Operating Expenses
| Operating expense (costs) | 2020 | Share of the total expenses, % | 2019 | Share of the total expenses, % | Absolute change | Change, % | 2018 |
|---|---|---|---|---|---|---|---|
| Employee remuneration, insurance premiums and social expenses | 185,955 | 35.8 | 172,248 | 29.8 | 13,707 | 8.0 | 163,591 |
| Electricity | 42,613 | 8.2 | 48,785 | 8.4 | (6,172) | (12.7) | 42,360 |
| Materials | 34,112 | 6.6 | 36,543 | 6.3 | (2,431) | (6.7) | 33,297 |
| Pipeline network repair and maintenance services | 20,851 | 4.0 | 22,038 | 3.8 | (1,187) | (5.4) | 20,057 |
| Insurance expenses | 2,836 | 0.5 | 2,136 | 0.4 | 700 | 32.8 | 2,615 |
| Expenses for voluntary insurance of employees | 3,695 | 0.7 | 4,039 | 0.7 | (344) | (8.5) | 3,744 |
| Taxes (income tax not included) | 38,974 | 7.5 | 36,961 | 6.4 | 2,013 | 5.4 | 36,843 |
| Pension expenses | 5,609 | 1.1 | 10,422 | 1.8 | (4,813) | (46.2) | (9,367) |
| Cost of commercial oil export (including the export customs duty) | 140,903 | 27.1 | 187,366 | 32.4 | (46,463) | (24.8) | 199,847 |
| Cost of oil sales on the domestic market | 4,763 | 0.9 | 11,306 | 2.0 | (6,543) | (57.9) | 5,873 |
| Cost of sales of petroleum products | 6,126 | 1.2 | 8,259 | 1.4 | (2,133) | (25.8) | 6,350 |
| Cost of other sold goods for resale | 5,731 | 1.1 | 5,172 | 0.9 | 559 | 10.8 | 5,600 |
| Other operating expenses | 27,004 | 5.3 | 32,765 | 5.7 | (5,761) | (17.6) | 35,273 |
| Operating expenses, depreciation and amortisation exclusive | 519,172 | 100.0 | 578,040 | 100.0 | (58,868) | (10.2) | 546,083 |
| Cost of oil sales for export (including the export customs duty) | (140,903) | (27.1) | (187,366) | (32.4) | 46,463 | (24.8) | (199,847) |
| Taxes (income tax not included) | (38,974) | (7.5) | (36,961) | (6.4) | (2,013) | 5.4 | (36,843) |
| Operating expenses (excluding depreciation and amortisation, oil sales for export and taxes) | 339,295 | 65.4 | 353,713 | 61.2 | (14,418) | (4.1) | 309,393 |
Decrease in operating expenses for 2020, excluding depreciation and amortisation, by RUB 58,868 compared to 2019, or 10.2%, is due to the following factors:
- a decrease in the cost for oil export;
- a decrease in the cost of selling oil on the domestic market and in the cost of selling petroleum products;
- an increase of employee remuneration, insurance premiums and social expenses;
- lower electricity costs.
In 2020, operating expenses excluding depreciation and amortisation, taxes and cost of oil sales for export decreased by RUB 14,418 million or 4.1%.
| Operating expenses | 2020 | Share of the total expenses, % | Inflation rate (forecast for 2020 to | 2019 (inflated by 2020) | Share of the total expenses, % | Absolute change | Change, % |
|---|---|---|---|---|---|---|---|
| Employee remuneration, insurance premiums and social expenses | 185,955 | 35.8 | 3.2 | 177,760 | 31.6 | 8,195 | 4.6 |
| Electricity | 42,613 | 8.2 | 3.7 | 50,590 | 9.0 | (7,977) | (15.8) |
| Materials | 34,112 | 6.6 | 2.3 | 37,383 | 6.6 | (3,271) | (8.7) |
| Pipeline network repair and maintenance services | 20,851 | 4.0 | 6.2 | 23,404 | 4.2 | (2,553) | (10.9) |
| Insurance expenses | 2,836 | 0.5 | 3.2 | 2,204 | 0.4 | 632 | 28.7 |
| Expenses for voluntary insurance of employees | 3,695 | 0.7 | 3.2 | 4,168 | 0.7 | (473) | (11.3) |
| Taxes (income tax not included) | 38,974 | 7.5 | 2.3 | 37,811 | 6.7 | 1,163 | 3.1 |
| Pension expenses | 5,609 | 1.1 | 3.2 | 10,756 | 1.9 | (5,147) | (47.9) |
| Cost of oil sales for export (including the export customs duty) | 140,903 | 27.1 | (13.5) | 162,072 | 28.8 | (21,169) | (13.1) |
| Cost of oil sales on the domestic market | 4,763 | 0.9 | (13.5) | 9,780 | 1.7 | (5,017) | (51.3) |
| Cost of sales of petroleum products | 6,126 | 1.2 | (8.3) | 7,574 | 1.3 | (1,448) | (19.1) |
| Cost of other sold goods for resale | 5,731 | 1.1 | 2.3 | 5,291 | 0.9 | 440 | 8.3 |
| Other operating expenses | 27,004 | 5.3 | 2.3 | 33,519 | 6.2 | (6,515) | (19.4) |
| Operating expenses, depreciation and amortisation exclusive | 519,172 | 100.0 | Х | 562,312 | 100.0 | (43,140) | (7.7) |
| Cost of oil sales for export (including the export customs duty) | (140,903) | (27.1) | (13.5) | (162,072) | (28.8) | 21,169 | (13.1) |
| Taxes (income tax not included) | (38,974) | (7.5) | 2.3 | (37,811) | (6.7) | (1,163) | 3.1 |
| Operating expenses (excluding depreciation and amortisation, oil sales for export and taxes) | 339,295 | 65.4 | Х | 362,429 | 64.5 | (23,134) | (6.4) |