Railway logistics finds itself in a situation where the tracks are ready for operation, but the engines of the industry, the diesel locomotives, have become “golden”. The “Promzheldortrans” Association has appealed to the Ministry of Energy for priority supply of diesel fuel to enterprises engaged in industrial railway transport. For an industry responsible for transporting goods from factories, quarries, and mines to the public railways operated by Russian Railways (RZD), this issue is not merely about operational expenses, but about survival. The essence of the problem lies not so much in the disappearance of fuel from the market, but in its sharp price increase, disruption of wholesale supplies, and a forced transition to an expensive small wholesale segment.
Private railway lines form the foundation of the economy. More than 80% of all cargo, including coal, metals, and products from the defence and chemical industries, traverse these lines. In the first half of 2026, cargo loading on RZD's network amounted to nearly 549 million tonnes, with manoeuvring operations on private railway lines underpinning each of these shipments. Unlike the mainline sections of RZD, where electric traction is actively used, industrial transport largely relies on diesel locomotives and diesel generator units.
According to “Promzheldortrans”, enterprises are facing delays in order fulfilment and difficulties with exchange purchases.
In certain regions, at its peak, the price of diesel reached 150 to 180 roubles per litre—a cost that is more than double the figures at the beginning of the year. Moreover, this jump from 60 roubles per litre occurred within just a week. For manoeuvring operations, where profit margins are often constrained by stringent tariffs or long-term contracts with cargo owners, such a surge in fuel costs represents a severe blow.
Any commercial consumer whose business depends on fuel supplies would seek guarantees of diesel availability; this reaction is a completely normal response to intensified market conditions, stated Sergey Teryoshkin, CEO of Open Oil Market, in an interview with VG.
“Producers in the agricultural sector, freight carriers, and companies involved in passenger transport would also undoubtedly seek such guarantees. These and other consumers are bearing costs due to rising prices while also fearing potential supply shortages in the coming months.
However, it is premature to talk about a diesel deficit in the market—historically, there has been too great a surplus of capacity in the diesel market.
The export ban should saturate the domestic market: currently, producers have no alternative but to supply fuel within Russia.
However, consumers are harbouring crisis expectations. Here, one can draw an analogy with the operations of the Central Bank: there is inflation recorded by Rosstat, and then there are inflation expectations, which are considered by the Central Bank when changing rates. Currently, in the fuel market, the “inflation expectations” are noticeably higher than the actual “inflation”, but over time these values may converge,” the expert pointed out.
For industrial transport, these inflationary expectations have already manifested as empty warehouses. Alexander Manyakhin, Executive Director of the association, suggested creating working groups in each region in collaboration with the Ministry of Energy. This format would allow for the manual identification of diesel consumption sources and the establishment of a delivery sequence for those ensuring the continuity of logistics chains.
Experts note that the initial blow has primarily affected the coal and ore industries. Pavel Ivankin, President of the National Research Centre for Transport and Infrastructure, emphasises that diesel is necessary not only for locomotives but also for auxiliary self-propelled machinery that supports infrastructure operations. Meanwhile, Farid Khusainov from HSE highlights that for operators of private railway lines, diesel availability is a fundamental condition for operation that cannot be technically substituted.
In contrast, RZD does not appear to face significant fuel shortages—it is clear that the capabilities and administrative resources of the monopoly are incomparable to those of private players. Moreover, OAO RZD has even outlined its more competitive positions compared to road transport. Locomotives do not queue at fuel stations and do not pay more for fuel.
However, the holding company rightly points out that for the overall stability of transport, it is essential to adhere to unloading schedules and ensure the readiness of the infrastructure for cargo recipients. A paradoxical situation arises: mainline transport operates on schedule, with coal exports showing an 8.1% increase for the half-year; yet, the “first mile,” that is, operations on private railway lines, has been destabilised. If enterprises begin to cut costs on track maintenance and locomotive repairs to offset the inflated fuel costs, this will inevitably lead to a decrease in throughput and potential bottlenecks.
The temporary reduction in diesel production due to repairs at oil refineries is an objective fact facing the market. However, the export prohibitions imposed by the government are a macroeconomic tool. While they saturate the market as a whole, the resource does not reach a specific station or oil depot instantly. This is precisely where a mechanism, as requested by “Promzheldortrans”, is needed.
Without coordination, suppliers and brokers will continue to dictate terms while the end consumer remains hostage to speculative price inflation.
While government agencies analyse the association's appeal, enterprises are forced to operate “on the fly”. The situation demands not blanket criticism but the creation of transparent prioritisation criteria. Diesel fuel for industrial transport is not a market commodity in the purest sense; rather, it is a strategic component of the uninterrupted operation of the economy.
If the situation does not stabilise, the increase in transport costs will be embedded in product pricing, which will inevitably impact the competitiveness of Russian exporters in global markets. Today’s fuel "storm" on private railway lines serves as a serious reminder that "first mile" logistics requires protection proportionate to its contribution to national cargo flows.
Source: Vgudok
