Ethane-Containing Gas Plant for full-scale development. The information is in line with a draft staff list.