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Russian oil monopoly conspiracy is hard to prove - minister

MOSCOW, September 22 (RIA Novosti) - The Russian government does not have the means to prove a monopoly conspiracy exists among the country's oil companies, Economic Development and Trade Minister German Gref said Thursday.

"Elements of monopolization are evident," he told a parliamentary meeting. "However, the government does not possess the tools needed to expose the conspiracy."

According to Gref, if the State Duma (Russia's lower house of the parliament) adopts the law on competition this year, the government will be able to exercise more control over the situation.

He also said the cabinet did not have direct leverage to influence the situation on the oil market.

"We do have indirect mechanisms, but we do not use them fully," he added.

Gref noted, however, that Russia controlled the rising price of oil derivatives more effectively than other oil producers.

"The situation in Russia is not the worst it could be," the minister said. "The Russian government has managed to control it better than other oil-producing countries, and the rate of [price] increases in our country is much lower [than those in other countries]."

According to the minister, the price of oil derivatives in major oil-producing countries in Q3 of 2005 increased by an average of 15.1%.

Experts, however, predict only an 8%-10% increase in the price of oil derivatives in Russia by the end of 2005.