Next question is from editor of newspaper For Russian Sovereignty in Ufa. He thanks Putin for increasing "Russian sovereignty."
Putin says government budget is based on a price of $40 per barrel and current prices are $55. Putin says that last year, energy prices were lower than expected,but the economy performed better than expected, which indicates the strength of the economy. Says government thinks excess oil on the market will be eliminated by the second half of 2017 and oil prices will stabilize. Russia has agreed to reduce production by 300,000 barrels a day through the middle of 2017. The production cuts have already brought oil prices up, Putin says. Says cooperation between Russia and OPEC is good for both sides.
Next question is about the future of oil prices -- what is the government forecasting, what price is ideal for the Russian economy?
An element throughout most of this press conference has been Putin's tactic of calling for questions on particular topics as he goes. It's a new wrinkle this year in this carefully staged event.
Putin says the government supports projects that develop the infrastructure and help the environment. As for coal, Putin says Russia -- like other countries -- is working to develop alternative energy sources. But Putin says the world continues to use coal, which is the most important source of energy on the global level. Putin says Russia's coal regions will continue to develop and coal will continue to be in demand.
Putin’s audience is very diverse today.
Next question is about highway construction through the center of the Siberian city of Kemerovo. Asks if there will be more federal funding for it. Also asks about the future of the Russian coal sector.
Putin sees a difference between taxes and non-tax fees. Putin says taxes in Russia are among the lowest in the world. Says low tax rates have reduced tax evasion and increased budget revenues. As for non-tax fees, Putin says he doesn't know about them "in detail" because they are established on the regional and municipal levels. Says government needs to look into this. Says register of such payments will be compiled by next June.