CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR 1953-57

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CIA-RDP79S01046A000600120007-6
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March 1, 1959
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Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 RESEARCH AID N? 6S CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR 1953-57 CIA/RR RA-59-3 March 1959 CENTRAL INTELLIGENCE AGENCY OFFICE OF RESEARCH AND REPORTS Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 1r1?0prial e: t,;?d3-As information aMeting )) E False of tlm United States w3L4ni?a the tn. ar zi!r of the eespio:lage laws, N anlr fl, T?`?C. E1 e..,- 7O -anti. 794 the, tra n.s- uti,wil.orr or ? vetflt,or,. ref wb-icb in wiy in nne_r I,ts flu in-law r,_nxi7~~ pei so~.i is Trrnhibi~;ed by law. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 S-E-C-R-E-T RESEARCH AID CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR 1953-57 CIA/RR RA-59-3 CENTRAL INTELLIGENCE AGENCY Office of Research and Reports Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T FOREWORD The estimates given in this research aid for the years 1953-55 represent revisions of the estimates contained in the research aid Civil Consumption of Petroleum Products in the USSR, 19+5-55, 27 September 1954, SECRET. - iii - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 S-E-C-R-E-T CONTENTS Summary . . . . . . . . . . . . . . . . . . . . . . . . . . Page 11 I. Introduction . . . . . . . . . . . . . . . . 11 A. General . . . . . . . . . . . . . . . . . ? 13 B. Statement of Methodology . . . . . . . . . . ? . II. Consumption by Consuming Sector and by Type of 15 Product . . . . . . . . . . . . . . . ? ? . ? ' . 15 A. Transport . . . . . . . . . . . . . . . 1. Rail . . . . . . . . . . . . . . . . . . . . . 15 2. Inland Waterway . . . . . . . . . . . ? . ' ? 16 Oceangoing . . . . . . ' 18 1+. Motor . . . . . . . . . . . . . . . . . . . ? . 218 0 5. Civil Air . . . . . . . . . . . . B. Agriculture . . . . . . . . . . . . . . . . . . . . 21 C. Households . . . . . . . . . . . ? ? ? ? ? ? ? ? 23 . . . . . 25 D. Construction . . . . . . . . . . . 25 E. Industry . . . . . . . . . ? ? ' ' Petroleum . . . . . . 26 Chemical . . . . . . . 28 28 Coal . . . . . . . . . 29 Steel . . . . . . . . Electric Power . . . 30 Nonferrous Metals and Manufacturing . . . . . . 31 III. Regional Distribution of Consumption . . . . . . . . . 39 A. general . . . . . . . . . . 39 1+1 B. By Consuming Sector . . . . . . . . . . . . . . 1. Transport . . . . . . . . . . . . . . . . . . . 1+1 a. Rail . . . . . . . . . . . . . . . . . - v - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R-E-T b. Inland Waterway . . . . . . . . . c. Oceangoing . . . . . . . . . . d. Motor .. . . . . . . . . . . . . . . . . . e. Civil Air . . . . ............ 2. Agriculture . . . . . . . . 3. Households . . . . , , . , , , . . 4. Construction . . . . . 5. Industry . . . . . . . . . . . . . . . . . . . C. By Major Type of Product . , , , , , , , , , . . Page 42 42 42 43 43 44 45 45 54 1. Gasoline . . . . . . . . . . . . . . . . . 54 2. Kerosine . . . . . . . . . . . . . . . . . ? 55 3. Diesel Fuel . . . . . . . . . . . . . . . . . . 56 4. Lubricants . . . . . . . . . . . . . 57 5. Residual Fuel oil . . . , . , , , . 58 6. Road Oils and Asphalts . . . . . . . . . . . 59 D. Increased Role of Eastern Regions .. . . . . . . . . 76 IV. Prospects for Exports . . . . . . . . .. , . . . . . . . 79 Appendixes Appendix A. Supplementary Statistical Data, . . . . . . . . 83 Appendix B. Methodology . . . , , , , ? , , . . _ , . . 87 Appendix C. Gaps in Intelligence . . . .. . . . . . . . . . 105 Appendix. D. Source References . . Tables 1. Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . . . . . . . 109 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R-E-T Page 2. Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Type of Product, 6 1953-57 . . . . . . . . . . . . . . . . . . . . . . . . 3. Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Economic Region, 1953-57 . . . . . . . . . . . . . . . . . . . . . . . . 8 4. Estimated Total Consumption and Supply of Petroleum Products in the USSR, 1953-57 . . . . . . . . . . . . . 10 5. Summary of Estimated Total Consumption and Available Supply of Petroleum Products in the USSR, by Major Type of Product, 1953-57 . . . . . . . . . . . . . . . 12 6. Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector and by Type of Product, 1953 . ... . . . . . . . . . . . . . . . . . . 33 7. Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector and by Type of Product, 1954 . . . . . . . . . . . . . . . . . . . . . 3 8. Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector and by Type of Product, 1955 . . . . . . . . . . . . . . . . . . . . . 35 9. Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector and by Type of 6 Product, 1956 . . . . . . . . . . . . . . . . . . . . . 36 10. Estimated Consumption of Petroleum Products in the USSR, by Consuming Sector and by Type of Product, 1957 . . . . . . . . . . . . . . . . . . . . . . . 37 11. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Economic Region and by Consuming Sector, 1953 ? ? ? ? ? ? ? ? ? ? ? . . ' ' 9 12. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Economic Region and by Consuming Sector, 195+ . . . . . . . . . . . . . 50 - vii - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 S-E-C-R-E-T 13. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Economic Region Page and by Consuming Sector, 1955 . . . . . . . . . . . . . 51 14. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Economic Region and by Con- suming Sector, 1956 . . . . . . . .. . . . . . . . . . 52 15. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Economic Region and by Con- suming Sector, 1957 . . . . . . . . . . . . . . . . . 53 16. Estimated. Distribution of Civil Consumption of Gasoline in the USSR, by Economic Region and. by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . . . . 60 17. Estimated Distribution of Civil Consumption of Kerosine in the USSR, by Economic Region and. by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . . . . . . . . 63 18. Estimated Distribution of Civil Consumption of Diesel Fuel in the USSR, by Economic Region and by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . . . . . 64 19. Estimated Distribution of Civil Consumption of Lubricants in the USSR, by Economic Region and by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . . . . . . . . 67 20. Estimated Distribution of Civil Consumption of Residual Fuel Oil in the USSR, by Economic Region and by Con- suming Sector, 1953-57 . . . . . . . . . . . . . . . . 71 21. Estimated Distribution of Civil Consumption of Road Oils and Asphalts in the USSR, by Economic Region, 1953-57 . . . . . . . . . . . . . . . . . . . . . . . . 75 22. Estimated Civil Consumption of Selected Petroleum Products in the USSR, by Type of Product, 1957 and 1965 . . . . . . . . . . . . . . . 8o 23. Position of Crude Oil and Natural Gas in Production of Petroleum and Mineral Fuel in the USSR, 1957 and 1965 . . . . . . . . . . . . . . . . . . . . 81 - viii S -E-C -R-E-T Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R-E -T Page 24. Estimated Supply of Petroleum Products Available for Domestic Use in the USSR, by Type of Product, 84 1953-57 . . . . . . . . . . . . . . . . . . . . . . . . 25. Estimated Total Consumption and Available Supply of Petroleum Products in the USSR, by Type of Product, 8 1953-57 . . . . . . . . . . . . . . . . . . . . . . . 5 26. Estimated Consumption of Petroleum Products by the Civil and Military Sectors of the USSR, by Type of Product, 86 1953-57 . . . . . . . . . . . . . . . . . . . . . . . . Following Figure 1. Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector, 1953-57 . . . . . . . . . . . . . . . . 2 Figure 2. Estimated Civil Consumption of Petroleum Products in the USSR, by Major Type of Product, 1953-57 .................... 6 Figure 3. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Major Geographic Area, 1953 and 1957 . . . . . . . . . 8 Figure 4. Estimated Distribution of Civil Consumption of Petroleum Products in the USSR, by Major Geographic Area and by Consuming Sector, 1953 and 1957 . . . . . . ... . . . . . . . . . 8 S -E-C -R-E -T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T CIVIL, CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR- 1 53-57 Summary The civil consumption of petroleum products** in the USSR in- creased steadily from 40.1 million metric tons*** in 1953 to 63.8 million tons in 1957. Annual increases during this period are estimated to have averaged 12.3 percent compared with an average annual increase in the US estimated at 3.7 percent. Because the consumption of petroleum products by the military sector of the Soviet economy increased still more rapidly -- the annual rate is estimated to have averaged 27.4 percent -- the proportion of petro- leum products accounted for by civil consumption in the USSR has shown a marked decline, from 87.4 percent of the total in 1953 to 80.7 percent in 1957. Estimated civil consumption of petroleum products-in the USSR, by consuming sector, during 1953-57, is summarized in Table 1**** and shown graphically in the chart, Figure l.t Consumption in every sector increased in each of these years. Although consumption by the chemical and coal industries remained constant, consumption by the entire industrial sector of the Soviet economy registered a substantial increase. Consumption of petroleum products by rail transport in the USSR reached 5 million tons in 1957, or twice the level of 1953. Con- sumption by households also doubled during this period, sharing with rail transport the highest rate of increase in consumption by the civil economy. The consumption of diesel fuel by rail transport has been increasing steadily and may amount to as much as 8 million tons in 1970, or about two-thirds of such consumption by US railroads in 1956. Nevertheless, the increase in the consumption of petroleum products by rail transport may not keep pace with the planned increases in the total consumption of such products. Inland waterway, oceangoing * The estimates and conclusions in this research aid represent the best judgment of this Office as of 15 January 1959. ** As used in this research aid, the term petroleum product re- fers to a petroleum material which serves an end use without further refining. Tonnages are given in metric tons throughout this research aid. Table 1 follows on p. 2. t Following p. 2. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Consuming Sector a/ 1953-57 Million Metric Tons Consuming Sector 1953 1954 1955 1956 1957 Rail 2.5 2.7 3.0 3.8 5.0 Inland waterway 0.9 1.0 1.1 1.2 1.5 Oceangoing 0.7 0.8 1.0 1.1 1.2 Motor 6.8 8.2 9.5 10.9 12.6 Civil air 0.7 0.8 o.8 0.8 l.o Total b 11.7 13.5 15.4 17.9 21.4 Agriculture 9.8 10.9 11.9 12.4 12.8 Household 1.2 1.4 1.6 2.0 2.4 Construction Industry 5.6 6.5 7.3 8.3 9.3 Petroleum 2.7 3.0 3.6 4.3 5.0 Chemical 0.2 0.2 0.2 0.2 0.2 Coal 0.2 0.2 0.2 0.2 0.2 Steel 2.3 2.5 2.7 2.9 3.0 Electric power 5.6 6.4 6.9 7.6 8.2 Nonferrous metals and manufacturing 0.9 1.2 1.4 1.2 1.2 Total b 11.8 l 15.1 16.4 17.9 Grand total 40.1 45_8 51.3 57.o 63.8 a. Data in this table have been compiled from Tables 6 through 10, pp? 33 through 37, below. Estimates have been rounded to the nearest hundred thousand. For a graphic representation of these data, see Figure 1, following p. 2. b. Totals were derived from unrounded data and do not always equal the sums of the rounded components. - 2 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 SECRET Figure 1 ESTIMATED CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR BY CONSUMING SECTOR, 1953-57 30 1957 SECRET Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T and civil air transport do not consume significant quantities of petroleum products, and no important change in this respect is anticipated. Consumption of petroleum products by motor transport increased at an average annual rate of 17 percent to reach a total of 12.6 million tons in 1957. The gain over 1953 of 5.8 million tons repre- sented the largest absolute increase registered in any sector of the civil economy. As a result of this sharp increase, motor transport not only accounted for 20 percent of total civil consumption of petro- leum products but challenged the position of agriculture as the lead- ing civil consumer. Final figures for 1958 may show that motor transport already has replaced agriculture as the leading consumer in the civil economy. Long-range plans call for a rapid increase in the volume of freight transported by diesel trucks during the next 10 to 15 years. Nevertheless, certain limitations implicit in these plans indicate that motor gasoline will remain the primary source of power for Soviet motor transport. Agriculture continued to be the leading civil consumer of petro- leum products in the USSR, accounting for about 12.8 million tons in 1957. The relatively small increase of 3 million tons since 1953 resulted primarily from the wide-scale program of dieselization of the tractor park and the inherent lower rates of consumption of pri- mary fuel per unit of output by diesel tractors compared with other types. At the same time, there has been a reduction in the consump- tion of kerosine by Soviet tractors. Available information indicates a continuation of these trends. The consumption of kerosine by trac- tors in 1965 is expected to be reduced to about 1.4+ million tons, a decline of 63 percent from the level of 1955. Conversely the consump- tion of diesel fuel by agriculture is expected to increase steadily and may reach about 23 million tons in 1965. The demand for diesel fuel will increase still more rapidly, however, in other sectors of the economy, particularly in motor transport. Thus the share of agri- culture in the total consumption of diesel fuel by the Soviet civil economy is expected to decline from 51.6 percent in 1955 to 38.9 per- cent in 1965. The consumption of lamp and stove kerosine by the households of the USSR in 1957 is estimated to have reached 2.4 million tons, or twice the level of 1953. Inasmuch as production of kerosine is ex- pected to increase and the demand for tractor kerosine to decline sharply, the consumption of kerosine by households may reach 3.8 mil- lion tons in 1960 and about 9 million tons in 1965. Plans to increase deliveries of gas* to households, especially in urban areas, are not The term gas includes both natural gas and the gas produced from shale and the underground gasification of coal. S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T expected to have an appreciable effect on the domestic consumption of kerosine by 1965. The consuuption of petroleum products in construction in the USSR amounted to 9.3 million tons in 11x57, an increase of about 66 percent since 1953. The principal products used in construction are road oils and asphalts, and the consumption of these items may reach 10 million tons in 1965. In addition, construction accounted for almost 21. percent of the civil consumption of diesel fuel in 1957. The demand for other types of fuel in construction is de- clining, and requirements for tractor kerosine and ligroine have virtually ceased. The consumption of petroleum products in the USSR in the genera- tion of electric power make the electric power industry the leading consumer of petroleum products in the entire industrial sector of the Soviet economy. In 1957 .the electric power industry accounted for 46 percent of all the petroleum products consumed by the indus- trial sector. Although significant advances in the generation of electric power are planned, there is to be no substantial change in the generation of electric power by stations utilizing petroleum fuels. It is possible, therefore, that there will be no correspond- ing increase in the consumption of petroleum products by the electric power industry. In a speech at the dedication of the hydroelectric power station at Kuybyshev, Khrushchev called for an increase in the rate of construction of thermal electric power stations, but details of the program have not been announced. Implementation of such a program is certain to result in an increase in the consumption of fue:L by the electric power industry, principally in the consump- tion of natural gas. Throughout 1953-57 the petroleum industry ranked second only to the electric power industry as an industrial consumer of petroleum products in the USSR. Of the 5 million tons estimated to have been consumed by this industry in 1957, about 56 percent of the total represented residual fuel oil consumed in refining crude oil. About 42 percent was consumed in drilling operations and producing crude oil, which accounted for all of the gasoline, diesel fuel, lubricants, and crude oil consumed by the industry. Consumption of petroleum products in construction and repair of trunk oil and gas pipelines is insignificant. A program for the conversion of refineries and field equipment to gas has yet to be adopted nationally. The con- sumption of petroleum products by the petroleum industry may reach 9 million to 10 million tons in 1965. Significant quantities of residual fuel oil are consumed by the steel industry of the. USSR in firing open-hearth furnaces, soaking S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T pits, and reheating furnaces. The consumption of residual fuel oil for these purposes is estimated to have reached 3 million tons in 1957 compared with 2.3 million tons in 1953. The use of residual fuel oil to fire steelmaking units, however, is less frequent than the use of blast furnace and coke oven gas. A decision to increase the consumption of residual fuel oil or to convert to the use of natural gas probably will be made locally on the basis of available supplies. Estimates of the consumption of petroleum products by the non- ferrous metals and manufacturing industries of the USSR indicate a steady increase during 1953-55, followed by a decline in 1956. The apparent decline reflects the replacement of residual fuel oil as an industrial fuel by gas. The trend is toward the increased use of gas, in particular by machine-construction plants, although residual fuel oil probably will retain its present relative importance. Estimated civil consumption of petroleum products in the USSR, by type of product, during 1953-57 is summarized in Table 2* and shown graphically in the chart, Figure 2.** Increases in the con- sumption of all the products except tractor kerosine occurred in each of these years. Available information indicates a continued decline in the consumption of tractor kerosine at least through 1965. Although the consumption of lamp and stove kerosine doubled between 1953 and 1957, the total consumption of kerosine declined from 5.8 million tons in 1953 to 5.4+ million tons in 1957. The consumption of ligroin remained negligible. Particularly outstanding has been the very sharp increase in the consumption of diesel fuel, which in 1957 amounted to about 16.3 million tons, or more than twice the level of 1953. During this period, diesel fuel supplanted gasoline as the major distillate.*** In the US, on the other hand, gasoline always has been the principal petroleum product. The USSR has declared its intention of introduc- ing diesel equipment and engines into practically every phase of the civil economy, especially in transportation and in agriculture, and it is probable that diesel fuel will become increasingly more impor- tant than gasoline. The category of residuals and other petroleum products**** con- tinued to rank first among the petroleum products consumed by the Table 2 follows on p. 6. Following p. 6. The principal distillates are gasoline, ligroine, kerosine, and diesel fuel. **** Including residual fuel oil, road oils, asphalts, bitumen, and bituminous tar. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E- C-R-E?-T Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Type of Product a 1953-57 Million Metric Tons Type of Product 1953 1954 L952 1956 1957 Aviation 0.7 0.8 0.8 0.8 0.9 Motor 7.8 9.1 10.4 11.8 13.4 Total 8.5 9.9 11.3 12.7 14 Kerosine Lamp and stove 1.2 1.4 1.6 2.0 2.4 Tractor 4.6 4.5 3.9 3.4 2.9 Total b 5.8 1-1 5.45-4 J Diesel fuel 7.9 9.8 12 2 14 2 16 3 . . . Lubricants 2.0 2.2 2.4 2.8 3.0 Residuals and others / 15.4 17.4 19.2 21.2 23.8 Crude oil consumed as a product Grand total 0.5 40.1 0.6 4- 0.7 0.8 i.o a. Data in this table have been compiled from Tables 6 through 10, pp. 33 through 37, below. Estimates have been rounded to the nearest hundred thousand. The consumption of ligroine in each of the years was negligible. For a graphic representation of these data, see Figure 2, following p. 6. b. Totals were derived from unrounded data and do not always equal the sums of the rounded components. c. Including jet fuel consumed by civil air transport. d. Including residual fuel oil, road oils, asphalts, bitumen, and bituminous tar. civil economy of the USSR. Consumption of such products in 1957 is estimated at 23.8 million tons, or more than 37 percent of the total civil consumption. - 6 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 SECRET ESTIMATED CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR BY MAJOR TYPE OF PRODUCT, 1953-57 0 1953 1954 1955 1956 Figure 2 z a helC a a~ ~S d~a Res 1000, se\~Je~ --i `e ' .000 000 .00 Go ms's `ne 00, Kerosine Lubri~n~ - - Crude oil consumed as a product 5 SECRET Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T The civil consumption of petroleum products within the 12 economic regions- of the USSR during 1953-57 is summarized in Table 3* and shown graphically in the charts, Figures 3 and 4.*** Consumption has increased most rapidly in the eastern regions**** of the USSR, pri- marily because of the new lands program and related activities. Con- sumption in these regions is estimated to have increased at an aver- age anneal rate of 16 percent, amounting in 1957 to 29 million tons, or 46 percent of total civil consumption. Of the eastern regions of the USSR, those making the most impres- sive gains have been Economic Regions IX (West Siberia), X (Kazakhstan and Central Asia), XI (East Siberia), and XII (the Far East). The consumption of petroleum products in these regions almost doubled in 4 years, amounting to about 15.6 million tons and representing more than one-half of the total civil consumption in the eastern regions in 1957. Meanwhile, the consumption of petroleum products in the European USSR has increased 9.6 percent annually, reaching 34+.6 mil- lion tons in 1957. Even greater than the increase in the consumption of petroleum products in the eastern regions has been the increase in production of crude oil, primarily from the highly productive oilfields in Eco- nomic Regions VI (Volga) and VIII (Urals), which was accompanied by a shift in the center of refining from Regions IV (Southeast) and V (Transcaucasus) to the eastern regions. The shift in the centers of production and refining of crude oil may help to solve several critical problems regarding the adequate and timely supply of petroleum products to consumers. First, the centers of production have been brought closer to the centers of consumption, thus reducing significantly the distances over which petroleum products must be hauled. Second, the petroleum industry is in a better position to supply'the rapidly increasing needs for petroleum products in Economic Regions IX, X, XI, and XII, where local production of crude oil is less than one-half of estimated re- quirements. The solution to the resulting problem of supply is the * The term economic region (or re ion) in this research aid re- fers to the economic regions defined and numbered on Map 13702 (L1-55), USSR: Administrative Divisions and Economic Regions, January 1955. Table 3 follows on p. 8. Following p. 8. As used in this research aid the term eastern regions of the USSR refers to the geographical area formed by Economic Regions VI, VIII, IX, X, XI, and XII. The remaining area is referred to as the European USSR. -7- S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 3 a. Data in this table have been compiled from Tables 11 through 15, pp. 4+9 through 53, below. For a graphic repre- sentation of these data, see Figures 3 and 4+, following p. 8. b. Economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955.- c. Totals were derived from unrounded data and do not always equal the sums of the rounded components. construction of an oil pipeline network which will extend ultimately to the Pacific Ocean. From the oilfields of Economic Regions VI and VIII, this network will supply the eastern regions with both crude oil and petroleum products. In connection with this project, a large-scale program for constructing and expanding refineries in the eastern regions is under way. - It is believed that the continued development of the new lands, accompanied by the expansion of industrial and transport facilities in the eastern regions of the USSR, may lead to a more equitable distribution of petroleum products for civil consumption between the eastern regions and the European USSR by 1965 or possibly earlier. Summary of Estimated Civil Consumption of Petroleum Products in the USSR, by Economic Region a/ 1953-57 Economic Region 1953 1954 1 955 1956 1 . 957 i 1.8 2.0 2.2 2.5 3.1 II 1.4. 1.7 1.9 2.1 2.2 III 6.6 7.4 8.1 8.6 9.2 IV 3.4 3.8 4.1 4.3 4.6 V 3.8 4.3 4.6 5.1 5.5 VI '-.o 4.6 5.5 5.8 6.5 VII 7.0 7.9 8.4+ 8.8 10.0 viii 4.1 4+.7 5.3 5.9 6.9 Ix 2.0 2.1I 2.7 3.2 3.6 X 3.7 4.5 5.7 7.1 8.1 XI 1.0 1.2 1.4 2.0 2.2 XII 1.2 1.3 :L.5 1.6 1.7 Total c/ 40.1 8 57.0 63 8 . Million Metric Tons S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 ESTIMATED DISTRIBUTION OF CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR BY MAJOR GEOGRAPHIC AREA, 1953 and 1957 Million Metric Tons SECRET Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 SECRET Figure 4 ESTIMATED DISTRIBUTION OF CIVIL CONSUMPTION OF PETROLEUM PRODUCTS IN THE USSR BY MAJOR GEOGRAPHIC AREA AND BY CONSUMING SECTOR 1953 and 1957 m Industry Agriculture 1953 1957 EUROPEAN USSR Transport 1.2 1.1 1953 1957 CENTRAL ASIA and KAZAKHSTAN m 1953 1957 1953 1957 SIBERIA FAR EAST SECRET Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T The development of the eastern regions is reflected again in the distribution of petroleum products by consuming sector.* In 1957, civil consumption of such products'by agriculture in Region X, the center of the new lands program, amounted ton 2t the ons, an at crease of 135 percent compared with 1953. construc- tion, consumption in Regions VIII, IX, and X amounted to about 3.5 million tons in 1957, an increase of 166 percent compared with 1953. Industrial consumption of petroleum products is concentrated in the relatively highly developed areas of Regions III (the Ukraine), V, and VIII. These regions accounted for more than one-half of the total consumption of petroleum products by industry in 1957. the Seven Year Plan (1959-65), however, increased deliveries of gas to the industrial centers of the USSR, particularly in Regions III and V, may cause changes in this pattern by promoting conversion from petroleum to gas. The primary industrial consumers of gas ap- pear to be the electric power stations, heavy metallurgical enter- prises, and, to a lesser extent, plants constructing machinery. The substitution of gas an an industrial fuel for residual fuel oil at these points may serve to reduce the share of petroleum productsto consumed by industry in Regions III and V. Plans to supply gas Region VIII are in a state of flux. An-unusually large deposit of natural gas discovered late in 1957 near Bukhara, Uzbek SSR, in Region X may become a principal source of gas for Region VIII, but actual deliveries are unlikely before 1965. Preliminary estimates of civil consumption of most of the prin- cipal types of petroleum products in the USSR in 1965 are as follows: Type of Product Amount Million Tons) Motor gasoline 30 Lamp and stove kerosine 9 Tractor kerosine 1.4 Diesel fuel 58 Lubricants 7 to 8 Residual fuel oil 25 Road oils and asphalts 10 Total 140 to 141 Available information does not permit the development of estimates for aviation gasoline, for jet fuel, or for the several minor * See Tables 11 through 15, pp. 49 through 53, below. -9- S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T petroleum products, without which an estimate of total consumption cannot be made. On the basis of the estimates cited above, however, and of plans for expanding production of crude oil, it is believed that the USSR will have a surplus of petroleum products in 1965. This conclusion is fortified by the tremendous expansion of the Soviet gas :industry. In terms of standard fuel units, crude oil accounted for nearly 86 percent of Soviet production of petroleum* in 1957 but is expected to supply only 63 percent in 1965. On the other hand, natural gas, which accounted for only about 14 percent of Soviet pro- duction of petroleum in 1957, is expected to provide nearly 37 per- cent of such production in 1965. Thus, assuming that Soviet goals for production of crude oil are achieved, the USSR may be expected to export increasing quantities of petroleum. The statistical bases for the conclusion that the USSR has a sur- plus of petroleum products are summarized in Table 4, which shows estimates of total consumption (including military consumption) dur- ing 1953-57. Estimates of total consumption account for 94.4 percent of the estimated supply of petroleum products during the entire period. The range of error on estimates of civil consumption of petroleum products given in this research aid is believed not to ex- ceed plus or minus 10 percent. For the remaining estimates, because of the complex methodology and the number of assumptions involved, derivation of ranges of error was not considered feasible. Table 4 a. Estimates have been rounded to the nearest hundred thousand. b. Date were derived from Table 5, p. 12, below. c. Data were derived from Table 26, Appendix A, p. 86, below. d. Data were derived from Table 1, p. 2, above. Estimated Total Consumption and Supply of Petroleum Products in the USSR a 1953-57 Distribution 1222 1 Available supply J Militar s 49.4 53.0 63.0 72.7 83.5 y con umption J Avail bl f i 5.8 6.6 7.2 10.8 15.3 e a or c vil consumption Civil c 43.6 46.4 55.8 61.9 68.2 onsumption ct A t 40.1 45.8 51.3 57.0 63.8 pparen surplus 3.5 0.6 4.5 4.9 4.4 * A used in this research aid, the term petroleum includes both crude oil and natural gas. 10 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 t-IAIRDP79S01046A000600120007-6 I. Introduction. This research aid has three objectives: (1) to estimate the total civil consumption of petroleum products in the USSR and the dis- tribution of this consumption by economic sector and by economic re- gion during the years 1953-57; (2) to estimate the level of consump- tion of selected major petroleum products in the USSR in 1965; and (3) to describe and analyze the more important trends in the consump- tion of petroleum products. The major sectors of civil consumption of petroleum products discussed in this research aid are transport, agriculture, households, construction, and industry. The major types of petroleum products discussed are gasoline, kerosine, diesel fuel, lubricants, residual fuel oil, and road oils and asphalts. It has been possible to derive estimates of consumption only for those petroleum products considered to be of prime importance to each sector. Thus for many of the sectors, such as the chemical industry, the annual totals given must be con- sidered minimal. A comparison of the estimates of total civil and military consumption of petroleum products in the USSR with estimates of pro- duction has served to define the validity of the estimates contained in this research aid. This comparison is shown in Table 5.* The estimated total consumption of petroleum products accounts for 94.4 percent of the estimated supply of petroleum products available dur- ing 1953-57. The portion unaccounted for varies from 1.1 percent in 1954 to 7.1 percent in 1953 and 1955. The fact that estimates of supply were developed independently by an entirely different approach lends further strength to the comparison. Thus the range of error in estimates of total civil consumption of petroleum products in indi- vidual years is believed to be not more than plus or minus 10 percent. Because of the complex methodology and the number of assumptions in- volved, derivation of ranges of error for the remaining estimates was not considered feasible. An analysis of individual products indicates that there will continue to be a surplus of gasoline and a shortage of diesel fuel in the USSR. Much of the imbalance between the estimated supply and con- sumption of these products probably can be attributed to the cumulative effect of the ranges of error in estimates of production and consumption of these products by the military and civil sectors of the Soviet econ- omy. Moreover, there may be sizable errors in estimates of production Table 5 follows on p. 12. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Summary of Estimated Total Consumption and Available Supply of Petroleum Products in the USSR, by Major Type of Product a 1953-57 Million Metric Tons Residuals Gaso- Kero- Diesel Lubri- and Year Distribution line sine Fuel cants Others Total _/ - 1953 Total consumption 10.0 7.6 8.8 2.1 16.9 45.9 , Available supply 13.9 7.8 6.7 2.1 17.6 49.4 J e/ Apparent surplus 3.9 0.2 0.7 3.5 Apparent deficit 2'_.1 1954 Total consumption 11.4 8.2 10.8 2.3 19.0 52.4.a/ Available supply 14.7 8.0 8.2 2.1 18.8 53.0 d/ e/ Apparent surplus 3.3 0.6 Apparent deficit 0.2 2.6 0.2 0.2 1955 Total consumption 12.8 8.2 13.4 2.5 21.0 58.5 J Available supply 16.9 10.4 10.4 2.5 21.8 63.0 e~ Apparent surplus 4.1 2.2 o.8 4.5 Apparent deficit 3.0 1956 Total consumption 14.4 10.8 15.1. 2.9 23.7 67.8 J Available supply 20.3 11.0 13.0 3.1 24.4 72.7 J fJ Apparent surplus 5.9 0.2 0.2 0.7 4.9 Apparent deficit 2.1 1957 Total consumption 16.3 14.7 17.3 3.1 26.6 79.1 J Available supply 21.7 13.1 15.6 4.1 28.2 83.5 / fJ Apparent surplus 5.4 1.0 1.6 4.4 Apparent deficit 1.6 1.7 a. Figures for consumption include both the civil and military sectors. Data were compiled from Table 25, Appendix A, p. 85, below. Estimates have been rounded to the nearest hundred thousand. b. Totals were derived from unrounded data and do not always equal the sums of the rounded components. c. Including crude oil consumed as a petroleum product by the petroleum industry. d. Including ligroine in addition to crude oil consumed by the petroleum industry. e. Estimates were derived by subtracting; losses and increments in storage from indigenous production. Data on imports and exports were available S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Summary of Estimated Total Consumption and Available Supply of Petroleum Products in the USSR, by Major Type of Product 1953-57 (Continued) except for the year 1957 and were taken into consideration. f. Including crude oil consumed by the petroleum industry. and consumption of these products, particularly in estimates of the amount of gasoline allotted to storage. Estimates of production of gasoline and diesel fuel were derived by the application of link relatives to known production in a given year but the estimates of consumption of these commodities are less reliable. This belief derived from the fact that it is pos- sible to interchange or to blend certain petroleum fuels and to identify incorrectly equipment consuming petroleum fuel. It is pos- sible that certain fuels, in particular those used by jet aircraft, have been produced by blending the gasoline, ligroine, kerosine and, to some extent, the gas oil fractions of petroleum. Such instances have been reported for the years 1949-53. ,Subsequent information in- dicates that this practice has increased. J* Moreover, it is pos- sible that kerosine and even gasoline have been substituted for diesel fuel in the USSR. It is also possible that equipment burning gasoline has been identified incorrectly as equipment burning diesel fuel. Finally, because estimates of consumption are minimal, actual surpluses may be smaller than those indicated. B. Statement of Methodology.** Most of the estimates are based on Soviet sources. In certain instances, however, the lack of information necessitated the develop- ment of data by means of subjective analysis. With only two exceptions, estimates are given in terms of the quantities of petroleum products consumed per unit of work or per unit of output. Estimates of consumption of kerosine by households are based on state and cooperative retail sales. Estimates of the * For serially numbered source references, see Appendix D. For further details, see Appendix B. - 13 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T consumption of petroleum products- by the nonferrous metals and manu- facturing industries in the years 1953 and 1955 represent the dif- ference between total consumption and consumption by other consumers. Estimates of consumption in the remaining years were calculated on the basis of (1) the proportions obtaining in 1953 and 1954, (2) an index of the demand for lubricants by the manufacturing industries, and (3) information implying a decrease in consumption of residual fuel oil in 1956 and 1957. * It is believed that the only petroleum products consumed in sig- nificant quantities by the nonferrous metals and manufacturing indus- tries of the USSR are residual fuel oil and lubricants. -14 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T II. Consumption by Consuming Sector and by Type of Product. Estimates of civil consumption of petroleum products in the USSR, by consuming sector and by type of product, are shown for each of the years 1953-57 in Tables 6 through 10.* A description of the methodology used to derive these estimates is given in Appendix B. A. Transport. The consumption of petroleum fuels by rail transport in the USSR is limited primarily to residual fuel oil and diesel fuel, although small amounts of oil shale mixed with coal are consumed in the Estonian SSR in Region II (West). Lubricants consumed include car axle oil, diesel lubricating oil, steam locomotive cylinder oil, and steam locomotive grease. The consumption of petroleum products by rail transport increased to 5 million tons in 1957, or about twice the level achieved in 1953, to share with households the highest rate of increase in the consumption of petroleum products recorded by any of the consum- ing sectors of the civil economy. Of the individual products, diesel fuel has shown the sharpest gain since 1953, increasing by more than 270 percent to reach 0.8 million tons in 1957. The consumption of residual fuel oil, which amounted to 3.9 million tons in 1957, has shown the largest absolute increase, 1.8 million tons, since 1953. The increment in the consumption of residual fuel oil, in turn, ac- counted for about 75 percent of the increase in total consumption of petroleum products by rail transport during the period under study. Most of the increase in consumption of petroleum products by rail transport was experienced in 1956 and 1957. In these years, consumption increased by 0.8 million tons and 1.2 million tons re- spectively compared with a total increase of only 0.5 million tons from 1953 to 1955. These increases in consumption reflect signifi- cant advances in the volume of rail transport performed by loco- motives consuming petroleum fuel, particularly in Economic Regions I (the Northwest), VII (Central), and X (Kazakhstan and Central Asia). The increases in the consumption of diesel fuel result from the general scheme of dieselization of the railroad system. As yet, however, the consumption of diesel fuel by rail transport is Tables6 through 10 follow on pp. 33 through 37- - 15 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T relatively insignificant in the total cavil consumption of diesel fuel, accounting for about 5 percent in 1957. Compared with the consumption of diesel fuel by US railroads, which reached more than 11.4 million tons in 1956, the consumption. of diesel fuel by rail- roads in the USSR in 1960 has been forecast at 2.4- million tons. J The demand for diesel fuel in the USSR by rail transport may reach a level of about 8 million tons by 1970, or about two-thirds of US consumption in 1956. The increased consumption of residual fuel oil probably can be attributed to the apparent conversion of large numbers of steam locomotives from coal to oil in the latter half of 1955 and in 1956-57. Instead of reflecting current; or anticipated shortages of coal, these conversions probably indicate a greater supply of residual fuel oil. The growing importance of rail transport as a consumer of residual fuel oil is evident in its advance to the posi- tion as the second leading civil consumer in 1956, replacing the steel industry. Rail transport accounted for about 19 percent of the civil consumption of residual fuel oil in 1956-and probably about 22 percent in 1957. The share of rail transport in the civil consumption of petroleum products has shown only a minor advance, from slightly more than 6 percent in 1953 to about 8 percent in 1957. In spite of evidence of'a continued gradual shift from solid fuels to liquid fuels, it is probable that the increase in the consumption of petro- leum products by rail transport will not keep pace with the planned increases in the total consumption of such products. 2. Inland Waterway. For the purposes of this research aid the consumption of petroleum products by inland waterway transport includes consumption by all of those river steamship companies formerly subordinate to the All-Union Ministry of the River Fleet and now subordinate to the Republic ministries of the river fleet; the Central Asiatic Steamship Company, recently transferred to the Ministry of the Maritime Fleet; and the Republic small river administrations. The noncommon carrier river fleets of certain mining,timber, and other industrial enter- prises are not included. Estimates have been made for residual fuel oil, diesel fuel, and lubricants. The consumption of gasoline by inland water- way transport is insignificant and has been omitted. The estimates represent the amounts of fuel and lubricants consumed in carrying freight and passengers and in performing all other functions neces- sary to maintain service afloat and ashore. - 16 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T During 1953-56 the consumption by inland waterway trans- port showed a steady increase, with an average increment of 0.1 mil- lion tons in each year. In 1957, consumption increased by about 0.3 million tons, or by 25 percent,-to reach 1.5 million tons. Residual fuel oil, probably reflecting an increased supply of this fuel locally, accounted for two-thirds of the increment. At the end of World War II, inland waterway transport in the USSR consisted largely of steam vessels burning residual fuel oil, coal, or wood. Since that time an increasing emphasis has been placed upon dieselization. In 1950, 19 percent of inland waterway transport was diesel-propelled; by 1960, 67-percent dieselization is planned. The effects of the planned dieselization of inland waterway transport are apparent in the period under study. Diesel fuel as a share of the total consumption of petroleum prod- ucts by the fleet increased from about 19 percent in 1953 to more than 33 percent in 1957. During this period the consumption of diesel fuel increased by 170 percent, to about 0.5 million tons in 1957. Furthermore, diesel fuel accounted for about 55 percent of the increase in consumption of petroleum products by inland water- way transport during 1953-57 compared with about 4+5 percent attrib- utable to residual fuel oil. Comparative gains probably will con- tinue to be recorded, possibly through 1965. Residual fuel oil, which accounted for about 75 percent of the total consumption of petroleum products by inland waterway transport in 1953, accounted for less than 65 percent in 1957, in spite of a concurrent estimated increase in the consumption of residual fuel oil of 36 percent, to about 1 million tons. Further declines may be expected as the result of dieselization. Under the Sixth Five Year Plan (1956-60) the consump- tion of diesel fuel by the river fleet was scheduled to increase about 3.3 times and the consumption of residual fuel oil, 1.7 times. / Thus by 1960, inland waterway transport may consume about 1 million tons of diesel fuel and about 1.3 million tons of residual fuel oil. Conversely, for the other types of fuel consumed by in- land waterway transport, coal is to maintain approximately the level of 1955, but a significant decrease in consumption of wood is planned, to about 35 percent of the level of 1955? The share of inland waterway transport in total civil consumption of petroleum products showed only a very slight increase, from 2.3 percent in 1953 to 2.1+ percent in 1957. The significance of inland waterway transport,as a consumer of petroleum products is not expected to be greatly altered in the long run. - 17 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T 3. Oceangoing. Estimates of the consumption of petroleum products in the USSR by oceangoing transport include those estimates of consump- tion by the organizations subordinate to the Ministry of the Maritime Fleet, including all of the maritime steamship companies, and the three companies operating on the Caspian Sea. Estimates have been derived for. those fuels and lubricants expended by oceangoing trans- port in carrying cargo and passengers and by the service fleet and shore installations in performing maintenance functions. The consumption of petroleum products by oceangoing transport of the USSR increased to 1.2 million tons in 1957, an in- crease of about 60 percent over the level that was recorded in 1953, Yet as a share of the total civil consumption of petroleum products, oceangoing transport remained at a constant level of about 2 percent during 1953-57. Of the absolute increment of 450,000 tons during this period, diesel fuel accounted for about 49 percent, and residual fuel oil for about 40 percent. The consumption of diesel fuel in- creased at an average annual rate estimated at about 27 percent com- pared with approximately 8 percent for residual fuel oil. Evidence of the apparent shift to diesel fuel is the in- creasing role attributed to diesel fuel in the total consumption of petroleum products by oceangoing transport. In 1953, diesel fuel accounted for slightly less than 19 percent of the petroleum fuels and lubricants consumed. By 1957 the share had grown to about 30 percent. Thus, although the trend is more pronounced in the case of inland waterway transport, there is also a definite trend toward the dieselization of the maritime fleet.. Although future increases in the consumption of both diesel fuel and residual fuel oil are anticipated, it is probable that increases in the consumption of residual fuel oil will be of lesser proportions. 4+. Motor. The estimated consumption of petroleum products in the USSR by motor transport represents the consumption of petroleum products by vehicles subordinate to the Republic ministries of motor transport, as well as by those motor vehicles in agriculture and in industry. In addition, estimates of the consumption of petroleum products by privately owned automobiles and motorcycles have been included. Of the individual sectors in the civil economy of the USSR, motor transport has shown the largest absolute increase in consumption of petroleum products since 1953 -- 5.8 million tons, Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T achieved at an average annual rate of 17 percent -- to reach a total of 12.6 million tons in 1957. This sharp increase served not only to raise the share of motor transport in the total civil consumption of petroleum products to 20 percent but also enabled motor transport to challenge agriculture as the leading consumer. Final figures for 1957 may show that motor transport already has replaced agriculture as the leading consumer. Gasoline is the principal primary fuel used by motor transport. The increase in consumption of gasoline by motor trans- port to 11.6 million tons in 1957 represented more than 91 percent of the total increase in consumption of petroleum products by motor transport since 1953. In addition, motor transport accounted for more than 86 percent of the total civil consumption of motor gasoline in 1957. The consumption of gasoline has kept pace with the growth in the total consumption of petroleum products by motor transport. Consequently, throughout the period 1953-57 the share of gasoline in total consumption has held constant at about 92 percent. Of the several types of gasoline-consuming vehicles within the motor vehicle park of the USSR, freight trucks account for the preponderant share of the estimated consumption of gasoline. This share ranged from more than 85 percent in 1953 to 81 percent in 1957? The slight decline resulted from slight increases in the proportions of privately owned vehicles (automobiles and motorcycles) and of motor buses, which reached 10.3 percent and 6.7 percent, respectively, in 1957. The remainder of consumption of gasoline in each year has been attributed to passenger and truck taxi. The consumption of diesel fuel by motor transport in the USSR increased to about 170,000 tons in 1957, a gain of about 120 per- cent since 1953. Nevertheless, diesel fuel accounts for only about 1 percent of consumption of petroleum products by motor transport. Plans covering the next 10 to 15 years call for a rapid advance in the transport of freight by diesel-powered trucks. This rate of increase will exceed by three times that of gasoline-powered trucks. 4/ it is expected that increases in the consumption of diesel fuel will result from the implementation of this plan, although dieselization of the truck fleet will be limited primarily to those trucks with a carry- ing capacity of more than 4 tons. Trucks with a capacity of 4 tons will be equipped to operate on either motor gasoline or diesel fuel, depending on supplies. Trucks below 4 tons and all passenger cars will operate on motor gasoline. These plans indicate a continuation of the predominant role of motor gasoline in powering the motor vehicles. - 19 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-.T Presently in use in the USSR are two types of motor vehicles powered by diesel fuel, freight trucks and buses. In 1953, freight trucks accounted for less than 79 percent of the diesel fuel. consumed by motor transport. By 1957 this share had increased to about 88 percent. Motor transport accounts for a considerable share of the total civil consumption of lubricants in the USSR. In 1953, motor transport accounted for about 450,000 tons of lubricants, or 22 per- cent of the total consumed. In 1957, consumption of lubricants in- creased to about 830,000 tons, or 28 percent of the total. As motor transport assumes the position of leading consumer of petroleum products, a comparable increase in the share of lubricants consumed by motor transport may be anticipated. 5. Civil Air. These estimates include the consumption of (a) aviation gasoline by reciprocating engine aircraft of the DC-3 type (I1-14, Crate; I1-12, Coach; Li-2, Cab), (b) lubricating oil by such aircraft, and (c) jet fuel (kerosine) by the Tu-104 (Camel) and Tu-104A aircraft. The consumption of lubricating oil by jet aircraft is considered to be negligible and has: not been included. Also considered negligible and not included is the consumption of petroleum products by Special. Services and Polar Aviation Operations. Civil air transport accounts for all of the civil consump- tion of aviation gasoline, which increased at an average annual rate of about 7 percent since 1953 to reach about 0.9 million tons in 1957. The civil consumption of jet fuel in the USSR first be- came apparent in 1957, when civil air transport had in operation about 30 jet aircraft. These aircraft consumed about 150,000 -tons of jet fuel, thus accounting for 15 percent of the consumption of all petroleum products by civil air transport in 1957. The development of jet propulsion portends a significant change in the structure of consumption of aviation fuels. Soviet planners have indicated that this change will be evident particularly in the pattern of the consumption of aviation fuels by civil air transport. J Although demand for aviation. gasoline will increase somewhat, such gasoline will account for a smaller share of the fuels consumed by civil aviation because of a considerably higher demand for jet fuel. - 20 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T The increasingly important role to be played. by jet air- craft is not expected to alter significantly the minor role of civil air transport in the consumption of petroleum products in the USSR. In spite of the introduction of jet aircraft in 1957, the share of civil air transport in the consumption of petroleum products de- clined slightly compared with 1953. Although the increased use of aircraft will serve to reverse this trend, the share of civil air transport probably will remain at about 2 percent of the total civil consumption of petroleum products in the USSR. B. Agriculture. Estimates of the consumption of petroleum products by Soviet agriculture represent consumption by agricultural tractors, by com- binet, and by other types of agricultural machinery which use petro- leum products. Estimates of the consumption of petroleum products by trucks and automobiles of the agricultural sector are included in the estimates derived for motor transport. All tractor field work in the USSR is measured by a standard accounting unit, the soft-plowing unit, into which all work is trans- lated. Similarly, tractor utilization is measured by the average number of soft-plowing units performed per 15-horsepower tractor unit, and fuel consumption is given in terms of the average consumption (in kilograms) per unit of tractor work for each type of work. A lack of information precluded the derivation of precise estimates of consump- tion according to type of tractor. Instead, an estimate was made of the proportion of the Soviet tractor park consuming diesel fuel. Evidence suggests that, for the purposes of this research aid, trac- tor kerosine may be considered the primary fuel of tractors not con- suming diesel fuel. The quantities of gasoline and ligroine consumed by the agricultural tractor park are believed to be negligible, par- ticularly in the later years under study, and have been omitted. All of the combines in use in the USSR consume gasoline as a primary fuel. Productivity and consumption of fuel per hectare varies according to the model of the combine. In recognition of these fluctuations, use has been made of an average fuel consumption factor in terms of kilograms per hectare of area harvested, which was computed on the basis of the annual composition of the combine park, the daily productivity of each combine model, and the consump- tion of fuel per hectare by each model. The consumption of petroleum products by other agricultural machinery reflects the relationship between the total amount of energy developed by tractors and combines and that developed by the other agricultural machinery. - 21 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046AO00600120007-6 S-E-C-R-E-T Agriculture, the leading individual consumer during 1953-57, showed a total increase in consumption of only 3 million tons to reach 12.8 million tons in 1957. The average annual rate of increase, about 7 percent, is considerably below the estimated rate of increase of 12.3 percent in the total civil consumption of petroleum products in the USSR. Consequently, the share of agriculture in such consump- tion declined from more than 24 percent in 1953 to about 20 percent in 1957 and may have dropped below that of motor transport in 1958. The relatively slower rates of increase in the consumption by agriculture result in general from the program of dieselization of the agricultural tractor park. Of the several distinct advantages that diesel tractors hold over others, probably the most important is the lower rate of consumption of primary fuel per unit of output. For the period 1953-57, it is estimated that diesel tractors consumed 10 kilograms (kg) of fuel per soft-plowing unit, as compared with an estimated consumption of more than 15 kg 'by nondiesel tractors. Thus, in the performance of a comparable unit of output, the use of diesel tractors would represent a saving in fuel of over one-third. The importance of this saving is readily apparent. In 1953, diesel. tractors accounted for 53.5 percent of all soft-plowing units in the USSR. By 1957, this share had increased to 79.9 percent. If, however, the share performed by diesel tractors had remained constant throughout the period at 53.5 percent, the total primary fuel consump- tion by tractors in 1957 would have exceeded the amount estimated for that year by about 1 million tons, or by nearly 10 percent. The dieselization of the agricultural tractor park has re- sulted in significant changes in the types of petroleum products consumed by Soviet agriculture. In 1953, consumption of tractor kerosine amounted to 4.6 million tons, or about 47 percent of all such products, and diesel fuel to 3.7 million tons, or only 38 per- cent of the total. By 1957, however, consumption of diesel fuel by agriculture had increased to 8.1 million tons, or more than 63 per- cent of all the petroleum products consumed by agriculture. At the same time, consumption of tractor kerosine declined to 2.9 million tons, accounting for less than 23 percent of the total. Available information indicates that the decline in the demand for tractor kerosine by agriculture will continue at least through 1965. By then, it has been reported that the demand will have been reduced to 37 percent of the 1955 level, thus suggesting a quantity of about 1.4 million tons. Conversely, a continued rapid raise: in the consumption of diesel fuel by Soviet agriculture is foreseen. On the basis of available evidence, 7/ the consumption of diesel fuel by agriculture S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046AO00600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T in 1965 may be estimated at about 23 million tons, or almost 3.7 times that in 1955. The fulfillment of plans for the introduction of diesel equipment into other sectors of the economy, particularly in transport, will serve to reduce the share of Soviet agriculture in the total consumption of diesel fuel in the USSR. J Of the total military and civil demand for diesel fuel, the agricultural share is expected to decline from about 47.0 percent in 1955 to 38.9 percent in 1965. Meanwhile the share of transport is expected to increase from about 8.3 percent in 1955 to 24.3 percent in 1965. In addition to diesel fuel, the agricultural sector consumes considerable quantities of gasoline and lubricants. Most of the gasoline is used by combines, the remainder being consumed by other types of agricultural machinery or as a starter fuel for diesel en- gines. Although the consumption of gasoline in 1957 increased to 8+0,000 tons, a gain of about 15 percent since 1953, there has been a decline since 1955. The consumption of gasoline by agriculture in 1957 has been estimated at 93.3 percent of the 1955 level, although the estimated number of hectares harvested by combines in 1957 rep- resented an increase, if only minor, compared with 1955. The decrease resulted from a reduction of about 10 percent in the quantity of pri- mary fuel consumed per hectare of area harvested in 1956 and 1957. In each of the years 1953-57, agriculture was the leading individual consumer of lubricants. In 1953, agriculture accounted for 730,000 tons of lubricants, or 36.5 percent of civil consumption. In spite of an increase to 920,000 tons in 1957 the share of agri- culture declined to 30.7 percent of civil consumption of lubricants. This decline is attributable to the dieselization of the agricultural tractor park, because diesel tractors consumea smaller proportion of lubricants than do other tractors. Further declines may be ex- pected, possibly through 1965, but these declines should not effect the position of agriculture as the leading consumer of lubricants. 2/ C. Households. Estimates of the consumption of petroleum products by Soviet households have been limited to the consumption of lamp and stove kerosine. The consumption of other petroleum products, if any, is believed to be negligible and has been omitted. Household consumption of kerosine doubled during 1953-57 to reach about 2.4 million tons. This rate of increase in consumption is equaled by only one other consuming sector, motor transport. During 1953-57 the consumption of kerosine increased at an average annual rate of 18.9 percent, or close to the rate of 18.7 percent - 23 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T increase in consumption of illuminating* kerosine which was reported under the Fifth Five Year Plan (1951-55). 10/ By years, a slightly higher rate of increase in consumption was achieved in 1956 and 1957. In these years, consumption rose by an estimated 25 percent and 20 percent, respectively. The share of households in civil consumption of kerosine in- creased steadily to about 44.4 percent of the total in 1957, reflect- ing the increased supply of kerosine for households because of the decline in the use of tractor kerosine. There is little evidence with which to speculate on future trends in consumption of kerosine by Soviet households. These trends will be influenced to a, large extent by the degree of implementation of plans to increase the delivery of electrical power and gas to households. Electrical power will play an important role in the more remote areas. Conversely, the delivery of gas will be increased in urban areas, particularly in the European 'USSR. In 1956, gas was available for domestic use to 12 million people, or 13.8 percent of the urban population of the USSR. ll Deliveries to the rural areas were insignificant. By 1965, gas is to be supplied to 65 percent of the urban population, to a total of 70 million people. In addition, liquefied gas will be supplied to 35 percent of the rural population. Thus, according to preliminary calculations as reported in Soviet source material, 12/ in 1965 a total population of 83 million will be using gas in some form. It is probable that kerosine will be replaced in certain areas as a household fuel by gas. It is also probable that gas will replace! other household fuels such as coal and fuelwood. The con- sumption of lamp and stove kerosine per capita in the USSR in 1956 averaged 10 kg, representing an increase of 35 percent above the pre-World War II high of 7.4 kg per capita in 1940,** 14 which in itself represented only a very small increase over the consumption of 6.5 kg of kerosine per capita in 1913. In consideration of the estimated increase in production of kerosine,*** however, accompanied * In Soviet sources, mention is made of only two types of kerosine. These types are tractor kerosine and illuminating kerosine. It is probable that illuminating kerosine, in addition to its primary pur- pose, is used as a fuel for stoves. ** The slow rate of increase in consumption of kerosine for domestic purposes before World War II can be attributed to (1) the extremely high rates of increase in the demand for kerosine by the tractor park and (2) a reduction in production of crude oil at the Groznyy fields. 13 Both factors have led to a reduction in the quantities of kerosine available to households. *** It has been estimated that production of kerosine in 1965 will be 2.4 times that in 1955. - 24 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T by a sharp decline in the demand for tractor kerosine, it is believed that the consumption of kerosine by households will continue to in- crease at the rate exhibited during 1950-57. This rate of increase -- about 19 percent annually -- probably will be continued through 1960 and possibly to 1965. The consumption of kerosine by households then would reach 3.8 million tons in 1960 and about 9 million tons in 1965. D. Construction. Estimates of the consumption of petroleum products by con- struction in the USSR include consumption by the construction equip- ment park and by the construction materials industry. Also included are estimates of consumption of road oils and asphalts, because all of the production of these items in the USSR is believed to be used in construction. The consumption of petroleum products in construction in- creased to 9.3 million tons in 1957, a gain of about 66 percent over the level of 1953. The increase in consumption has been comparable to that in the total civil consumption of petroleum products, and as a consequence the share of construction in such consumption has re- mained constant at about 14 percent. Construction was the third leading civil consumer of petroleum products during 195+-57 and prob- ably will retain this position. Road oils and asphalts have accounted for most of the petro- leum products used in Soviet construction, averaging about 60 percent during 1953-57. In addition, these products provided for more than half the total increase in consumption of petroleum products. in con- struction during those years. The consumption of road oils and asphalts increased from about 3.5 million tons in 1953 to about 5.5 million tons in 1957. On the basis of available information the consumption of road oils and asphalts may reach 10 million tons in 1965. Together with diesel fuel, road oils and asphalts accounted for about 95 percent of the total consumption of petroleum products in Soviet construction during each of the years 1953-57. The quan- tity of diesel fuel so consumed in 1957 reached about 3.4 million tons, an increase of about 90 percent compared with 1953 and more than five times the quantity so consumed in 1950. In 1957, con- struction accounted for 20.9 percent of the total civil consumption of diesel fuel, declining slightly from the level of 22.8 percent registered in 1953. The consumption of diesel fuel probably will continue to grow at the average annual rate of increase of 17.2 per- cent which was exhibited during 1953-57. Continuation of this rate of increase would indicate the consumption of approximately 5.5 mil- lion tons of diesel fuel in construction in 1960. - 25 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999t0288R.-iCJ4-RDP79S01046A000600120007-6 During 1953-57 the consumption of tractor kerosine and ligroine in construction virtually ceased. The consumption of kerosine reached negligible proportions in 1956. The consumption of ligroine reached negligible proportions in 1954, and the need for this type of trac- tor fuel apparently was obviated in 1955. The apparent need for gasoline in Soviet construction also is declining. It is estimated that since World War II such consump- tion reached a peak of 270,000 tons in 1954. The consumption. of gasoline in 1957 is estimated at about 81 percent of the 1954 level. Further declines probably will be recorded as gasoline is supplanted by diesel fuel and electric power. E. Industry. 1. Petroleum. The petroleum industry in the USSR consumes a variety of petroleum products in its crude oil drilling and producing operations, in the refining of crude oil, and in the construction and repair of trunk* oil and gas pipelines.** Among these products are gasoline, diesel fuel, lubricants, residual fuel oil, bitumen, bituminous tar, and ligroine. The petroleum industry also consumes as a petroleum product about 1 percent of the indigenous production of crude oil. Of the individual branches of Soviet industry, the petro- leum industry held second place behind the electric power industry as an industrial consumer of petroleum products during 1953-57? The share of the petroleum industry in total civil consumption of petro- leum products advanced from about 7 percent in 1953 to about 8 per- cent in 1957. The rate of increase in consumption of petroleum products by the Soviet petroleum industry has approximated the increase in production. of crude oil. It has been estimated that, during 1953-57, about 5 kg of petroleum products were needed to drill for, to pro- duce; and to refine 1 ton of crude oil. * That pipeline. in a system of pipelines which performs the cen- tral delivery. ** Although responsibility for the construction of crude oil, petro- leum product, and gas pipelines was transferred from the. Ministry of the Petroleum Industry, USSR, to the Main Administration for the Gas Industry, attached to the Council of Ministers, USSR (Glavnoye Upravleniye Gazovoy.Promyshlennosti pri Sovete Ministrov SSSR -- Glavgaz, USSR) in July 1957, 15/ for the purposes of this study, the consumption of petroleum products in the construction and repair of trunk pipelines during the whole of 1957 is attributed to the petro- leum industry. - 26 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E=C-R-E-T Inasmuch as production of crude oil increased by more than 85 percent over that in 1953,'the consumption of petroleum prod- ucts by the petroleum industry in 1957 is estimated at 5 million tons. The principal item consumed was residual fuel oil, which accounted for more than 60 percent of the total in each year. Crude oil ac- counted for nearly 20 percent annually, and diesel fuel about 12 per- cent. The remainder is attributed to gasoline, lubricants, bitumen, bituminous tar, and ligroine. The consumption of the individual petroleum products by the petroleum industry is peculiar to the type of operation per- formed. Crude oil drilling and producing operations account for all of the consumption of gasoline, diesel fuel, lubricants, crude oil, and about 9 percent of the annual consumption of residual fuel oil. All of the remaining residual fuel oil is consumed by the crude oil refineries. In 1957 the crude oil drilling and producing operations provided for about 42 percent of total consumption by the petroleum industry, and the consumption of residual fuel oil in the process of refining of the crude oil reached about 56 percent of the total for all petroleum products, with the remainder directed to the pipeline construction program. The pipeline construction program in 1957 consumed only 66,000 tons of bitumen and bituminous tar and negli- gible. amounts of ligroine, accounting for about 1 percent of all petroleum products consumed by the petroleum industry. An analysis of available information indicates that a re- duction in the consumption of petroleum products in terms of produc- tion of 1 ton of crude oil, is to be expected. Probably most of this reduction will occur during the process of refining, inasmuch as a number of crude oil refineries are scheduled to convert from the burning of residual fuel oil to the burning of natural gas. For example, it has been reported that most of the Baku refineries have already converted to gas. 16 Wider use of available resources of .gas in the field by the petroleum industry is also contemplated.* It is also probable, however, that the effect of the planned con- versions will not be readily apparent for several years. As late as 1956, none of the field equipment of the industry had been con- verted to gas as yet. Therefore, with production planned at about 14+0 million tons of crude oil in 1960, the consumption of petroleum products by the petroleum industry in that year may be estimated at 7 million tons. Production of crude oil in 1965 is scheduled to reach 230 million tons. 18 The consumption of petroleum products by the industry in 1965 may range between 9 million and 10 million tons. # According to the plan for 1957 the consumption of gas by the oil and gas industries of the USSR was to reach 22.1 percent of the total civil consumption of gas. 13/ - 27 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T 2. Chemical. The chemical industry of the USSR uses petroleum products in process heating in the manufacture of soda ash and caustic soda and as a raw material in production of synthetic rubber, tires, and carbon black. Residual fuel oil is used in certain chemical plants in the calcination of sodium bicarbonate to produce soda ash and to raise the steam required in production of caustic soda. Rubrax, a petroleum alkaline bitumen, is used as a softening agent in produc- tion of tires and rubber technical articles. Green oil, a heavy distillate oil, finds application in production of certain types of carbon blacks produced by burning liquid hydrocarbons in the presence of an insufficient amount of air. The quantities of petroleum products consumed by the chemical industry are negligible. By :L957 there had been an in- crease of 20 percent compared with 1953, but the total amount so consumed was only 240,000 tons. In each of the years 1953-57, residual fuel oil accounted for approximately 50 to 55 percent of the petroleum products consumed by the chemical industry, followed by green oil, which accounted for about 35 to 40 percent. Rubrax accounted for the remainder. Next to the coal industry the chemical industry is the smallest civil consumer of petroleum products in the USSR. The share of the chemical industry in the total civil consumption of petroleum products declined from about 0.5 percent in 1953 to less than 0.4 percent in 1957. With the anticipated development of a large petrochemical industry, the chemical industry is expected to consume much larger quantities of petroleum products. It is unlikely, however, that these quantities will be sufficient to make the indus- try a significant consumer of petroleum products. The coal industry is the smallest civil consumer of petro- leum products in the USSR. The consumption of such products by the industry increased from 170,000 tons in. 1953 to 230,000 tons in 1957. The consumption of petroleum products by the coal indus- try is limited to those amounts of diesel fuel consumed in the flota- tion process, to lubricants consumed by surface and underground mining equipment, and to fuel and lubricants expended by the motor vehicle park of the industry. The estimates involving motor vehicles are included in the estimates derived for motor transport.* * II, 18, above. S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T The quantities of diesel fuel consumed in the flotation process are insignificant, ranging from 25,000 tons in 1953 to 1+7,000 tons in 1957. Lubricants consumed by the wide variety of mining equip- ment -- among which are included tunneling 1, combines, drills, excavators, and conveyors -- accounted for about 80 percent of the petroleum products consumed in each year. Lubricants also accounted for two- thirds of the increment in the consumption of such products by the coal industry during 1953-57. The consumption of lubricants by the industry in 1957 is estimated at 180,000 tons. Like the chemical industry, the coal industry has ac- counted for a decreasing share of the civil consumption of petroleum products since 1953. Although it is doubtful that these declines will continue indefinitely, there is little evidence to indicate the likelihood of any substantial relative increase in the consumption of petroleum products by the coal industry. 4. Steel. It is believed that the steel industry of the USSR con- sumes substantial quantities of residual fuel oil, lubricants, motor gasoline, and diesel fuel. Except for residual fuel oil, these prod- ucts are used in. the performance of transport services and therefore are included in those estimates derived for motor transport.* The major use of residual fuel oil in the steel industry is for firing open-hearth furnaces, soaking pits, and reheating fur- naces. The consumption of residual fuel oil for these purposes has risen from about 2.3 million tons in 1953 to about 3 million tons in 1957. During these years, however, the share of the steel indus- try in the total consumption of residual fuel oil declined from 19.5 percent of the total in 1953 to about 16.6 percent in 1957. Similarly, the share of the industry in the total civil consumption of petroleum products declined from about 6 percent in 1953 to slightly less than 5 percent in 1957. The use of residual fuel oil to fire steelmaking units in the USSR is decidedly secondary to the use of blast furnace and coke oven gas, and this situation is not likely to change greatly within the next few years. The planned conversion of a number of open-hearth furnaces to natural gas will serve to offset, at least in part, any increased use of residual fuel oil. It is probable that the conversion to natural gas or the increased use of residual fuel oil will occur only on a regional basis and will be dictated by considerations of supply. * II, A, , p. 18, above. - 29 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T 5. Electric Power. Significant quantities of gasoline, diesel fuel, and residual fuel oil are consumed in the USSR in the generation of electric power. Residual fuel oil probably constitutes virtually the entire supply of petroleum fuels consumed by the thermal elec- tric :power stations under the authority of the Ministry of Electric Power Stations, USSR. These plants usually have a capacity of 6 megawatts or more. Diesel fuel and other internal combustion engine fuels are used only in installations with a relatively small capac- ity which are not under the Ministry of Electric Power Stations. Soviet consumption of petroleum products in the genera- tion of electric power increased from about 5.6 million tons in 1953 to about 8.2 million tons in 1957, an average annual gain of 10 percent. These totals place the electric power industry as the leading consumer of petroleum products in the industrial sector. In each of the years 1953-57, the electric power industry accounted for about 46 percent of the total consumption of petroleum products by the industrial sector. Consumption of petroleum products by the electric power industry represented about 13 percent of total civil consumption in 1957. In relation to other consumers of petroleum products in the civil economy, the electric power industry holds fourth place and is expected to remain in this position. The electric power industry is a major consumer of residual fuel oil in the USSR. In each of the years 1953-57, approximately 30 percent of the civil consumption of residual fuel oil has been in the generation of electric power. At the same time the consumption of this product by the electric power industry increased from about 3.7 million tons in 1953 to about 5.4 million tons in 1957, account- ing for about two-thirds of all the petroleum products consumed by the industry. Considerable quantities of diesel fuel are also consumed by the electric power industry in the USSR. These quantities ranged from about 1.5 million tons in 1953 to about 2.3 million tons in 1957, representing about 19 percent and 14 percent, respectively, of the civil consumption of diesel fuel. This rather sharp decline may be attributed to the more rapid increases in the consumption of diesel fuel by other sectors of the economy. - 30 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Gasoline is of relatively minor importance to the electric power industry of the USSR. In 1957, consumption amounted to about 1+90,000 tons, a gain of 32 percent compared with 1953. Nevertheless, gasoline represented less than 6 percent of the petroleum products consumed in 1957 by the industry. The consumption of lubricants by the electric power indus- try of the USSR is negligible. The estimates, which have been based upon analogy with US practice, amount to only 1,000 tons in each. of the years 1953-57? Significant increases in Soviet production of electric power are expected. At present, goals are believed to be as. follows: 1960, 300 billion kilowatt-hours (kwh); 1965, 500 billion kwh; and 1972, 900 billion kwh. Relative increases in the consumption of petro- leum products by the electric power industry are unlikely, because the amount of electric power to be generated by stations using petroleum products is not to change substantially. Production of electric.power by stations using residual fuel oil in 1972 probably will amount to about 9 billion kwh compared with 8.8 billion kwh generated by such stations in 1955.* The generation of electric power by stations using other petroleum products is scheduled to increase from 6.5 billion kwh in 1955 to about 9 billion kwh in 1972, but because of probable reduc- tions in the consumption of fuel per unit of output, significant in- creases in the consumption of these fuels by the industry are not anticipated. Details for implementing Khrushchev's speech at the dedication of the Kuybyshev hydroelectric power station, in which he called for a speed-up in the construction of thermal electric power. stations, have not been announced. Although the implementation of this program will require an increase in the consumption of fuel by the electric power industry, much of this increase probably will be provided by natural gas. The consumption of petroleum products by the electric power industry in the USSR in the next 15 years may approximate those levels which have been estimated for 1957. 6. Nonferrous Metals and Manufacturing. There is little information to indicate the volume of petroleum products consumed by either the nonferrous metals or manu- facturing industries in the USSR. For certain phases of the Soviet economy in which practices are comparable to those in the US, fairy reliable estimates of the consumption of petroleum products can be derived by analogy. With regard to the nonferrous metals industry, * The estimate for 1972 was derived by a complex methodology, based on many sources, which it is impractical to reproduce here.. The methodology and sources are available in the files of this Office. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T however, the absence of estimates of Soviet production of the indi- vidual metals precludes such a comparison. Conversely, for the manu- facturing industries, usable data on the consumption of petroleum products by comparable US industries are not available. It is believed that the only petroleum products consumed in any significant quantity by the manufacturing industries of the USSR are lubricants and residual fuel oil. Although the nonferrous metals industry of the USSR probably consumes quantities of several petroleum products in the performance of various operations, such as the exploitation of mining equipment, the principal share would be consumed in transportation. Estimates of consumption in transporta- tion are included by definition in those estimates for motor trans- port.-* Therefore, the only estimates of consumption that have been derived for the manufacturing and nonferrous metals industries are those involving lubricants and residual fuel. These estimates for lubricants and residual fuel inaicate that consumption of petroleum products by the nonferrous metals and manufacturing industries in the USSR increased from 900,000 tons in 1953 to a maximum of 1.4 million tons in 1955 but declined to 1.2 mil- lion tons in 1956. In the absence of data to the contrary, it is as- sumed that consumption in 1957 remained at the level of 1956., Such levels of consumption represented insignificant portions of the total civil consumption of petroleum products, averaging about 2 percent in each year. The apparent decline in the consumption of petroleum prod- ucts in the USSR reflects the replacement of residual fuel oil as an industrial fuel by as. Estimated consumption of residual fuel oil had increased from 700,000 tons to 1.2 million tons in 1955 but de- clined sharply to 900,000 tons in 1956. Although further declines of 25 percent are unlikely, the use of gas is increasing, especially in the manufacturing industries. In information supplied to the Economic Commission for Europe, 19 the USSR indicated plans for a sharp in- crease in the allocation of gas to machine-construction plants. In 1960. the consumption of gas in machine construction is scheduled to reach 6.1 billion cubic meters, or nearly 12 times the level of 1956, and to account for about 10 percent of total consumption of gas. The consumption of lubricants by the nonferrous metals and manufacturing industries of the USSR has increased from 200,000 tons in 1953 toy 300,000 tons in 1957, accounting for an average of 10 percent of annual civil consumption. It has been :reported that by 1965 the consump- tion of lubricants by the entire industrial sector will account for 53.3 percent of the total consumption of lubricants in the USSR. 20 Perhaps as much as one-half of thi's quantity may be directed to the nonferrous metals and manufacturing industries. p. 18, above. Text continued on p. 39. - - 32 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Table 6 Estimated Civil Consumption of Petroleum Products in the USSR by Consuming Sector and by Type of Product J1 1953 Inland Ocean- Civil Agri- House- Construe- Petro- Chemical Coal Steel Electric Power Nonferrous Metals and Manufacturing ,.7 Total te wa W oing Motor Air culture hold tion leum Rail y a r g Aviation 0 0 0 0 680 0 0 0 60 0 95 00 0 N.A. 370 0 6BO 7,800 Motor 0 0 0 6,300 0 730 0 2 8 00 68 0 0 260 95 0 0 RA. 370 J ,5 0 0 0 6,300 0 73 0 0 0 c/ 0 4 , 0 0 0 0 0 Ligroine Kerosine 200 1 0 0 0 0 0 0 0 1,200 Lamp and stove 0 0 0 0 0 0 0 4 0600 , 0 8 0 0 0 0 0 ^ / J 4,600 Tractor 0 0 0 , 0 0 2 0 , 5,800 2 2 0 2 0 4,600 1,200 8 0 Total bJ 7 900 l f 220 180 140 76 0 3,700 0 1,800 310 0 A R 25 140 R.A. R A 1,500 1 Sf 200 , 2,000 ue Diesel Lubricants 200 60 75 450 4 730 0 96 50 . . . . Residuals an d t hera 0 2 300 3 700 700 11,800 Residual fuel oil 2,100 700 530 0 0 0 0 0 0 0 500 3 1,700 0 99 0 0 , 0 , 0 0 3,500 oils and asphalts 0 0 0 0 0 0 0 , 0 22 0 0 0 0 0 22 4 Bitumen and bituminous tar 0 0 0 0 0 0 0 0 14 0 0 0 0 1 x ? R b 0 0 0 0 0 0 85 0 0 0 0 85 ra u Green oil 0 0 0 0 0 0 0 0 15 0 500 3 100 200 ? 21 00 3,700 700 , Total 1 21100 i-00 ~L 0 0 0 , _ . Crude oil consumed as a product 0 0 0 0 0 0 0 0 530 0 0 0 0 0 530 800 200 600 5 700 2 200 170 2,300 5,600 900 40 100 Grand total J = 7 0 MO 800 6 9 m ., , 000 through 9.9 million, in 2 significant digits; and those of 10 million or se of 10 th t , o ; a. Estirtes of less than 10,000 are expressed in 1 significant digi more, in 3 significant digits. botals were derived from unrounded data and do not always equal the sums of the rounded components. . T . Unlmown. c d. Negligible. S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 7 Estimated Civil Consumption of Petroleum Products in the USSR by Consuming Sector and by Type of Product 1951+ Inland 0ceaa.- Civil Agri- House- Construc- Petro- Nonferrous T.vue Of Product Rail Wad wing Motor Air culture hold tioa Electric Netals and leum Chemical Coal Steel Power Manufacturing Total Gasoline Aviation Motor 0 0 0 0 770 0 0 0 0 0 0 0 0 0 770 7,600 0 780 0 270 110 0 0 N.A. 400 9,100 Total, 0 o 0 7,600 770 L o no o o NA. 400 J 9,900 K rroosine 0 0 0 0 0 1 0 d/ dam/ 0 0 0 0 0 1 Lamp and stove 0 0 0 0 0 0 1,400 0 0 0 0 0 0 Tractor 0 0 0 0 0 4,500 0 6 0 0 0 ,500 0 0 0 c/ 4 4,500 Total , 0 0 0 0 0 4,500 1,400 6 0 0 0 0 0 J 5, Diesel fuel 0 2,100 Lubricants 20000 264 1850 96 ? 4, 350 0 31 N.A. 1,700 c1 ,200 Reaidvala and others ' - 1 -0 0 110 57 N.A. 150 N.A. 1 240 2,200 Residual fuel oil 2,200 720 580 0 0 0 0 0 1,900 110 0 2,500 4,300 1,000 13,300 ? Road oils and asphalts 0 0 0 0 0 0 0 4,000 0 0 0 Bitumen andbituminous tar 0 0 0 0 0 0 0 0 0 0 4,023 Rubxax 0 0 0 0 0 0 0 0 23 0 0 0 0 0 23 Green oil 0 0 0 0 0 0 0 00 0 15 0 0 0 0 85 0 85 0 0 0 0 85 Total J 2L200 720 80 0 O `L 0 0 4,000 1,900 210 0 2,500 4,300 1,000 17,400 Crude oil consumed as a product 0 0 0 0 0 0 0 0 590 0 0 0 0 0 590 Grand total J 2, 7fl0 1,000 8,200 770 10i900 1400 6 5 00 -.ce .ice i 000 210 180 6,400 1,200 45,8 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 thromore, in 3 significant digits, ugh 9.9 million, in 2 significa digits; and those of 10 million or b. Totals were derived from unronnded data and do not always equal the sums of the rounded components. c. Unknown. d. Negligible. - 31t. - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 'Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 S-E-C-R-E-T Table 8 Estimated Civil Consumption of Petroleum Products in the USSR by Consuming Sector and by Type of Product a/ 1955 Inland Ocean- Civil Agri- House- Construe- Petro- Electric Nonferrous Metals and Type of Product Rail Waterway ion Motor Air culture hold tion learn Chemical Coal Steel Power Manufacturing Total Aviation 0 0 0 0 830 0 0 0 0 0 0 0 0 0 830 Motor 0 o 0 8,700 0 900 0 260 130 0 0 N.A. 430 ^ / J 10,400 2 2 2 8 , 700 830 X00 2 260 130 p 2 N.A. IQ O LI 32,300 Ligroin 0 0 0 8 0 f 0 0 dJ. 0 0 0 _ 0 0 dJ. Kerosine Lamp and stove 0 0 0 0 0 0 1,600 0 0 0 0 0 0 0 1,600 Tractor 0 0 0 0 0 3,900 0 4 0 0 0 0 0 3,900 Total J o o o o o 3,9- 1,600 4 0 0 o o o f 5,500 Diesel fuel 460 300 240 110 0 6,300 0 2,400 420 0 36 N.A. 1,900 J 12,200 Lubricants 230 68 100 620 5 870 0 130 68 N.A. 160 N.A. 1 200 2,400 Residuals and others Residual fuel oil 2,400 750 630 0 0 0 0 0 2,300 110 0 2,700 4,600 1,200 14,600 Road oils and asphalts 0 0 0 0 0 0 0 4,500 0 0 0 0 0 0 4,500 Bitumen and bituminous tar 0 0 0 0 0 0 0 0 42 0 0 0 0 0 42 Rubrax 0 0 0 0 0 0 0 0 0 17 0 0 0 0 17 Green oil 0 0 0 0 0 0 0 0 0 85 0 0 0 0 85 Crude oil consumed as a product 0 0 0 0 0 0 0 0 710 0 0 0 0 0 710 Grand total , 3,0 11106 970 9 830 11,9- 1600 7,30 33 600 220 200 2700 6, 1400 51,300 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 tArough 9.9 million, in 2 significant digits; and those of 10 million or more, in 3 significant digits. b. Totals were derived from unrounded data and do not always equal the sums of the rounded components. a. Unknown. d. Negligible. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Estimated Civil Consumption of Petroleum Products in the USSR by Consuming Sector and by Type of Product a/ 1956 Type of Product Rail Inland Waterway Ocean- going Motor Civil Air Agri- culture House- hold Construe- tion Gasoline Aviation 0 0 0 0 840 0 0 0 Motor 0 0 0 10,100 0 890 0 250 Total bJ 0 0 0 10,100 840 890 0 50 Ligroine Kerosine 0 0 0 0 0 J 0 0 Lamp and stove 0 0 0 0 0 0 2,000 0 Tractor 0 0 0 0 0 3,400 0 0 Total 0 0 0 0 0 3,400 2,000 0 Diesel fuel 580 370 300 140 0 7,200 0 2,900 Lubricants Residuals and otters 240 72 120 720 5 900 0 150 Residual fuel oil 3,000 750 690 0 0 0 0 0 Road oils and asphalts 0 0 0 0 0 0 0 5,000 Bitumen and bituminous tar 0 0 0 0 0 0 0 0 Rubrax 0 0 0 0 0 0 0 0 Green oil 0 0 .0 0 0 0 0 0 Total V 31000 MG 690 0 0 0 0 5,000 Crude oil consumed as a product 0 0 0 8 (x( 12M 1,H00 2,000 Nonferrous Petro- Electric Metals and leum Chemical Coal Steel Power Manufacturing Total 0 0 0 0 840 150 0 0 N.A. 460 J 11,800 150 0 o NA. 4bo 12700 dL/ 0 0 0 0 0 2J/ 0 0 0 0 0 0 2,000 0 0 0 0 0 J 3,400 0 0 0 0 0 , 5,400 500 0 41 H.A. 2,100 14,200 80 N.A. 170 N.A. 1 300 2,800 2,700 120 0 2,900 5,000 900 16,000 0 0 0 0 0 0 5,000 47 0 0 0 0 0 47 0 19 0 0 0 0 19 0 85 0 0 0 0 85 2,700 230 0 2,900 5,000 900 21,200 a. Estimates of less than 10,000 are expressed in 1significant digit; those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or more; in 3 significant digits. b. Totals were derived from unrounded data and do not always equa? the sins of the rounded componentsz C. Unknown. d. Negligible. -36- , Approved For Release 1999/09/08 : CIA,-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA'RDP79S01046A000600120007-6 Estimated Consumption of Petroleum Products in the USSR by Consuming Sector and by Type of Product _J 1957 Nonferrous Inland Ocean- Civil Agri- House- Construe- Petro- Electric Metals and Type of Product Rail Waterway going Motor Air culture hold tion leum Chemical Coal Steel Power Manufacturing Total J Aviation Motor Ligroine Kerosine Lamp and stove 0 Tractor 0 Jet fuel 0 Total J 0 Diesel fuel 820 Lubricants Residuals and others 260 Residual fuel oil 3,900 Road oils and asphalts 0 Bitumen and bituminous tar 0 Rubrax 0 Green oil 0 Total 1 3,900 0 0 0 0 890 0 o 0 0 0 0 0 0 0 890 0 0 0 11,600 0 840 0 220 180 0 0 N.A. 490 f 13,400 0 0 0 11,600 8 840 2 ?20 180 2 0 N.A. 490 J 14,300 0 0 0 0 0 J 0 0 J 0 0 0 0 0 J 0 0 0 0 0 2,400 0 0 0 0 0 0 0 2,400 0 0 0 0 2,900 0 0 0 0 0 0 0 , 2,900 0 0 0 150 0 0 0 0 0 0 0 0 0 150 0 0 0 150 2L900 2i 400 0 0 0 0 0 0 490 360 170 0 8,100 0 3,400 590 0 47 N.A. 2,300 J 16,300 79 120 830 5 920 0 170 94 N.A. 180 N.A. 1 300 3,000 950 710 0 0 0 0 0 3,100 130 0 3,0 5,400 900 18,100 0 0 0 0 0 0 5,500 0 0 0 0 0 0 5,500 0 0 0 0 0 0 0 66 0 O 0 0 0 66 0 0 0 0 0 0 0 0 21 0 0 0 0 21 0 0 0 0 0 0 0 0 85 0 0 0 0 85 950 710 0 0 2 0 5,500 3,200 240 2 3. 5,400 900 23,800 Crude oil coasted an a product. 0 0 0 0 0 0 0 0 980 0 0 0 0 0 980 Grand total b, 5^000 1.500 ?i 2_ 1 12,800 2 9 300 5 000 240 230 3,000 8200 11200 63. a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or more, in 3 significant digits. b. Totals were derived from unrounded data and do not always equal the sums of the rounded components. c. Unknown. d. Negligible. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T III. Regional Distribution of Consumption. Tables 11 through 15* show the distribution of the civil con- sumption of petroleum products in the USSR, by economic region and by consuming sector, for the years 1953-57. Data for each year are shown in a separate table. A description of the methodology used to effect the distribution is given in Appendix B. In each of the years 1953-57, Economic Region VII (Central) -- tahi.ch embraces Moscow and the surrounding industrial complex -- has accounted for the largest share of total civil consumption. In-this region, which has almost 22 percent of the population of the USSR but less than 6 percent of total land area, the consumption of petroleum products has increased from about 7 million tons in 1953 to about 10 million tons in 1957. In terms of the total civil consumption of petroleum products, however, the share of Region VII declined slightly during these years, from 17.5 percent to 15.7 percent. The relative decline results from the emergence of the eastern regions (VI, VIII, IX, X, XI, and XII) as important consumers of petroleum products.** The leading consumers in Economic Region VII are agriculture, motor transport, and construction, which have accounted for between 65 and 70 percent of the total consumption in the region in each year. During 1953-55, agriculture was the leading consumer, followed by motor transport. In 1956, however, a slight decline in consumption by agriculture enabled motor transport to assume the,leading position. It appears that the consumption of petroleum products in Region VII by agriculture has levelled off, temporarily at least, at between 2.3 million and 2.4 million tons. At the same time, continued in- creases will establish motor transport as the leading consumer. Con- struction has ranked third in each year and has shown a tendency to level off at 1.4 million to 1.5 million tons. The highest average annual increase in consumption of petro- leum products, 22 percent, was achieved in Economic Regions X (Kazakhstan and Central Asia) and XI (East Siberia). In addition, Region X showed the largest absolute increase in consumption of any economic region, from 3.7 million tons in 1953 to 8.1 million tons in 1957. Meanwhile, the share of Region X in civil consumption in- creased from 9.2 percent of the total in 1953 to 12.7 percent in * Tables 11 through 15 follow on pp. 49 through 53. ** For further discussion of this trend, see III, D, p. 76, below. 39 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79S01046A0006001'20007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-.T 1957. The rapid increase in consumption of petroleum products in Region X resulted from the implementation of the new lands program. Consumption by agriculture in Region X reached 2 million tons in 1957, increasing about 135 percent since 1953. Transportation ser- vices and construction in Region X also were increased to support the.new lands program, and in certain :instances the increase in con- sumption of petroleum products by these sectors has surpassed that of agriculture. For example, consumption by motor transport reached 1.7 million tons in 1957, a gain of 139 percent since 1953, while consumption in construction reached 1.1 million tons, a gain of 206 percent. The consumption of petroleum products in construction in the USSR increased even more rapidly in Economic Region XI. Since 1953, consumption in construction has accounted. for more than one-half of the increase,in this region. As consumption in Region XI increased from 1 million tons in 1953 to 2.2 million tons in 1957, a gain of 110 percent, consumption in construction increased from 190,000 tons to 820,000 tons, a gain of more than 331 percent. Thus construction, which had ranked third in 1953, became the leading civil consumer in the. region in 1957. Agriculture, which had been the leading civil consumer through 1956, dropped to second place in 1957, with consump- tion declining by nearly 25 percent to 550,000 tons. Consumption by motor transport in Region XI, which ranks third in importance, has made slight but steady advances. The 430,000 tons consumed by motor transport in 1957 accounted for about 20 percent of the total con- sumption of petroleum products in the region. In 1956, Economic Region XII (the Far East) accounted for the smallest share of total civil consumption of petroleum products in the USSR, supplanting Region XI. Civil consumption in Region XII in 1956 represented only 2.8 percent of the total and declined to less than 2.7 percent in 1957 in spite of a slight absolute increase. Only minor increases by any of the consuming sectors within -the region have been evident. The most rapid gains have been made by motor transport, followed closely by construction. Compared with an aver- age: annual increase in consumption of 9.1 percent for the region as a whole, consumption by motor transport increased annually by about 13.9 percent to reach about 320,000 tons in 1957. Consumption in construction increased 12.1 percent annually to 300,000 tons in 1957. Oceangoing transport, however, has remained the leading consumer in Region XII. Most of the consumption of petroleum products by oceangoing transport has taken place in Region XII, but more rapid increases in such consumption have occurred in Economic Region V (Transcaucasus), indicating that by 1959 most of the consumption by oceangoing transport - 40 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T probably will occur in Region V. This apparent regional shift lowered the share of oceangoing transport in the total consumption in Region XII to 27.6 percent in 1957 compared with 30.8 percent in 1953, in spite of an increase in consumption from 370,000 tons in 1953 to 470,000 tons in 1957. Throughout the period 1953-57, most of the consumption of petroleum products by motor transport, agriculture, and construction occurred in Economic Region VII.* In every case Economic Region III (South) ranked second, only slightly behind Region VII. The impres- sive increase in consumption in Region X, which resulted from the new lands program, brought this region into third place in 1957. It is believed that these regions are firmly established as the leading regional consumers of petroleum products. The position of Region X, however, will depend at least in part upon the continued success of the new lands in producing agricultural commodities. B. By Consuming Sector. 1. Transport. a. Rail. The consumption of petroleum fuels and lubricants by rail transport is concentrated principally in four economic regions -- IV (Southeast), V (Transcaucasus), VI (Volga), and X (Kazakhstan and Central Asia) -- which accounted for more than 72 percent of all such consumption in 1957. Of these four, Region X has consistently con- sumed the largest share and also shown the highest rate of increase. In Region X, consumption of petroleum products by railroads increased to about 1.6 million tons in 1957, a gain of almost 130 percent since 1953, and accounted for approximately one-third of the total consump- tion by rail transport. Much of this increase may be attributed to an increase of about 280 percent in the quantities of diesel fuel consumed by rail transport, which in turn resulted from the scarcity and poor quality of water for coal-burning and oil-burning locomotives in Region X. The highest rate of increase in consumption by rail transport, however, was a gain of 154 percent recorded by Region VII. The overwhelming share of this increase was achieved in 1957, when consumption increased by 350,000 tons to reach 610,000 tons. Of the increase, residual fuel oil accounted for 270,000 tons. * In 1957, however, consumption in construction in Region VIII (Urals) equaled that in Region VII. - 41 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T b. Inland Waterway. Significant consumption of petroleum products by inland waterway transport is limited to Economic Regions VI (Volga) and VII (Central), with a minor amount in Region I (North and North- west). Region VI includes most of the navigable length of the Volga River and also a portion of the Don River. Within Region VII is found, among other major rivers, the Oka, the Dnieper, the Don, and a portion of the Volga. Most of the freight transported on the rivers by vessels consuming petroleum fuel is moved in Regions VI and VII, and thus these regions account for most of the consumption of petroleum products by inland waterway transport. The share of these regions has been estimated at 85, percent of the total 91+0,000 tons consumed by inland waterway transport in 1953, but declined to 75 percent in the total 1.5 million tons so consumed in 1957 because of increased consumption in Region I. c. Oceangoing. The consumption of petroleum products by oceangoing transport in the USSR is limited to Economic Region I (Northwest and North), V (Transcaucasus), and XII. (the Far East). Arctic and Baltic operations have been considered as being serviced from Region I; Black Sea and Caspian Sea operations, from Region V; and Pacific Ocean operations, from Region XII. In Region XII, which accounted for 49.3 percent of all such consumption in 1953 and 39.2 percent in 1957, oceangoing transport is the principal con- sumer. The relative decline in such consumption in Region XII has resulted from more rapid increases in the consumption of both diesel fuel and residual fuel oil by oceangoing transport in Region V. It is probable that by 1959 Region V will have replaced Region XII as the principal consumer of petroleum products for oceangoing trans- port. Nevertheless, oceangoing transport should continue for some time to be the principal consumer in the civil economy of Region XII. Consumption of petroleum products by motor transport is centered in Economic Regions III (South) and VII (Central) and, increasingly, in Economic Region X (Kazakhstan and Central Asia). Throughout the period 1953-57, these three regions accounted for more than one-half of the annual consumption by motor transport. The sharpest rate of increase was shown in Region X, where consumption by motor transport in 1957 reached 1.7 million tons, a gain of 139 per- cent compared with 1953, as a result of the new lands program.* Bee III, A, p. 39, above. 42 S-E-C-R-E-' Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 S-E-C-R-E-T Continued success of the new lands program may support a trend toward the increased consumption of petroleum products by motor transport in Region X. In the remaining economic regions, measurable changes in the relative importance of consumption of petroleum products by motor transport are not expected. e. Civil Air. The estimates given in Tables 11 through 15* repre- sent the regional distribution of consumption by aircraft with reciprocating engines and by Jet aircraft. The regional distribu- tion of petroleum products consumed by aircraft using reciprocating engines in civil air transport has been based upon a pattern derived for 1955, and thus it was not possible to show changes in consumption by regions from year to year. The largest share -- about one-fourth -- of annual consumption took place in Region VII (Central), reflecting the heavy flight traffic in and out of Moscow. Other significant consumption is in Regions III (South), VI (Volga), VIII (Urals), IX (West Siberia), and X (Kazakhstan and Central Asia), and the share of each of these regions in the annual total averages about 11 percent. The consumption of jet fuel by civil air is apparent only for 1957. Schedules for that year showed jet aircraft operating into Moscow, Tashkent, Tbilisi, Irkutsk, Omsk, and Novosibirsk. The regional distribution of these operations is believed to have been as follows: Region V (Transcaucasus)rr 5 percent; Region VII, 42 percent; Region IX, 17 percent; Region X, 2~l percent; and Region XI (East Siberia), 12 percent. Available information on the consumption of petroleum products both by jet aircraft and by aircraft using recip- rocating engines indicates an approximately equal distribution between the eastern and western regions of the USSR. 2. Agriculture. As previously indicated,** the principal influence upon the regional distribution of consumption of petroleum products by Soviet agriculture has been the new lands program. The increased need for petroleum products resulting from this program has been particularly evident in Economic Region X (Kazakhstan and Central Asia), and to a lesser degree, in Economic Region IX (West Siberia). As the result of sharp increases the share of Region X in total consumption of petroleum products by Soviet agriculture increased Pp. 49 through 53, below. ** See III, A, p. 39, above. 4+3 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R--E-'I' from 8.7 percent in 1953 to 15.6 percent in 1957. Significant in- creases, although not so sharp, were recorded by agriculture in Region IX. Consumption. in this region is estimated at 1.2 :million tons in 1957, an increase of 50 percent over 1.953. In spite of these sharp increases in Economic Regions IX and X, most of the consumption of petroleum products by agri- culture continued to take place in Regions III (South) and VII (Central). In 1953 the consumption in these two regions is estimated at 4.1 million tons, or almost 42 percent of total consump- tion by agriculture. By 1957, however, consumption in these regions had increased only to 4.7 million tons, and the share of these regions in the total consumption by agriculture had dropped to less than 37 percent. Increased consumption in Regions IX and X, coupled with relatively stable consumption in Regions III and VII, has effected a shift to greater emphasis upon the eastern regions (VI, VIII, IX, X) XI, and XII) in the consumption of petroleum products by agri- culture. Compared with less than 40 percent in 1953, the eastern regions furnished almost 46 percent of the total for 1957. Should this trend continue as the result of further successes with the new lands program, the eastern regions may account for as much as one- half of annual consumption of petroleum products by agriculture in 1960. 3. Households. The distribution by economic region of the quantities of kerosine consumed by Soviet households has been estimated on the basis of (a) reported retail sales of kerosine in the various union republics in 1955 and (b) the distribution of population in the RSFSR. A close relationship was shown between the distribution of sales of kerosine and population among the republics, suggesting that distributing sales of kerosine on the basis of total population within the RSFSR provided a reasonably accurate approach. It is be- lieved that probable changes in the percentage for any region be- tween 1953 and 1955 or between 1955 and 1.957 would be within the margin of error of the 1955 percentage for the region. Consumption of kerosine by Soviet households is concen- trated in Economic Regions III (South) and VII (Central) which ac- count for 19.6 percent and 21 percent, respectively, of all such consumption. The share of the third ranking region, Region X (Kazakh- stan and Central Asia) is about one-half of that of Region VII. - 44 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Much publicity has been given to plans for significant increases in the delivery of gas to Soviet households. Most of these deliveries will be to major cities such as Moscow, Leningrad, Stalingrad, Kiev, and Baku. In the rural areas, where the use of kerosine prevails, deliveries of gas are insignificant and will not be increased substantially much before 1965. It is believed that increased deliveries of gas to the more densely populated regions, in particular Regions III and VII, will lead to a more equal dis- tribution of consumption of kerosine among the 12 economic regions of the USSR. 4. Construction. Construction in the underdeveloped areas of Economic Regions IX (West Siberia), X (Kazakhstan and Central Asia), and XI (East Siberia), added to a continued high rate of expansion in Region VIII (Urals), served to alter radically the pattern of regional distribution of petroleum products consumed for this pur- pose during 1953-57. In 1953 the eastern regions accounted for about 38 percent of all consumption in construction, and by 1957 their share had risen to more than 57 percent. By contrast, con- sumption.in construction in the more fully developed Regions III (South) and VII (Central), which amounted to 2.3 million tons, or more than 41 percent of the total so consumed in 1953, increased only slightly to reach 2.6 million tons in 1957,-representing less than 28 percent of all such consumption. Conversely, in Regions VIII (Urals), IX, and X, the major centers of consumption in the eastern regions, the consump- tion of petroleum products in construction increased from 1.3 mil- lion tons in 1953 to 3.5 million tons in 1957, a gain of about 166 percent. In 1957, construction was the largest civil consumer in Region XI and also in Region VIII, where it had shared this position with the petroleum industry in 1956. The consumption of petroleum products in construction seems to have become relatively stable at about 1.2 million tons in Region III and 1.3 million tons in Region VII. The continuation of this trend as part of the shift to the eastern regions will de- pend largely on the successful exploitation of the new lands and on the allocation of capital investments to develop industrial enter- prises. 5. Industry. It is not possible to ascertain any meaningful pattern of the regional distribution by individual years of the quantities -45 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R.-E-T of petroleum products consumed by the industrial sector of the Soviet economy. For certain industries a regional pattern has been derived for one year and has been held constant for the other years because of a lack of information. Thus, only a general analysis based on a single year can be made. Of the period 1953-57, basic information is most complete for 1955, and the subsequent analysis of regional distribution is based on data for that year. In essence the regional distribution of consumption of petroleum products by all industries except the nonferrous metals and manufacturing industries has been effected in accordance with the regional distribution of production (or of the capacity to produce) of the major commodity of that branch. In the complete absence of information concerning the regional distribution of petro- leum products consumed by the nonferrous metals and manufacturing industries, the pattern for the regional consumption of lubricants and residual fuel oil is analogous to that described by all other consuming sectors of the civil economy. The consumption of petroleum products by the chemical and steel industries appears to be concentrated in Economic Regions III (South), VII (Central), and VIII (Urals). In these regions is consumed an estimated three-quarters of the annual total for the chemical industry and two-thirds of the annual total for the steel industry. Consumption of petroleum products by the coal industry is centered in Regions III and IX (West Siberia) and by the electric power industry in Regions III, V (Transcaucasus), and VIII. In each case about one-half of the total consumption of petroleum products by the industry takes place in these regions. The estimated regional distribution of petroleum products consumed by the nonferrous metals and manufacturing industries indicates some degree of concentration in Regions V and VI (Volga) but also a nearly equal apportionment in the heavier populated areas, with only insignificant shares in the relatively underdeveloped regions, lb (North), IX, XI (East Siberia), and XII (Far East). Information concerning the petroleum industry is sufficient to develop an annual regional pattern of consumption. This pattern reflects the well-publicized shift in the center of production of crude oil from Economic Region V to the eastern regions of the USSR (VI, VIII, ix, X, XI, and XII), particularly to Regions VI and VIII. Production of crude oil in the eastern regions has increased from about 29 million tons, or 45 percent of the total, in 1953 to about 67 million tons in 1957, or 76 percent of the total. Of the crude oil produced in the eastern regions, Regions VI and VIII provided about 76 percent in 1953 and about 90 percent in 1957. As a result of this shift in production the consumption of petroleum products by -46 - S-E-C-R-E??T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T the petroleum industry in the eastern regions has increased from about 45 percent of the total consumed bytindustry ary in 1953 more than 64 percent in 1957? In 1953, Regions for about 79 percent of the petroleum products consumed by the petro- leum industry in the eastern regions. By 1957, this figure had in- creased to about 87 percent. In 1955, more than 41 percent of all industrial consump- tion of petroleum products in the USSR took place in the eastern regions, and this proportion compares quite closely with the esti- mated 43 percent consumed in the eastern regions by the civil economy as a whole. Yet -- except in Region III, where the comparison is exact -- the regional distribution of industrial consumption of petroleum products differs from the regional distribution. of total civil consumption. Region V, for example, accounted for.18.6 per- cent of the industrial consumption of petroleum products, but less than half that proportion of total civil consumption.. Region VII, on the other hand, accounted for only 9.3 percent of industrial con- sumption but nearly twice that proportion of total civil consumption. It is apparent that consumption by industry in the less developed areas of Regions IX, X (Kazakhstan and Central Asia), XI, and XII, which embrace the entire land area east of the Urals, has not kept pace with the consumption in these areas by the. other sec- tors of the civil economy. In 1955, Regions IX, X, XI, and XII ac- counted for less than 12 percent of the consumption of petroleum products by all industries but more than 18 percent of the total.con- sumed by other sectors of the civil economy. The estimates which are given in Tables 11 through 15* point up the concentration of industrial consumption of petroleum products in the relatively highly developed areas of Regions III, V, and VIII. More than one-half of the industrial consumption of such products in 1955 took place in Region V and, to a lesser extent, in Regions III and VIII. During the Seven Year Plan (1959-65), measurable changes in this pattern may take place. These changes will reflect efforts to supply gas in increasing quantities to the industrial centers of the USSR. The industrial enterprises of the Ukrainian USSR in Region III, particularly those located in the Donbas, are to be supplied with gas from the nearby deposits in Khar'kovskaya Oblast and in Krasnodarskiy and Stavropol'skiy Krays. 21/ Production of gas in these areas in 1965 may reach to 40 percent of the planned national goal of about 150 billion cubic meters for that year. The primary consumers of gas in these areas appear to be the electric power stations and heavy metal- lurgical enterprises, and the substitution of gas as an industrial * Pp. 49 through 53, below. - 47 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T fuel for residual fuel oil may serve to reduce the relative consump- tion of petroleum products by industry in the Ukrainian SSR. In Region V, exploitation of the vast Karadag deposits of gas in Azerbaydzhan SSR will significantly alter the fuel balance of the republic and also will influence the fuel balance of the Armenian SSR and the Georgian SSR through the construction of a major transmission gas pipeline to transport; Karadag gas from Azerbaydzhan to these republics. According to preliminary calculations, 22/ the increased supply of gas in Azerbaydzhan SSR will serve to reduce the consumption of residual fuel oil from 2.3ii million tons in 1956 to about 700,000 tons in 1960. By 1960, gas will provide more than 90 percent of the supply (in units of standard fuel*) of fuel in Azerbaydzhan SSR compared with only 40 percent in 1956. Inasmuch as most of the gas is to be delivered to such major consumers of petroleum products as crude oil refineries, electric power stations, and machine-construction plants, industrial consumption of petroleum products in Region V probably will decline. At present, plans for supplying gas to the industrial enterprises in Region VIII appear to be in a state of flux. Accord- ing to the original directives of the Sixth Five Year Plan (1956-60) the points of origin of gas for the Urals were to be Shkapovo in Bashkirskaya ASSR and Berezovo on the northern reaches of the Ob' River. Gas pipelines from these points were to terminate in Magnito- gorsk and in Sverdlovsk. Since the publication of these plans, dis- covery of an unusually large natural gas deposit near Bukhara, in Uzbek SSR in Region X probably has caused the re-examination of these earlier directives. It is planned tentatively to construct a, gas pipeline from the Bukhara deposits through the Kustanayskaya and Aktyubinskaya Oblasts of Kazakh SSR, also in Region X, 223/ which probably will tie in with the gas pipeline between Shkapovo and Magnitogorsk and may continue on to Sverdlovsk. The problems in- herent in the construction of this pipeline would be considerable. The length of the pipeline would be about 2,000 kilometers (km) at a minimum, exceeding by 50 percent the longest gas pipeline previously built in the USSR. In addition, the pipeline would pass through 650 km of desert wasteland and then 1,000 km further through sparsely settled areas of Kazakh SSR. Neither the probability of construction of this pipeline nor the effects of the increased supply of gas upon industrial consumption of petroleum products in Region VIII can be ascertained at this time. Because only about 25 percent of the planned production of gas in the USSR in 1965 is to be consumed in the eastern regions 4-r/ and because it is doubtful that gas from Bukhara could be delivered to Region VIII before 1965, it is believed that industrial consumption of petroleum products in Region VIII will remain relatively stable during the 19601s.** Measured in terms of 7,000 kilocalories of heat per kilogram. Text continued on p. 51+. Approved For Release 1997M08R:-CPA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Estimated Distribution of Civil Consumption of Petroleum Products in the USSR by Economic Region and by Consuming Sector a 1953 Economic Re on J Total J VI VII VIII IX X XI XII I II III N V Consuming Sector Rail Inland waterway Oceangoing Motor Civil air Agriculture Household Construction Petroleum Chemical Coal Steel Electirc power Nonferrous metals and manufacturing 16 6 29 450 400 450 240 180 25 700 15 5 2,500 38 6 12 2 1 480 320 28 18 9 23 4 940 170 0 0 0 210 0 0 0 0 0 0 370 750 490 400 1,200 340 290 370 1,600 600 430 710 250 190 6,800 11 14 76 34 21 76 160 79 62 90 41 21 690 M 430 1,300 830 920 1,400 2,300 890 510 1,500 330 M 11,700 330 390 2,000 860 160 870 2,100 800 800 850 390 200 9,800 61 65 240 64 100 58 250 90 68 130 37 25 1,200 360 280 1,100 310 320 450 1,200 640 300 360 19o 190 5,600 18 2 140 120 33 320 0 46 450 810 520 100 41 100 0 55 22 9 1 45 46 d 68 17 1 J 14 16 20 81o 120 150 200 330 390 34 200 840 660 1,200 440 590 71-0 210 11 120 98 150 120 92 110 24 210 0 12 71 480 93 0 50 2,700 0 0 200 10 7 170 11 36 2,300 72 63 5,600 11 29 900 210 1,900 1400 2,300 1300 1200 1700 310 870 l, 6,600 3 400 3,800 k, 7,000 4 100 ~1,~ s Grand total c/ 1, a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through 9.9 =on, 3.n 2 significant digits; and those of 10 million or more, in 3 significant digits. b. The economic regions are those defined on Map 13702 (4-55), USSR Administrative Divisions and Economic Regions, January 1955? c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. d. Negligible. -49- Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 12 Estimated Distribution of Civil Consumption of Petroleum Products in the USSR by Economic Region and by Consuming Sector a/ 1954 Economic Re on 1 Consuming Sector I II III IV V VI VII VIII IX % XI XII Total J Pali Inland waterway 417 6 6 510 400 520 140 130 18 890 18 6 2,700 Oceangoing 200 0 0 3 240 1 510 0 3 0 31 21 10 26 4 1,000 Motor 0 0 0 0 400 840 civil air 58 12 15 o 500 1,58 390 340 430 1,800 710 510 910 290 220 8,200 39 23 85 190 89 70 100 46 23 770 Total , 8 0 1,600 1`.~ ~0 1,000 1,500 2.500 Q(10 /,on I. rrv, ., a,. .-- -- - -Agri a Household hold 340 490 2,000 940 190 930 2,400 900 960 1,100 450 220 10 Construction 74 78 290 77 120 70 300 110 8 ,900 400 320 1,300 330 320 580 i 4rn .f Z3 160 45 30 1,400 Petroleum 18 0 54 22 Chemical 2 0 60 22 869 641 146 540 0 230 0 55 3,000 6 d 19 0 0 0 180 Coal 140 73 18 1 9 1 46 15 17 48 P2 13 ll Steel 0 910 130 150 210 350 - 410 7 5 0 Electric power 140 220 960 ? 760 1,400 500 660 820 23300 540 76 12 72 6,500 Nonferrous metals and manufacturing 42 12 160 140 220 170 120 150 28 72 1,200 120 12 39 1,200 Total J 350 2 0 2 2p0 6 2,o00 17s 74400 3,800 4j300 4,600 00 4,700 2,400 4 1,200 WOO 800 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 thro of 10 million or more, in 3 significant digits. ugh 9.9 million, in 2 significant digits; and those b. The economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions January c. Totals are derived from unrounded data and do not always equal the sums of the rounded c 1955? d. Negligible. ?ponents. i_ 1, 0 2,600 1,500 1,300 2,000 340 980 120 210 13,500 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA RDP79SO1046A000600120007-6 Estimated Distribution of Civil Consumption of Petroleum Products in the USSR by Economic Region and by Consuming Sector a/ 1955 Economic Region J I II III IV V VI VII VIII lX X XI XII Total J Rail 18 7 34 570 450 580 90 87 27 1,100 21 6 3,000 Inland waterway 44 5 18 3 1 570 380 33 19 10 26 6 1,100 Oceangoing 230 0 0 0 310 0 0 0 0 0 0 430 970 Motor 650 600 1,700 440 380 490 2,100 800 580 1,100 330 250 9,500 Civil air 12 17 92 42 25 91 200 96 75 110 50 25 830 MO ~M 1,800 1,100 1 200 1,700 2,800 1,000 700 2,300 430 7?0 15,400 1 Agriculture 370 530 2,100 990 180 980 2,400 930 1,100 1,500 520 230 11,900 Household 80 89 330 87 140 97 350 120 94 180 51 35 1,600 Construction 470 360 1,300 360 320 750 1,500 780 450 550 280 240 7,300 Industry Petroleum 18 0 44 440 820 1,000 94 870 0 250 0 49 3,600 Chemical 3 0 66 22 9 1 47 49 19 0 0 0 220 Coal 6 9/ 79 20 1 df. 16 19 24 14 12 8 200 Steel 160 0 1,000 140 190 220 380 440 39 80 13 43 2,700 Electric power 150 250 1,000 810 1,500 540 730 890 250 590 89 79 6,900 Nonferrous metals and manufacturing 48 13 180 160 260 200 130 180 30 140 12 45 1,400 Total 380 260 2,400 1,600 2,800 2,000 1,400 2,400 360 1,100 1,30 220 15,000 Grand total f 1,900 8,100 4,100 4,600 5,5w 8,400 5,300 2,700 5,7~ 1,400 500 5 00 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or more, in 3 significant digits. b. The economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955- c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. d. Negligible. S -E-C -R-E -T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E Table 14 Estimated Distribution of Civil Consumption of Petroleum Products in the USSR by Economic Region and by Cons- ng Sector 1956 Consuming Sector I II III IV V VI VII VIII iX X XI XII Total 1 Transport R-1l 120 7 36 630 560 650 260 47 28 1,400 25 6 3,800 Inlan3 waterway 59 6 20 5 1 580 390 43 26 15 33 8 1,200 Oceangoing 260 0 0 0 390 0 0 0 0 0 0 460 1,100 Motor 720 700 2,000 500 410 560 2,400 920 650 1,500 370 280 10,900 Civil air 13 17 93 42 25 93 200 97 76 110 50 25 840 Total J 1,200 770 2,100 1,20o 1,400 1,900 3,200 1100 80 3,000 480 780 17,800 Agriculture 360 680 2,200 960 210 920 2,300 880 1,100 1,900 720 250 12,400 Household 100 110 390 110 170 96 420 150 110 220 62 42 2,000 Construction 470 270 1,300 360 330 700 1,400 1,100 730 860 580 270 8,300 Petroleum 20 0 55 500 900 1,200 110 1,100 39 280 0 57 4,300 Chemical 3 0 71 22 10 1 48 54 19 0 0 0 230 coal 6 86 21 1 1 17 20 26 15 13 9 210 Steel 170 0 1,100 14,0 220 240 390 470 42 80 14 48 2,900 Electric power 160 270 1,100 890 1,600 590 800 970 280 650 98 86 7,600 Nonferrous metals and manufacturing 45 16 160 130 200 160 130 150 34 120 16 41 1,200 Total c 400 2600 1,700 2 900 2,200 1,500 2,800 440 1,100 140 240 16,400 Grand total c/ 2,500 2,100 8,600 4,300 5100 5800 2 %0 122oo 7,100 2,000 1,600 57,000 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or more, in 3 significant digits. b. The economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions January 1955. c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. d. Negligible. 1. , Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA- RDP79SO1046A000600120007-6 Estimated Distribution of Civil Consumption of Petroleum Products in the USSR by Economic Region and by Consuming Sector a/ 1957 Economic Region J I II III IV V VI VII VIII IX X XI XII Total -0/ Rail 420 9 39 680 600 740 610 200 29 1,600 27 6 5,000 Inland waterway 100 11 38 10 1 680 450 76 44 24 59 14 1,500 Oceangoing 280 0 0 0 440 0 0 0 0 0 0 470 1,200 Motor 830 810 2,300 580 470 640 2,700 1,100 750 1,700 430 320 12,600 Civil air 13 18 98 45 34 98 280 100 110 150 71 27 1,000 1,600 1,700 2,500 1,300 1,500 2,200 4,000 1,500 930 3,500 590 840 Di,300 Agriculture 380 700 2,300 950 200 940 2,40o 910 1,200 2,000 550 240 12,800 Household 120 130 470 130 200 120 500 180 140 270 74 50 2,400 Construction 490 230 1,200 360 310 760 1,400 1,400 960 1,100 820 300 9,300 Industry Petroleum 30 0 66 560 1,000 1,500 120 1,300 45 310 0 65 5,000 Chemical 3 0 79 22 10 1 49 57 19 0 0 0 240 Coal 7 1 92 23 1 J 18 22 28 16 14 9 230 Steel 180 0 1,100 150 260 250 400 480 43 83 15 51 3,000 Electric power 180 290 1,200 960 1,800 640 $70 1,000 300 700 110 93 8,200 Nonferrous metals and manufacturing 45 16 160 130 200 160 130 150 34 120 16 41 1,200 Total 440 310 2,700 1,800 3,300 2,600 1,600 3,000 470 1,200 160 260 17,900 Grand total c/ 3,100 2,200 9,200 4,600 00 6500 10000 6900 3600 8100 2200 00 ~3 800 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or more, in 3 significant digits. b. The economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955. c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. d. Negligible. - 53 - S -E-C -R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T C. By Major Type of Product . Tables 16 through 21* show the estimated distribution of civil consumption of the major types of petroleum products in the USSR, by economic region and by consuming sector, for the years 1953-57. These major products are gasoline, kerosine, diesel fuel, lubricants, residual fuel oil, and road oils and asphalts. Although road oils and asphalts were consumed only in construction, the volume of such consumption is of major proportions, exceeding that of lubricants in each year and that of kerosine in 1957. 1. Gasoline.** Because in the USSR gasoline is consumed primarily by motor transport, the pattern of regional distribution is in essence an extension of the pattern of consumption of gasoline by motor transport. In 1953, civil consumption of gasoline in Economic Re- gions III (South) and VII (Central) accounted for 3.4 million tons, or 40 percent of the total. In 1957, civil consumption of gasoline in these two regions accounted for about 5.4 million tons, or 37.8 percent of the total. Of the individual regions, Region VII has consistently received the largest share, with consumption of gasoline increasing from 1.9 million tons in 1953 to 3 million tons in 1957. The highest rate of increase, 120 percent, took place in Region X as the result of the development of motor transport in support of the new lands program. In contrast to the apparent general shift in consumption of petroleum products to the eastern regions of the USSR, there has been no perceptible change in the regional distribution of gasoline. Both in 1953 and in 1957 the eastern regions accounted for about 40 percent of the total consumption of gasoline. On the basis of a link relative obtained from a Soviet source, 25 it can be estimated that the civil consumption of motor gasoline in the USSR may reach to 30 million tons by 1965. Of this quantity, probably 18 million to 19 million tons will be consumed in the European USSR and the remaining 11. million to 12 million tons in the eastern regions. Although data are not sufficient to allow speculation concerning the amount of aviation gasoline to be consumed in 1965, it is probable that the proportion of aviation gasoline * Tabless- 1Z--through 21 follow on pp. 60 through 75. Data, include those amounts of aviation gasoline consumed by civil air transport. 54 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T consumed in the European USSR will be higher than the proportion of motor gasoline. On the basis of a given regional distribution of all petroleum fuels in the USSR in 1965, 26 the share of the eastern regions in the total consumption of motor gasoline will not change significantly from that in 1957. 2. Kerosine. The category kerosine includes illuminating kerosine consumed by households, tractor kerosine, and those quantities of kerosine consumed as a jet fuel by civil air transport in 1957. Kerosine is the only major petroleum product the con- sumption of which apparently has declined in the USSR since 1953. This decline, which averaged about 1.8 percent annually, resulted from the wide-scale replacement of kerosine-burning tractors by more efficient diesel tractors in virtually all phases of the civil economy. The resultant decline in requirements for tractor kero- sine more than offset the apparent doubling of consumption of il- luminating kerosine and the additional quantities of kerosine re- quired by the introduction of jet aircraft. The estimated consump- tion of kerosine declined from a peak of 5.9 million tons in 1954 to 5.4 million tons in 1957, a reduction of about 8.5 percent. The sharpest absolute declines took Place in Economic Regions VII (Central) and VIII (Urals), where the consumption of kerosine declined from a peak of 2.4 million tons in 1954 to 1.8 million tons in 1957. The consumption of tractor kerosine declined from 1.4 million to 1 million tons in Region VII and from 430,000 tons to negligible quantities in Region VIII, but a portion of these declines were offset by increases in the consumption of illuminating kerosine totaling 270,000 tons. Further reductions in the consumption of tractor kero- sine in the USSR are anticipated. It has been estimated that the consumption of tractor kerosine in 1965 will decline to about 1.4 million tons, or only 37 percent of the level in 1955.* Of this quantity, about 30 percent is expected to be consumed in the eastern regions, and thus the pattern of regional consumption of tractor kerosine in 1957 would be continued. The consumption of tractor kerosine in the eastern regions in 1957 reached slightly more than 30 percent of the total, a significant decline from the 37.6 per- cent~estimated for 1953 and from the 36.8 percent estimated for 1955. Thus it would appear that the pattern of regional distribu- tion of the tractor kerosine consumed in the USSR is to remain stable at least through 1965. See II, B, p. 21, above. - 55 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Two other factors also serve to indicate that the pattern of regional distribution of civil consumption of kerosine in the USSR in 1965 will not differ significantly from that in 1957, when the eastern regions accounted for 31 percent of the total. First, the regional distribution of illuminating kerosine is expected to remain relatively stable. Second, a Soviet source indicates that the pat- tern prevailing in 1917 will continue in 1965 in the regional dis- tribution of "other fuels," 27 which are believed to include avia- tion gasoline, illuminating kerosine, and jet fuel. 3. Diesel Fuel. The rates of increase estimated for the civil consumption of diesel fuel in the USSR during 1953-57 far exceeded those of any other major petroleum product. Civil consumption of diesel fuel in- creased at an average annual rate estimated at 19.8 percent, reaching 16.3 million tons in 1957. The second highest rate of increase, 12 percent, was estimated for road oils and asphalts. Agriculture not only continued as the leading civil con- sumer of diesel fuel in the USSR but increased its share from 3.7 million tons, or about 1+7 percent of the total, in 1953 to 8.1 mil- lion tons, or almost 50 percent, in 1957. The influence of agriculture on civil consumption of diesel fuel is particularly evident in Economic Regions III (South), VII (Central), and X (Kazakhstan and Central Asia), which together account for more than one-half of the total. In 1957, agriculture accounted for almost two-thirds of the estimated civil consumption of diesel fuel in Economic Region III, a larger share than in any other economic region. In Region VII, agriculture accounted for about one-half of the civil consumption of diesel fuel in 1957. The largest absolute gains in the consumption of diesel fuel by agriculture, however, were shown in -Region X, where the new lands program served to increase consumption from 530,000 tons in 1953 to 1.7 million tons in 1957. Inasmuch as total civil consumption of diesel fuel in Region X increased from 1 million tons in 1953 to 2.9 million tons in 1957, agriculture was responsible for more than 60 percent of the increment. Should comparable increases continue, Region X would supplant Region III in the consumption of diesel fuel by agriculture, probably by 1959. The sharpest relative increase, however, occurred in Region XI (East Siberia), where consumption of diesel fuel in 1957 represented an increase estimated at 315 percent compared with 1953. Most of this increase resulted from new construction and, to a lesser degree, from the impact of the new lands program on requirements for - 56 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T diesel fuel. Since 1953 the consumption of diesel fuel in construc- tion in Region XI has increased by about 400 percent; consumption by agriculture, by 900 percent; and consumption by transport, by more than 500 percent. Steady gains in the consumption of diesel fuel have been achieved in the eastern regions of the USSR, which accounted for 42 percent of the total in 1953 and 51 percent in 1957. Available information does not imply any change in this pattern, at least through 1965. If, as indicated by a Soviet source, the consumption of diesel fuel in the USSR in 1965 should reach 58 million tons,* about 30 million tons would be consumed in the eastern regions. 4. Lubricants. The estimated distribution by economic region of the civil consumption of lubricants in the USSR parallels closely the patterns of the major primary fuels, gasoline, kerosine, and diesel fuel. Again, civil consumption was concentrated in Economic Regions III (South), VII (Central), and X (Kazakhstan and Central Asia), which together accounted for about 46 percent of the total civil con- sumption of lubricants. In 1957 the consumption of approximately one-half million tons of lubricants both in Region III and also in Region VII represented an increase of about 34 percent over the level of 1953 in each region. The highest rate of increase, slightly more than 100 percent, occurred in Region X as a result of expansion of agriculture, transport, and construction. The estimates shown in Table l9-* indicate that the share of the eastern regions in the civil consumption of lubricants reached a peak in 1956 of about 44 percent of the total and maintained the same level throughout the year 1957. Available information indicates relative reductions in the consumption of lubricants in the eastern regions through 1965. In 1965 the consumption of lubricants in the eastern regions is expected to account for only 40 percent of the total lubricants consumed in the USSR in that year. The principal reason for this decline probably will be the relative increase in consumption of lubricants by industry to 53.3 percent of the total in 1965.*** On the basis of a given link relative, / the total civil consumption of lubricants in the USSR in 1965 may range be- tween 7 million and 8 million tons, of which 3 million tons may be consumed in the eastern regions. * According to a Soviet source, L8/ consumption of diesel fuel in 1965 is to be 4.74 times that in 1955. Consumption in 1955 has been estimated at 12.2 million tons. (See Table 2, p. 6, above.) P. 67, below. See II, E, 6, p. 31, above. - 57 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T 5. Residual Fuel Oil. The USSR consumes more residual fuel oil than any other type of petroleum product. Civil consumption of residual fuel oil increased from 11.8 million tons in 1953 to 18.1 million tons in 1957, a gain of about 53 percent. The principal consumers of :residual fuel oil in the USSR are the railroads and the petroleum, steel, and electric power indus- tries. Although consumption of residual fuel oil by these four sec- tors varies in the different economic regions, the total civil con- sumption of residual fuel oil in most of the economic regions is, rela- tively stable. In most of the regions, civil consumption of residual fuel oil averaged between 9 to 15 percent. Civil consumption of residual fuel oil in Region V (Transcaucasus) has averaged about 21 percent of the total for the USSR, the largest share of any region, because of the relatively high concentration of electric power sta- tions burning residual fuel oil. Region V also has shown the highest absolute increase in consumption, 1.2 million tons, of which the elec- tric power industry accounted for one-half. Most of the remainder is attributable to increased consumption by transport and by the petro- leum industry. The highest relative gains, however, took place in Region VIII (Urals). Civil consumption of residual fuel oil in Region VIII in. 1957 represented a gain of about 67 percent over 1953,: largely because of expansion of the petroleum industry. In the same period, Region X (Kazakhstan and Central Asia) showed an increase of 64 percent in such consumption, almost wholly as the result of an unusually sharp increase in the consumption by rail transport. The relative share of the eastern regions in the total civil consumption of residual fuel oil in the USSR also has remained substantially unchanged during 1953-57 at 41 to 43 percent. In certain. sectors, such as the petroleum industry, emphasis upon the eastern, regions in the consumption of residual fuel oil had been apparent, but these trends have been offset by comparable increases in consumption in the European USSR by other sectors, notably the electric power industry. It can be estimated that in 1965 the quantity of residual fuel oil produced from the refining of natural and synthetic crude oils in the USSR may reach to 40 million tons. Because of the rapid development of the gas industry and the trend toward the substitution of gas for residual fuel oil, there may be a sizable surplus of re- sidual fuel oil in the USSR by 1965. In. all probability this surplus - 58 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R-E-T will be directed primarily to meet the growing needs for residual fuel oil in the countries of Northern Europe. Civil consumption of residual fuel oil in the USSR in 1965 may reach 25 million tons.* The remaining 15 million tons of residual fuel oil would be allocated to the military and to exports, with exports amounting to as much as 10 million tons. 6. Road Oils and Asphalts. Construction has accounted for all the consumption of road oils and asphalts in the USSR. The consumption of road oils and asphalts has increased since 1953 at an average annual rate estimated at 12 percent, reaching 5.5 million tons in 1957 and representing about 60 percent of all the petroleum products con- sumed in construction. As in the case of all petroleum products, emphasis upon the eastern regions in the consumption of road oils and asphalts has been particularly evident in recent years. In 1953 the consumption in the eastern regions represented about 38 percent of the total and advances were slow through 1955, when the share of the eastern regions amounted to about 42 percent of the total. In 1956 and 1957, however, consumption in the eastern regions increased at a consider- ably higher rate than in the European USSR, and the share of the eastern regions in 1957 has been estimated at more than 57 percent of the total. Impressive gains in the consumption of road oils and asphalts have been made in Regions VIII (Urals), IX (West Siberia), and X (Kazakhstan and Central Asia), whereas in Regions III (South) and VII (Central), where requirements for road oils and asphalts are more established, consumption has been relatively stabilized. The level of technology which has been achieved in the USSR in the construction and operation of crude oil refineries is approaching that of the US. Thus, it may be calculated that, with an estimated refinery charge of 200 million tons in 1965, the yield of road oils and asphalts in the USSR may approach 5 percent, or 10 million tons. In the absence of conflicting data the distribution between the eastern regions and the European USSR of this amount may parallel that for petroleum products as a whole.** * This estimate is based on a subjective analysis of link relatives given in a Soviet source. 30/ *( Text continued on p. 77 -59- S -E -C -R-E -T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Table 16 Estimated Distribution of Civil Consumption of Gasoline in the USSR by Economic Region and by Consuming Sector J* 1953-57 Econamic Region J Year Consuming Sector I IT III IV V VI VII VIII IX % %2 XII Total J 1953 Transport Mt,tor Ci il i 450 370 1,100 310 270 340 1,400 550 400 650 230 170 6 300 v a r 10 14 75 34 20 75 160 78 61 89 41 20 , 680 Total 2 460 380 1200 40 220 4P0 1 600 ?X 460 40 , 7 2p 1 7,000 Agriculture C t ti 15 6 32 130 65 u 75 160 76 17 28 8 730 ons ruc on 1 13 51 14 15 221 4 30 14 17 260 Petroleum J El ct i 1 0 1 13 28 21 1 18 0 9 0 95 e r c power 12 31 89 22 17 20 77 24 22 45 12 370 Total J a Z~ 41 78 4 54 12 460 Grand total c/ 510 460 ~s5w '~^ 8 was ie~ 3~ ,500 1954 Transport Motor 54o 460 1,4oo 360 310 400 1 700 650 4 Civil air 12 15 85 38 23 85 , 180 88 70 69 840 100 260 46 200 23 7,600 770 Total c/ l`20 480 1,500 400 M 480 1,900 7 540 +0 31-0 220 8 400 Construcct on 16 17 34 13 120 52 67 14 9 13 824 156 29 15 17 39 9 , 270 Petroleum dJ Electric ower 1 0 1 13 27 29 1 23 0 10 0 2 110 p 13 34 95 23 18 21 82 25 23 49 12 5 400 Total J 14 A 9E 366. 52 12 7 510 Grand total 600 l,poo 4ao 640 2 200 900 6L0 1,1- 360 250 2 Footnotes for Table 16 follow on p. 62. Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP,79S01046A000600120007-6 Table 16 Estimated Distribution of Civil Consumption of Gasoline in the USSR by Economic Region and by Consuming Sector a/ 1953-57 (Continued) Year 1955 Consuming Sector Transport Motor Civil air Total J Agriculture Construction Economic Region J X XI XII Total J I II III IV V 600 560 600 1 410 350 450 1,900 740 530 1,000 300 230 25 8,700 12 17 , 91 42 25 91 200 95 75 u0 50 2 100 840 600 1 100 350 260 9,500 610 280 11,700 450 380 540 , , 15 43 120 71 12 89 170 93 110 130 37 10 9 90 15 12 48 12 11 26 53 28 16 19 10 1 12 27 43 1 29 0 10 0 2 130 4 1 14 0 36 100 25 19 23 88 27 25 52 13 5 30 22 36 loo Y- 46 66 56 25 62 13 I 560 410 280 X300 660 670 1, 570 440 2,400 L ? 6 800 1 470 380 510 2,200 850 600 1,400 340 260 1 10,100 840 660 50 , 42 25 92 200 96 75 110 50 25 12 17 92 400 So 680 100 L90 L0 ?-ILO 1,900 510 400 600 2, a - 1 13 44 110 64 11 83 160 85 110 170 25 39 17 10 8 890 250 14 8 38 1,1 10 21 42 33 22 11 0 2 150 0 1 13 28 55 1 38 0 460 1 15 39 110 27 21 24 94 29 27 56 14 6 16 32 iio 40 !+2 2 9~ 3 27 3 l4 8 610 OO 11 00 830 1 700 460 310 12,700 no =2DO 62o Z 32 ?L7 1 1 Industry Petroleum J Electric power Total c/ Grand total c/ 1956 Transport Motor civil air Total c/ Grand total a/ Total J Agriculture Construction Industry Petroleuu J Electric power 61 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 16 Estimated Distribution of Civil Consumption of Gasoline in the USSR by Economic Region and by Consuming Sector 1953-57 (Continued) Year Consuming Sector T II 11I IV V VI VII vln 7x x xr xri Total 1957 Transport Motor 760 0 75 2 1 4o 5 Civil air 13 0 1 , 00 40 590 2, 1, 6 1 600 44 98 500 000 90 , 120 390 53 300 27 11,600 890 Total J 770 770 2. 580 470 6W 2,700 l ,1w 770 1,700 440 330 1 Agriculture 1 2 4 1 5 9 10 2,500 Construction 7 2 5 29 9 77 150 80 110 170 28 10 840 Petroleum g El t i 2 0 2 13 29 68 1 4 7 ec r c power 16 41 120 28 22 26 0 52 0 2 180 T 100 31 28 59 15 6 4.90 otal J 18 41 120 41 51 94 100 78 28 71 - ~ a 3,000 1 930 ,900 510 150 14.300 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 through or more, in 3 significant digits. 9.9 million, in 2 significant digits; and those of 10 million b. Economic regions are those defined on map 13702 (4-55), USSR: Administrative Divisions and Economic Re ions Jan c. Totals are derived from unrounded data and do not alxays equal the sums of the rounded components.i9 1955? d. Data exclude those insignificant quantities consumed in the construction and repair of the trunk pipeline. - 62 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007a6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007=6 Estimated Distribution of Civil' Consumption of Kerosine in the USSR by Economic Region and by Consuming Sector a 1953-57 Economic Region J II III N V VI VII VIII IX X XI XII Total Year Consuming Sector ? 1953 Agriculture 280 200 390 460 82 460 1,400 420 150 210 320 170 4-,600 61 65 240 64 100 58 250 90 68 130 37 25 1,200 Households Total c/ 31?0 260 620 520 180 510 1,700 510 210 340 200 5, 1954 Agriculture 280 250 170 460 95 450 1,600 430 130 33 370 190 4,500 Households 74 78 290 77 120 70 300 110 83 160 45 30 1,400 Total c/ 360 320 460 540 210 520 1,9 DO 540 210 190 410 220 5,900 1 iculture 300 260 58 480 50 460 1,300 250 76 40 420 190 3,900 955 Ho 80 89 330 87 140 79 350 120 94 180 51 35 1,600 Households 80 350 380 5140 1,600 370 170 220 'co 7M 5,500 21 27 Total J 10 210 3 1956 Agriculture 300 340 50 420 63 300 1,420 150 110 225 512 10 3,000 Households 100 110 390 110 170 96 Total c 400 ~0 1540 3M0 230 300 1,600 140 ~0 0 L50 5,400 0 62 0 25 35 18 0 150 16 21 ,900 1957 Civil air transport 1 0 0 0 0 7 Agriculture 320 330 73 300 0 250 1,500 180 140 2736 0 3715 190 22 00 Households ds 120 130 470 130 200 1 120 500 Total c/ 440 460 22o ~30 210 370 1,600 200 160 3140 460 250 5,400 a. Da exc ude the insignificant amounts consumed in construction. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10,000 or more, in 2 significant digits. b. Economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955. c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. d. Jet fuel. - 63 - S -E-C -R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimated- Distribution of Civil Consumption of Diesel Fuel in the USSR by Economic Region and by Consuming Sector a * 1953-57 Economic Region W Y ear Consuming Sector I II III IV V VI VII VIII X XI =1 ' 1953 Transport Rail Inland waterway 0 9 0 0 3 46 1 o 39 8 0 9 0 130 0 0 Oceangoing 32 0 0 J 3 7 59 6 2 5 1 Motor 5 5 13 4 9 0 0 0 0 0 0 70 3 4 17 7 5 8 3 2 46 6 16 50 42 130 76 a 9 140 8 73 Agriculture Construction 9 no 1384 0 1,300 340 270 6 59 270 340 250 520 530 11 6 9 59 2 360 200 93 no 6o 60 Petroleum 3 0 2 42 94 0 Coal 1 0 10 3 7 6 0 31 0 5 Electric power 49 130 0 0 2 2 2 2 36 87 6t3 79 310 95 87 180 47 1 19 Total c/ s3 I Qn 370 G 130 i6o 150 320 160 90 210 49 25 rand total c/ 220 340 2 00 550 360 690 1 100 6 , 30 ILO 1,000 130 160 1954 Transport Fail I 0 0 0 50 0 53 0 1 nland waterway 17 2 6 1 aJ 8 0 0 170 Oceangoing 41 0 0 0 9 9 0 66 0 12 8 4 10 2 Motor 7 6 17 5 4 0 0 0 0 83 5 21 8 6 10 3 3 65 8 22 56 D- 160 87 30 14 180 16 87 Agriculture Construction 12 130 170 110 1,600 410 340 110 69 110 330 190 434 320 670 900 15 8 0 230 120 130 74 74 S-E-C-R-E-T Total J 220 180 140 76 620 3,700 1,800 310 25 1 O o ,S 1,800 _ 7,900 280 230 170 96 780 4,8oO 2,100 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007,-6 Approved For Release 1999/09/08 CIA-RDP79S01046A000600120007.6 Table 18 Estimated Distribution of Civil Consumption of Diesel Fuel in the USSR by Economic Region and by Consuming Sector aJ 1953-57 (Continued) Year Consuming Sector ? 1954 industry Petroleum 3 0 Coal 1 0 Electric power 55 140 Total , 59 140 Grand total c/ 270 430 Transport Rail 0 0 Inland waterway 28 3 Oceangoing 55 0 Motor 8 8 Total J 22 11 Agriculture 17 190 Construction 140 120 Industry Petroleum 3 0 Coll 1 0 Electric power 62 160 Total c/ 66 160 Grand total c 3?0 / 1956 Transport Rail 0 0 Inland waterway 69 5 Oceangoing 69 0 Motor 9 9 Total c/ 120 14 Economic Region J X xi %II Total s/ 2 42 96 4 78 0 32 0 5 1 350 31 12. 3 0 2 3 4 2 2 2 1 700 400 98 89 350 110 96 210 53 , 410 140 170 180 LW 100 240 a 27 22100 4 4 ~ 86o 1,300 760 99000 1,500 160 200 9, 2, 0 0 M 0 65 0 68 0 13 o 310 4 0 4 460 300 11 2 J no 77 0 21 0 12 0 6 0 17 0 100 240 0 20 0 5 74 6 25 10 7 13 4 3 110 31 72 80 100 43 12 330 25 110 12100 8 360 100 350 770 520 860 1,200 23 10 8 6,300 400 2 1, 00 450 120 110 250 490 260 150 180 92 0 , 4 4 98 0 34 0 6 420 3 15 39 92 d 0 1 4 3 2 1 24 36 900 1 450 110 100 390 120 110 230 59 , o l 0 6l 31 2, 470 0 180 240 400 220 i 8 1 000 100 1 2,000 200 230 , 2800 11-0 470 1,0OD 0~0 1~' , , , a 0 580 0 62 3 8 32 19 ll 24 6 370 1 5 1 10 1 0 5 0 0 0 0 0 120 300 140 25 6 5 7 30 12 8 19 5 4 39 7 110 210 ~ 3`3 3b 130 1,400 - - 65 Approved For Release 1999/09/~8~:~C 4ERTDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimated Distribution of Civil Consumption of Diesel Fuel in the USSR by Economic Region and by Consuming Sector 1953-57 (Continued) Year 1956 Economic Region 1 Consuming Sector I 1I III IV V VI VII VIII Ix X XI XII Total J Agriculture Construction 1613 2940 3 1'440 1130 1 0 2480 40 500 900 2250 1,500 1W 12 200 96 7,200 Industry ' Petroleum 4 00 15 42 93 190 4 130 0 1 36 0 0 3 4 5 3 2 Electric power 68 18o 500 120 95 1 370 520 2,900 770 530 1,200 10 L 1,300 2 500 p ,- j3 Rail 0 1 0 71 Inland waterway 64 0 120 110 25 7 23 6 1 150 4 100 Oceangoing 83 0 0 0 0 7 motor 11 11 in 8 130 8 36 14 Total c/ 160 18 53 85 140 280 22086 Agriculture 21 280 2,000 526 170 550 1,100 750 Construction 180 82 450 130 110 280 520 500 7 2 26 35 280 500 41 2,100 2600 o 490 8 0 820 27 15 36 9 490 0 0 0 1Ln '60 10 22 6 170 37 530 50 160 1,800 980 1,700 110 28 8,100 350 420 300 110 3,400 Petroleum 6 0 19 42 2 996 230 5 160 0 coal 39 0 7 590 Electric power 00 75 190 540 130 100 120 470 150 4 6 47 130 270 72 3 29 2 2,300 Total to 82 130 560 180 200 250 480 310 140 310 75 38 2,900 Grand total 440 570 3,100 920 620 1,500 22,300 1,600 1,5o0 2,900 540 330 16,300 a. Estimates of less than 10,000 are expressed in 1 significant digit; those of 10 000 through more, in 3 significant digits. 9.9 million, in 2 significant digits; and those of 10 million or b. Economic regions are those defined on Map 13702 (4_55), DSSR: Administrative Divisions and Economic Regions, January c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. 1955. d. Negligible. 10 430 130 120 250 65 Total J 73 180 520 170 130 300 440 260 120 M 67 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Estimated Distribution of Civil Consumption of Lubricants in the USSR by Economic Region and by Consuming Sector a * 1953-57 Economic Region J Year Consuming Sector I II III IV V VI VII VIII IX X XI XII Total J 1953 Transport Rail 16 6 29 8 3 13 36 21 25 22 15 5 200 Inlan,l waterway 7 1 2 df J 20 14 5 3 2 4 1 60 Oceangoing 17 0 0 0 20 0 0 0 0 0 0 37 75 Motor 32 26 82 22 19 25 100 39 29 47 16 12 450 Total J U 31 no 30 58 iE 66 51 70 35 50 M Agriculture 27 29 140 66 12 66 170 61 56 61 31 17 730 Construction 6 5 19 5 5 8 20 11 5 6 3 3 96 Petroleum 0 J 7 15 1 9 0 5 0 1 50 Coal 1 58 14 1 12 14 17 10 9 6 140 Nonferrous metals 8 34 13 8 16 37 17 15 21 9 9 2w Total 1 16 92 i4 24- a 50 40 32 36 18 16 390 tal c/ d t Gl L20 75 270 140 90 160 180 15 0 170 83 86 2,000 an o - - 1954 Transport Rail 17 6 31 8 3 14 38 22 18 22 15 6 200 Inland waterway 7 1 3 1 df 22 15 5 4 2 4 1 64 Oceangoing 20 0 0 0 2 0 0 0 0 0 0 40 85 Motor 39 33 97 26 22 29 120 47 34 60 19 14 540 Total c/ 40 710 35 42 64 180 y4 55 84 32. 61 Agriculture 27 37 140 71 14 70 190 67 67 73 36 18 810 1 Construction 7 6 22 6 6 10 23 12 6 7 4 4 1 0 - 67 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 19 Estimated Distribution of. Civil consumption of Lubricants in the USSR by Economic Region and.by Consuming sector 1 1953-57 (Continued) Economic Region J Year Consuming Sector I II III IV V VI VII VIII D x xi ]II Total 1954 Industry Petroleum d/ 0 d/ 7 15 15 1 12 0 5 0 Coal 5 91 15 1 12 14 18 11 9 150 Nonferrous metals and manufacturing 12 8 34 13 8 16 37 17 15 21 9 200 Total J 8 ~L 24 31 LO 43 33 33 18 410 Grand total 130 91 30 M 170 430 200 i4o 200 W 1955 Transport id- Rail 18 7 34 9 3 15 41 24 27 24 17 6 230 Inland waterway 8 1 3 1 d/ 23 16 6 3 2 5 1 68 Oceangoing 23 0 0 0 32 0 0 0 0 0 0 45 100 tor 43 110 29 25 32 140 53 38 74 22 17 620 Iota, , / L -L iL0 9- 61 L 272 8i !S9 100 43 68 1,000 Agriculture 30 40 150 75 13 73 180 - 67 - 77 110 42 19 870 Construction 7 6 23 6 6 13 26 13 8 9 5 4 130 Industry Petroleum 1 0 1 6 15 23 1 16 0 5 0 1 68 Coal 5 d1 64 16 1 d 13 15 19 11 10 6 160 Nonferrous metals and manufacturing 12 8 34 13 8 16 37 17 15 21 9 9 200 Total J L8- 8 29- . 24 & ~ 48 34 U 2 16 430 Grand total c/ L50 100 420 0 100 200 i5 210 190 22 110 110 2,400 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 111" ,Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 19 Distribution of Civil Consumption of Lubricants in the USSR by Economic Region and by Consuming Sector a 1953-57 (Continued) Economic Region J Consuming Sector Y I II III Iv V VI VII VIII IX x xi XII Total 1 ear 1956 Transport Rail 19 7 36 9 3 16 43 25 28 26 18 6 240 Inland waterway 9 1 3 1 1 24 16 6 4 2 5 1 72 Oceangoing 27 0 0 0 4400 0 0 0 0 0 0 49 120 Motor 47 46 130 33 27 37 160 61 43 98 24 19 720 2 20 L4 170 43 68 73 220 92 75 130 47 75 1,200 : - Agriculture 29 52 150 72 15 67 170 59 75 130 57 20 900 Construction 8 5 22 6 6 12 25 20 13 15 10 5 150 Petroleum 1 0 1 7 15 30 1 20 0 6 0 1 80 coal 5 J 69 17 1 1 14 16 21 12 10 7 170 Nonferrous metals and manufacturing 18 13 52 19 13 24 56 26 23 31 13 13 300 Total c/ 24 a 120 43 23 5?+ 7? 62 44 49 23 21 550 Q,-and total c 1-60 120 460 160 120 210 480 230 210 320 140 120 2,800 1957 Transport Rail 21 8 39 9 3 17 46 26 29 28 20 7 260 Inland waterway 9 1 4 1 dJ 26 18 7 4 2 5 1 79 Oceangoing 29 0 0 0 466 0 0 0 0 0 0 49 120 Motor 55 .54 150 38 31 42 180 73 49, 110 28 21 830 62 42 81 86 240 iio 83 140 53 79 1.300 - 69 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Table 19 Estimated Distribution of Civil Consumption of Lubricants in the USSR by Economic Region and by Consuming Sector aJ 1953-57 (Continued) Economic Region J Year Consuming Sector I II III TV V VI VuI VIII IX x x Total J 1957 Agriculture 32 53 160 70 14 68 180 62 80 140 43 10 920 Construction 9 4 22 6 6 14 26 24 17 21 15 5 170 Industry Petroleum 1 0 1 7 15 36 1 25 0 6 0 1 94 Coal 6 d/ 74 18 1 d1 15 17 22 13 I1 7 180 Nonferrous metals and manufacturing 18 13 52 19 13 24 56 26 23 31 13 13 300 Total c/ 2255 13 130 44 25 60 72 68 45 50 24 21 570 Grand total J iw 13, A 95-11 IL ~U MIJ 25-0 ls. 120 =000 a. Data exclude those insignificant quantities consumed by civil air transport and in the generation of electric paver. Estimates of less than 10,000 are ex- pressed in 1 significant digit; those of 10,000 more, in 2 significant digits. b. Economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955. c. Totals are, derived from unrounded data and do not always equal the sums of the rounded components. d. Negligible. - 70 - Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046AO00600120007-6 Estimated Distribution of Civil Consumption of Residual Fuel Oil in the USSR by Economic Region and by Consuming Sector /* 1953-57 gnomic Ree ton J Year Consuming Sector II III Iv 4 4I 422 !III I% L. %I XII Total J 1953 Transport W1 0 0 0 400 .400 400 200 150 0 550 0 0 2,100 Inland waterway 23 3 7 1 dJ . 370 250 17 10 6 13 2 700 Oceangoing 120 0 0 0 150 0 0 0 0 0 0 260 530 tal J T 140 3 Z 400 0 0 TTO !L50 170 In 560 13 M 3, o - Jab,try Petroleum 8 0 40 320 520 300 89 260 0 110 0 35 1,700 Chemical 0 0 54 0 0 0 0 45 0 0 0 0 99 Steel 140 0 &0 120 150 200 330 390 34 71 u 36 2,300 Electric power 60 40 390 550 1,100 340 200 600 97 250 14 40 3,700 Nonferrous metal, and manufacturing 21 3 84 85 140 110 55 96 8 70 2 21 700 Total J 230 43 1, 1100 L900 9.500 kv- 1, 1Jo L 2~' . 130 8,500 and total c/ 100 12-00 !,J-00 11M ia= 1954 Transport Fait 0 0 0 450 400 450 100 100 0 700 0 0 2,200 Inland waterway 20 3 7 1 dJ 390 260 14 10 5 12 2 720 oceangoing 140 0 0 0 170 0 0 0 0 0 0 280 580 Total J 160 1 7 450 M 840 6600 uo to Z 12 280 3,500 Industry Petroleum 9 0 46 350 580 98 300 0 130 0 38 1,900 Chemical 0 0 60 0 0 0 46 0 0 0 0 110 S -E-C -R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046AO00600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R-E-T Table 20 Estimated Distribution of civil consumption of Residual Fuel Oil in the USSR by Economic Region and by Consuming Sector al/ 1953-57 (Continued) Economic Region J Year Consuming Sector I II III IS V yI VII VIII IX X xi XII Total 1954 Industry (Continued) - steel 140 0 910 130 1-50 210 350 410 36 12 39 Electric power Nonferrous metals and manufacturing 69 29 46 4 460 120 640 120 1,300 210 390 160 230 78 690 140 12 290 100 16 3 46 30 4,~ 1,000 Total c/ 220 50 1,600 1,200 2,200 1,100 11600 160 600 31 150 9800 Grand total c/ 410 53 1,600 1,700 2,800 1,900 11100 W O0 30 i 42 440 13 300 1955 Transport - _ Rai1 0. 0 0 500 450 500 50 50 0 800 0 0 2,400 Inland waterway 8 1 3 1 J 430 290 6 4 2 5 1 Oceangoing 150 0 0 0 200 0 0 0 0 0 0 280 630 Total J 160 1 3 So a 650 2M 340 ~_6 4 800 5 280 33,700 Petroleum 8 0 35 320 530 550 80 560 o 140 0 31 2 300 Chemical 0 0 65 0 0 0 0 48 o o 0 0 , u0 Steel 160 0 1,000 140 190 220 380 440 39 80 13 43 2 700 Electric paver 74 49 490 680 1,400 420 250 740 120 310 17 49 , 4 600 Nonferrous metals and Manufacturing 35 5 140 150 250 Igo 93 170 15 120 3 36 , 1,200 Total c/ 280 54 1,700 1,300 2,400 1, 850 2,000 MO 650 33 160 10,900 Grand total 1 1 X800 3. 2,300 1,100 2, 180 1,5oO 38 440 14,600 - 72 - Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : ClP -RDP79S01046A000600120007-6 Estimated Distribution of Civil Consumption of Residual Fuel Oil in the USSR by Economic Region and by Consuming Sector a/ 1953-57 (Continued) Year consuming Sector I II III IV D VI YII VIII lx x xi %II ' Total J 1956 Transport Rnil 100 0 0 560 560 0 180 0 0 1,100 0 0 3,000 Inland Waterway 7 1 2 1 a/ 440 290 5 3 2 4 1 750 Oceangoing 160 0 0 0 2 0 0 0 0 0 0 290 690 T tal J ZP 1 ? 560 800 9M0 470 5 3 1100 4 29o 4400 o I,,b,stry Petroleum 9 0 41 370 610 640 92 660 39 170 0 36 2,700 Cbemical 0 0 70 0 0 0 0 53 0 0 0 0 120 Steel 170 0 1,100 140 220 240 390 470 42 80 14 48 2,900 Flectrie power 80 54 530 740 1,500 460 270 800 130 314O 18 54 5,000 Nonferrous metals and manufacturing 26 3 110 110 190 140 70 120 11 90 2 27 900 Total J 280 a 1,800 1,400 2,500 1,500 820 2. 220 680 3k 160 11,600 Grand total. J =0 58 l 33. 2, 1,300 2,100 230 1700 3 46600 16,000 1957 Tr-port Fail 400 30 0 3 0 11 600 3 600 600 500 450 330 150 22 0 13 1,100 7 0 17 0 4 3,900 950 Oceangoing 16 0 0 0 0 20 0 0 0 0 0 0 280 710 t T l 1 1 17 600 860 1 100 .180 170 1_3 111W 3 20 5,600 a o M . 1 Industry Petroleum 11 0 48 430 710 760 110 780 45 190 0 42 3,100 Chemical 0 0 79 0 0 0 0 55 0 0 0 0 130 - 73 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimated Distribution of Civil Consumption of Residual Fuel Oil in the USSR by Economic Region and by Consuming Sector a/ 1953-57 (Continued) Economic Region J Year Consuming Sector I II III IV V VI V II VIII IX X XI XII Total 1957 Indust- (Continued) Steel 180 0 1,100 150 260 250 400 480 43 83 15 51 3 000 Electric power 87 58 580 800 1,600 490 290 870 140 360 20 58 , 5 400 Nonferrous metals and manufacturing 26 3 110 110 190 140 70 120 11 90 2 27 , 900 Sao 61 1,900 1,500 2,800 1,600 870 2,300 240 720 37 180 12,500 Grand total c/ 900 04 2,100 3,'700 2,700 1 2,500 220 1 800 s 5 460 18 100 , ~ , Estimates of less than 10 ,000 are in more, in 3 significant digits. -- _pressed in + :.b..i?i..aat ?`git, those of 10,000 through 9.9 million, in 2 significant digits; and those of 10 million or b. Economic regions are those defined on Man 13702 (4-55), U; A n_;strative Divisions and Economic Regions January 1955. c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. - 74. - Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007=6 . Approved For Release 1999/09/08 : Cl4-RDP79S01046A000600120007,6 Estimated Distribution of Civil Consumption of Road Oils and Asphalts in the USSR, by Economic Region a 1953-57 Economic Region-J Y I II III IV V VI VII VIII DC X XI XII Total =/ ear 1953 230 180 680 190 200 280 720 400 190 220 120 120 3,500 1954 250 200 770 200 200 360 830 440 220 240 140 140 4,000 1955 300 220 830 220 200 460 910 480 280 340 170 150 4,500 1956 280 160 760 220 200 420 860 660 440 520 350 160 5,000 1957 290 140 720 210 180 450 .840 800 570 680 480 180 5,500 a. Construction accounted for all consumption of road oils and asphalts in the USSR. All estimates are expressed in 2 significant digits. b. Economic regions are those defined on Map 13702 (4-55), USSR: Administrative Divisions and Economic Regions, January 1955. c. Totals are derived from unrounded data and do not always equal the sums of the rounded components. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 D. Increased Role of Eastern Regions. As indicated by the estimates given. in Tables 16 through. 21,* most increases in consumption of petroleum products have taken place in the eastern regions of the USSR (VI, VIII, IX, X, Xl, and XII). Civil consumption in these regions has been estimated at 29 million tons in 1957 compared with 17 million tons in 1953. This increase represents an average annual rate of 16 percent in the eastern regions compared with 9.6 percent in the European USSR. Consumption in the European USSR in 1957 has been estimated at 34.6 million tons, an in- crease of 10.6 million tons compared with 1953. Thus, there is an apparent; shift in emphasis to the eastern regions in the civil con- sumption of petroleum products. The increase in consumption of petroleum products in the eastern regions of the USSR has been accompanied by an even higher rate of increase in production of crude oil in these regions. The success of concentrated efforts to develo at a high rate the rich oilfields in Regions VI (Volga) and VIII p(Urals) has enabled the eastern regions to provide a constantly larger share of national production of crude oil. As illustrated in the following tabula- tion, production of crude oil in the eastern regions increased from 45 percent of total Soviet production in 1953 to 76 percent in 1957. _1953 1957 Area Production of Crude Oil Consumption of Petro- leum Products Production of Crude Oil Consumption of Petro- leum Products European USSR 55 60 24 54. Eastern Regions 45 40 76 46 Total 100 100 100 100 Concomitant with the shift in the center of production of crude oil, although not so pronounced, has been a shift in the cen- ter of output of petroleum products in the USSR, from Region V (Caucasus) to the eastern regions, especially to Regions VI and VIII. The output of petroleum products in Regions VI and VIII in- creased from about 32 percent of the total in 1953 to more than 47 percent in 1957. At the same time the share produced in Region V declined from about 51 percent to less than 28 percent. * Pp. 60 through 75, above. - 76 - S-E-C-R-E-T Approved For Release 1999/09/08 CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T On the other hand, the consumption of petroleum products in the eastern regions increased at a much slower rate than production. In 1957 the eastern regions accounted for 46 percent of the civil consumption of petroleum products in the USSR, a gain of only 15 per- cent compared with 1953. Moreover, although production of crude oil in the European USSR had decreased from 55 percent of the total in 1953 to 24 percent in 1957, the estimated consumption of petroleum products in this area declined only from 60 percent of the total in 1953 to 54 percent in 1957. Thus it might appear that the indigenous supply of petroleum products in the European USSR during 1953-57 be- came increasingly inadequate to meet requirements for fuels and lubri- cants. Such, however, was not the case; the European USSR always has been deficient in fuel. The concentration of the production and re- fining of crude oil in Region V before World War II had necessitated extremely long and costly hauls of petroleum products to the centers of consumption. Implicit in the shift of centers of production and refining of crude oil is the solution at least in part to these critical problems. The oilfields of Regions VI and VIII are more centrally located with respect to centers of consumption. For example, Eco- nomic Region VII (Central), which in 1957 was the largest regional consumer, is located immediately adjacent to Regions VI and VIII. Before World War II, consumers in Region VII were supplied with petroleum products delivered over a route averaging probably between 1,500 and 2,000 km. Today these hauls can be reduced possibly by one- half by shipments from Regions VI and VIII. Moreover, although the problem of supplying the rapidly growing needs for petroleum products in Economic Regions IX, X, XI,and XII is still difficult, Regions VI and VIII are in a better position to do so than Region V. The con- sumption of petroleum products in Regions IX, X. XI, AND XII reached about 15.6 million tons in 1957, almost twice the level of 1953. At the same time, the indigenous production of crude oil in these re- gions increased only from 5.1 million tons to about 7.6 million tons, and thus there has arisen a major problem of supply. The solution to this problem is seen in the construction of a trunk pipeline system which will ultimately extend from the oilfields of Regions VI and VIII to the Pacific Ocean and which will supply the eastern regions with both crude oil and petroleum products. In conjunction with this pro- ject, a large-scale program for the construction and expansion of refineries in the eastern regions is also under way. It is estimated that Soviet production of crude oil in 1960 may reach more than 140 million tons,- 31/ of which 110 million tons * Compared with 135 million tons as stated in the original directives of the Sixth Five Year Plan (1956-60). - 77 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E -C -R -E -T will be provided by the oilfields of Regions VI and VIII. Produc- tion of crude oil in the eastern regions may reach 120 million tons in 1960, or more than 85 percent of the Soviet total compared with 76 percent in 1957. Smaller increases in the consumption of petro- leum products in the eastern regions may be expected as the result of Soviet plans to achieve a more equal and rational distribution of industrial production, of agriculture, and of transport. On the basis of successful implementation of this program, a more equal distribution between the European USSR and the eastern regions in the civil consumption of petroleum products may be achieved by 1965 or possibly earlier. 78 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T IV. Prospects for Exports. Preliminary estimates of the consumption of most of the principal types of petroleum products in the USSR in 1965 have been made on the basis of available information. As shown in Table 22,* increases are anticipated in the consumption of all of the selected products except tractor kerosine, for which an average annual decline of 8.7 percent is estimated. On the other hand, the highest rate of increase, 18 percent, is estimated for lamp and stove kerosine, primarily because an increased supply for home use will result from the sharp increase in production planned through 1965 and from a reduction in the consumption of tractor kerosine. The estimated rate of increase in production of diesel fuel, 17,2 percent, underlies the continued dieselization of several of the sectors of the civil economy. The minimum rate of increase, 4.1 per- cent, is estimated for residual fuel oil. The substitution of natural gas for residual fuel oil at a number of industrial enterprises is basically responsible for this apparent relative decline in the con- sumption of residual fuel oil. Information is not sufficient to allow the development of.esti- mates for Soviet consumption in 1965 of aviation gasoline, jet fuel, or several minor petroleum products. Without such data, an estimate of total consumption in the USSR in 1965 cannot be derived, which in turn precludes an estimate of the amount available for export. On the basis of available estimates of consumption, however, as well as the sharp increase planned for production of crude oil, it is believed that the demand for petroleum products.in the USSR will be considerably less than the supply. The continuing phenomenal growth of the gas industry and the probable impact of this expansion on the consumption of petroleum products lends further strength to this belief. As shown in Table 23,** natural gas is expected to provide a still larger share of the supply of petroleum and of total mineral fuel in the USSR in 1965 than in 1957. As indicated in Table 23, natural gas is to provide for more than one-third of the supply of petroleum in the USSR by 1965 compared with only one-seventh in 1957. As a share of the supply of mineral fuel, natural gas is to increase from 4.2 percent of the total in 1957 to 17.2 percent in 1965. Although consideration of imports and exports would influence the quantities available for consumption, the balances in Table 23 may be considered a strong indication of the probable pattern of consumption in 1965. It appears, therefore, that if the announced goals for production of crude oil are met the USSR will have increased supplies of petro- leum available for export. Table 22 follows on p. 80. Table 23 follows on p. 81. - 79 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimated Civil Consumption of Selected Petroleum Products in the USSR, by Type of Product 1957 and 1965 1957 b 1965 J Average Annual Rate of Growth Type of Product (Million Metric Tons) (Million Metric Tons) (Percent) Motor gasoline 13.4 30 10.6 Kerosine Lamp and stove 2.4 9 18.0 Tractor 2.9 1.4 -8.7 Total 5.3 10.4 8.8 Diesel fuel 16.3 58 17.2 Lubricants 3.0 7 to 8 12.1 Residual fuel oil 1?8.1 25 4.1 Road oils and asphalts 5.5 10 7.8 61.6 d 14o to 141 10.9 a. Estimates for aviation gasoline, jet fuel (kerosine), and crude oil are omitted because of the lack of data for 1965. b. Estimates in this column have been taken from Table 10, p. 37, above. c. For a discussion of these estimates, see III, C, p. 54, above. d. The sum of the selected products is 96.6 percent of the estimated civil consumption of all products in 1957. Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E -C -R -E -T Position of Crude Oil and Natural Gas in Production of Petroleum and Mineral Fuel in the USSR a/ 1957 and 1965 1957 1965 Fuel Petroleum J Mineral Fuel Petroleum Mineral Fuel Crude oil 85.7 25.3 63.4 32.3 Natural gas 14.3 4.2 36.6 17.2 Total 100.0 29-5 100.0 4.5 a. In terms of units of standard fuel. b. The conversion to units of standard fuel of the reported production of 98.3 million tons of crude oil in 1957 and of the 230 million tons planned for 1965 was effected at the ratio of 1.43 tons of standard fuel per ton of crude oil. The conversion to units of standard fuel of the reported production of 18.5 billion cubic meters of natural gas in the USSR in 1957 and of the 150 billion cubic meters planned for 1965 was effected at the ratio of 1.267 tons of standard fuel per thousand cubic meters of natural gas. c. /. The mineral fuels which are reported in the Soviet mineral fuel balances are coal, crude oil, natural gas, peat, shale, and fuelwood. - 81 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S -E-C -R -E -T SUPPLEMENTARY STATISTICAL DATA The tables which follow show further details on the total supply and the total consumption of petroleum products in the USSR during 1953-57. Table 24* shows the total supply and the supply available for domestic use, by type of product. Table 25** compares the esti- mated total consumption with the available supply of such products. Table 26*** shows the estimated distribution of such consumption between the civil and military sectors of the economy. Table 2 follows on p. 84. Table 25 follows on p. 85- Xxx Table 26 follows on p. 86. - 83 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimated Supply of Petroleum Products Available for Domestic Use in the USSR, by Time of Product a/ 1953-57 Year 1953 1954 lncC > Allocation Gasoline Ligroin J Kerosine Diesel Fuel Lubricants Residual Fuel Oil J Total Crude Oil Consumed as a Product Total Available for domestic use and storage s/ 14.1 0.78 7.9 6.9 2.1 13.3 17.7 0.53 50.0 Storage increment / 0..17 0 0.14 0.17 0.03 0.04 0.06 0 0.58 Available for domestic use 13.9 0.78 7.8 6.7 2.1 13.3 17.6 0.53 49.4 Available for domestic use and storage f/ 15.0 0.59 8.3 8.5 2.2 14.2 18.9 0.59 54.1 Storage increment / 0.33 0 0.28 0.33 0.06 0.08 0.11 0 1.1 Available for domestic use 14.7 0.59 8.0 8.2 2.1 14.1 18.8 0.59 53.0 Available for domestic use and storage J 17.2 0.39 10.7 10.7 2.6 16.4 21.9 0.71 64.1 Storage increment J 0.33 0 0.28 0.33 0.06 0.08 0.11 0 1.1 Available for domestic use 16.9 0.39 10.4 10.4 2.5 16.3 21.8 0.71 63.0 Av ilable for domestic use and storage J__ 20.8 0 11.4 13.5 3.2 18.4 24.6 0.84 74.4 Storage increment f/ 0.51 0 0.42 0.51 0.08 0.13 0.17 0 1.7 Available for domestic use 20.3 Available for domestic use and storage / g/ 22.4 0 13.7 16.3 4.2 21.2 28.4 0.98 85.9 Storage increment f/ 0.72 0 0.60 0.72 0.12 0.18 0.24 0 2.4 Available for domestic use 21.7 0 13.1 15.6 4.1 21.0 28.2 0.98 83.5 a. Estimates of less than 10 million are expressed in 2 significant digits; those of 10 million and more, in 3 significant digits. b. Because of the insignificant quantities involved, increments in storage of ligroine have not been considered. c. Data in this column have been calculated at 75 percent of the corresponding value for the category 'Residuals and Others." d. It is assumed that the quantity consumed would equal the quantity available for consumption. e. Totals were derived from unrounded data and do not always equal the sums of the rounded components. f. Estimates were derived by a complex methodology, based on many sources, which it would be impractical to reproduce here. The methodology and sources are available in the files of this Office. g. Because of lack of information, these estimates represent only the gross output of refined petroleum products in the USSR minus handling losses and do not take into account imports and exports. -84- r M r Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Estimated Total Consumption and Available Supply of Petroleum Products in the USSR, by Type of Product a/ 1953-57 Residuals and Others Gasoline Kerosine Crude Oil Year Distribution Aviation Motor ,,, Total J lamp and Stove Tractor Totals J Fuel 1 lubricants Fhield0 ,,I Total J Ca Products Total 1953 Available supply J N.A. N.A. 13.9 N.A. R.A. 7.8 6.7 2.1 13.3 17.6 0.53 49.4 Total consumption J 1.4 8.6 10.0 1.2 4.6 7.6 8.8 2.1 13.3 16.9 0.53 45.9 Apparent surplus 3.9 0.2 0.7 3.5 Apparent deficit 2.1 1954 Available supply c/ N.A. R.A. 14.7 N.A. N.A. 8.0 8.2 2.1 14.1 18.8 0.59 53.0 Total consumption J 1.5 9.9 11.4 1.4 4.5 8.2 10.8 2.3 14.9 19.'0 0.59 52.4 Apparent surplus 3.3 0.6 Apparent deficit 0.2 2.6 0.2 0.8 0.2 1955 Available supply J N.A. N.A. 16.9 N.A. N.A. 10.4 10.4 2.5 16.3 21.8 0.71 63.0 Total consumption J 1.5 11.3 12.8 1.6 3.9 8.2 13.4 2.5 16.3 21.0 0.71 58.5 Apparent surplus 4.1 2.2 0.8 4.5 Apparent deficit 3.0 1956 Available supply J N.A. N.A. 20.3 R.A. N.A. 11.0 13.0 3.1 18.3 24.4 o.84 72.7 Total consumption J 1.6 12.8 14.4 2.0 3.4 10.8 15.1 2.9 18.6 23.7 o.84 67.8 Apparent surplus 5-9 0.2 0.2 0.7 4.9 Apparent deficit 2.1 0.3 1957 Available supply J N.A. N.A. 21.7 N.A. N.A. 13.1 15.6 4.1 21.0 28.2 0.98 83.5 Total consumption J 2.0 14.4 16.3 2.4 2.9 14.7 17.3 3.1 20.9 26.6 0.98 79.1 Apparent surplus 5.4 1.0 0.1 1.6 4.4 Apparent deficit 1.6 1.7 a. Estimates of less than 10 million are expressed in 2 significant digits; those of 10 million and more, expressed in 3 significant digits. b. Totals were derived from unroundeddata and do not always equal the sums of the rounded components. c. Data were coiled from Table 26, p. 86, below. d. Data were coiled from Table 24, p. 84, above. - 85 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Table 26 Estimated Consumption of Petroleum Products by the Civil and Military Sectors of the USSR, by Type of Product a 1953-57 Residuals and Others Crude Oil Year Consuming Sector Aviation Motor Total J' Lamp and Stove Tractor Total J Diesel Fuel Lubricants Residual Fuel Oil Total Consumed as a Product Total 1953 Civil c/ 0.68 7.8 8.5 1.2 4.6 5.8 7.9 2.0 11.8 15.4 0-53 40.1 Military J 0.75 0.8 1.5 0 0 1.8 f 0.87 0.10 1.5 1.5 o 5.8 Total bf 1.4 846 lox 1.2 446 746 8.8 2.1 13`3 16.E 0.53 45.9 1954 Civil 1 0.77 9.1 9.9 1.4 4.5 5.9 9.8 2.2 13.3 17.4 0.59 45.8 Military J 0.71 0.84 1.6 0 0 2.3 J 1.0 0.71 1.6 1.6 o 6.6 Total J 145 949 11.4 1.4 445 8.2 10.8 243 14.9 130 0-59 52.4 1955 Civil c/ 0.83 10.4 11.3 1.6 3,9 5.5 12.2 2.4 14.6 19.2 0.71 51.3 Military J 0.68 o.84 1.5 0 0 2.7 f 1.2 0.11 1.7 1.7 0 7.2 Totes h 1_S 146 39 A.0 113.4 2_5 16.3 211.0 L 58.5 1956 Civil c/ 0.84 71.8 12.7 2.0 3.4 5.4 14.2 2.8 16.0 u 0.84 57.0 Military 0.80 0.97 1.8 0 0 5.4 J 0.94 0.12 2.6 2.6 o 10.8 Total J 1_6 12.8 14.4 240 344 10.8 15.1 2.9 18.6 23.7 0_84 67.8 1957 Civil J 0.89 13.4 14.3 2.4 2.9 5.4 16.3 3.0 18.1 23.8 0.98 63.8 Military J 1.1 1.0 2.1 0 0 9.3 J 1.0 0.14 2.8 2.8 o 15.3 Total J 2.0 14.4 16.3 2.4 2`9 14.7 17.3 3_1 20.9 26.6 0-98 79.1 Estimates of less than' 10 million are expressed in 2 significant digits; those of 10 million and more, in 3 significant digits. Totals were derived from unrounded data and do not always equal the sums of the rounded components. Data were complied from Tables 6 through 10, pp. 33 through 37, above. 33 Jet fuel. - 86 - 4 s Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T METHODOLOGY The methodology employed to derive the estimates of the civil consumption of petroleum products in the USSR by consuming sector and to distribute these estimates by economic region is of prime importance. Wherever possible, these estimates were based upon Soviet open material. In certain instances, however, because of a lack of qualifying information, data developed through subjec- tive analysis of the problem were used. It has been considered appropriate to reproduce in this research aid only a description of the methodology. A complete methodology, fully documented, is available for examination in the files of this Office. 1. By Consuming Sector. a. Transport. (1) Rail. Estimates of the consumption of diesel fuel were developed by using the average consumption factors applied to the annual gross ton-kilometers performed by diesel locomotives. The consumption of diesel fuel per 1,000 gross ton-kilometers (tkm) was reported to be 4 kilograms (kg) in 1953-55 and 3.7 kg in 1956-57. Annual totals were subsequently increased by 5 percent to include consumption in switching and to allow for building up stocks and for losses. Estimates of the consumption of residual fuel oil were the most difficult to determine and are probably the least accurate. The estimates presented in this research aid are the midpoints of a series of range estimates. The low range was calculated in each year as 2.6 percent of total standard fuel consumed by the railroads. The high range was derived on the basis of rates of the consumption of residual fuel oil in the form of standard fuel per 1,000 gross tkm. These rates have been reported as follows: 1953, 20.5 kg; 1954, 20.1 kg; 1955, 19.4 kg; 1956, 19.6 kg; and 1957, 19.6 kg. Figures for residual fuel oil in standard fuel units were converted to natural units by applying the conversion factor of 0.93 tons of standard fuel per ton in natural units. Because of the factor of boiler efficiency, the conversion factor for residual fuel oil consumed by railroads is con- siderably lower than that used for the other consuming sectors - - 87 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 (1.4 tons of standard fuel per ton in natural units). The conver- sion factor of 0.93 Is an average of two conversion factors reported in source 34/ as 0.98 and 0.88, the difference resulting from the grade of residual fuel oil. It was estimated that 1 ton of diesel lubricating oil was consumed for every 80 tons of diesel. fuel. This proportion of 1 to 80 was derived from the experience of a leading US railroad. For car axle oil, estimates again were based upon US experience. The factor used was 44.7 kg of car axle oil per mil- lion gross tkm. Estimates were subsequently increased by one- third in the belief that Soviet railroads would be considerably more liberal in their use of car axle oil. For steam locomotive cylinder oil and grease, total steam locomotive movement in each year was multiplied by repre- sentative factors of usage derived from US practice. Consideration was made of consumption of cylinder oil and grease in double-heading, switching, and deadhead movement. (2) Inland Waterwa . First, total standard fuel consumed in each year by in- land waterway transport in the actual transportation of freight was calculated. These totals were then distributed according to type of fuel on the basis of a standard fuel balance for 1953 in which each type of fuel consumed by inland waterway was expressed as a percentage of the total. 35 To this base was applied a graph which portrayed relative changes in the consumption of major types of fuel by inland waterway transport under the Sixth Five Year Plan (1956-60). 36 Standard fuel balances for 1954 and 1955 were de- rived by the analysis of trends in fuel consumption as indicated in the other years. The percentage distributions thus obtained for each year were applied to the total consumption of standard fuel in that year, which yielded the consumption, among others, of diesel fuel and residual fuel oil in standard fuel units for the period 1953-57. Conversion to natural units was effected by using a factor of 1.45 units of standard fuel per natural unit of diesel fuel and a factor of 1.4 units of standard fuel per natural unit of residual fuel oil. These totals were then increased by 32.5 percent to allow for the composite effect of a 6-percent increase to account for fuel consumed in carrying passengers (based on the ratio of fleet passenger- kilometers to ton-kilometers) and of a 25-percent increase to account for fuel. consumed in route maintenance, by service vessels, by shore installations, and in other nontransport functions. 37 S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Estimates of consumption of lubricants were derived in the following manner: Diesel-powered vessels consume lubricants at the rate of 6.13 percent of the diesel fuel consumed. Vessels powered by steam (both coal-fired and oil-fired) consume lubricants at the rate of 5.25 percent of residual fuel oil consumed in oil- fired vessels. This factor was applied uniformly on a ton-kilometer basis to all inland waterway transport powered by steam on the as- sumption that consumption of lubricants per ton-kilometer was the same for both coal-fired and oil-fired vessels. (3) oceangoing. The estimates of consumption of petroleum fuels and lubricants by oceangoing transport essentially were based on the volume of work output or net ton-kilometers of freight movement in each of the years, on the portions of the total accomplished by diesel-powered vessels and those powered by residual fuel oil, and on the application to these portions of average consumption factors of diesel fuel and residual fuel oil which had been derived through analysis of a number of sources. For diesel fuel, the factors used were as follows (in kilograms of natural units per 1,000 tkm): 1953, 9.275 kg; 1954, 8.848 kg; 1955, 9.091 kg; 1956, 8.878 kg; and 1957, 8.878 kg. For residual fuel oil the factors were (in kilograms of natural units per thousand tkm): 1953, 38.33 kg; 1954, 36.95 kg; 1955, 34.08 kg; 1956, 32.49 kg; and 1957, 32.49 kg. In each case the basic consumption rate was increased by 32.5 percent to allow for the fuel expended in passenger transport and in nontransport functions. Estimates of consumption of lubricants were obtained by use of the methodology described for inland waterway transport. (4) Motor. The total consumption of petroleum products by motor transport represents an aggregation of the estimated consumption by each type of vehicle in the automotive park. For the purposes of this research aid the automotive park of the USSR was divided into the following types of vehicles: freight trucks, motor buses, passenger taxis, truck taxis, and privately owned automobiles and motorcycles. In addition, freight trucks and buses were divided into those con- suming gasoline and those consuming diesel fuel. The other types of vehicles were considered to consume only gasoline as a primary fuel. The estimates of consumption of primary fuel by each type of vehicle were based on operational movement data and on considera- tion of such regional influences as weather conditions and the type - 89 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-.T of roads. Operational movement data for freight trucks is the sum of loaded movement plus movement while empty. For the other types of vehicles, operational movement is simply the amount of vehicle travel and has been calculated on either is, daily or an annual basis. To operational movement were applied the average consumption norms obtained from numerous Soviet handbooks and expressed in liters of primary fuel per 100 km of movement. These rates, according to type of fuel and to type of vehicle, are as follows: Type of Fuel Type of Vehicle Liters per 100 Km Gasoline --- Freight truck 31i Bus 35 Truck taxi 30 Passenger taxi 13.5 Private automobile Private motorcycle 12.9 i. Diesel fuel Freight truck 37 Bus 46 The estimates derived from the operational data were then increased by 5 percent to allow for these amounts of primary fuel. consumed in engine warm-up, engine idling, in movement not apparent in operational data, spillage, and other losses. In the distribution by economic region of these quantities of primary fuel; consideration has been made of above-norm consumption result- ing from adverse weather conditions and inadequate roads. There- fore, to reflect this above-norm consumption, annual totals for Economic Regions I (Northwest and West) through VIII (Urals), and Region X (Kazakhstan and Central Asia) have been increased by 5 percent; for Economic Regions IX (West Siberia), XI (East Siberia), and XII (the Far East), by 10 percent. The total effect of these increments on the annual consumption of primary fuel in operational movement has been to increase the consumption of gasoline as follows: in 1953, by 9.12 percent; 1954, by 9.21 percent; 1955, by 9.14 per- cent; 1956, by 8.75 percent; and 1957, by 8.62 percent. Annual in- creases in the consumption of diesel fuel were as follows: 1953, 10.30 percent; 1954, 10.53 percent; 1955, 10.52 percent; 1956, 10.22 percent; and 1957, 10.48 percent. Estimates of consumption of lubricants were based on the consumption of primary fuel. An average lubricant consumption factor, as specified in a number of sources, of 6.8 percent of fuel consumed, was considered appropriate. 38 To reflect consumption of lubricants -9o- S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T by gas-generator and gas-cylinder vehicles, the total consumption of lubricants by vehicles using liquid fuel was increased by 4 percent. (5) Civil Air. The number of reciprocating-engine aircraft in operation during the period 1953-57 is estimated at 1,600. Assuming that each aircraft was in the air for an equal length of time in each year and given the hourly rates of primary fuel consumption for each type of aircraft, annual consumption totals can be calculated. / These totals were then increased by 2 percent to allow for consumption of fuel in take-offs, in arriving at cruising speed, and in landings. In 1957, the first year of significant use of jet air- craft by civil air transport, it was estimated that 30 jet aircraft were in operation. 40 Assuming that each aircraft was in use 80 hours per month and that each aircraft consumed fuel at the rate of 1,600 gallons per hour, L l/ can be calculated that the consumption of jet fuel (kerosine) by civil air transport reached about 1+6,880 tons in 1957. The consumption of lubricating oil by reciprocating-engine aircraft was calculated at the rate of 2 quarts per aircraft per hour. The consumption of lubricating oil by jet aircraft is considered to be negligible and was omitted. b. Agriculture. For diesel tractors an average consumption rate of 10 kg of diesel fuel per soft-plowing unit was used. An average of 15.031 kg of primary fuel per soft-plowing unit was used for kerosine tractors. The annual amount of soft-plowing units performed by diesel and by kerosine tractors, when multiplied by the appropriate consumption fac- tor, yields the annual consumption of primary fuel by the agricultural tractor park only in field work. The consumption of fuel in both field and nonfield work, including losses, is determined as a factor of consumption in field work. The consumption of diesel fuel in both field and nonfield work is determined as 1.21 times the consumption in field work, and the consumption of kerosine fuel in field and non- field work is determined as 1.135 times consumption in field work. In addition, both types of tractors consume, certain amounts of starter gasoline. The consumption of starter gasoline by diesel tractors is estimated at 1 percent of primary fuel consumption; that by kerosine tractors, at 1.934 percent of such consumption. The consumption of lubricants is expressed as a percentage of primary fuel consumed in field work. The consumption of lubri- cants by diesel tractors is estimated at 9.154 percent of the fuel - 91 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T consumption in field work; that by kerosine tractors, at 10.5 per- cent of such consumption. All combines in use in the USSR consume gasoline as a pri- mary fuel. Consumption of gasoline by combines was estimated by use of a weighted average rate of consumption of gasoline per hec- tare harvested, which was computed on the basis of the composition of the combine park in each year, the daily productivity of each combine model, and the consumption of fuel per hectare by each com- bine model. The rate of consumption in each year was as follows: Year Consumption (Kilograms per. Hectare 1953 6.2 1951i. 6.3 1955 6.3 1956 6.2 1957 5.7 Annual totals were increased by 5 percent to cover losses incurred in transportation and in storage. Lubricants consumed by combines is considered to be equivalent to 5 percent of the total gasoline consumed by combines, including losses.. There is no direct evidence to indicate the amount of petro- leum products consumed in the USSR by agricultural machinery other than tractors and combines. The estimates which are presented for this category were based on the relationship between the amount of energy. developed by tractors and combines and that developed by other agricultural machinery. As a percentage of the energy de- veloped by tractors and combines, the energy developed by other agri- cultural machinery is as follows 42 : 1953 7.2 195+ 7.6 1955 8.3 1956 8.3 1957 8.3-* 195& relationship held constant. - 92 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T In order to obtain those quantities consumed by other agricultural machinery, these percentages were applied to the total amounts of primary fuel consumed by tractors and combines, to total starter gasoline consumed by tractors, and to lubricants consumed by trac- tors and combines. The total amount of primary fuel for other agri- cultural machinery was proportioned between diesel fuel and kerosine according to the share of diesel fuel in the total amount of primary fuel consumed by tractors, because evidence suggests that most other. agricultural equipment is powered by diesel engines. c. Households. Household consumption of kerosine was obtained by dividing total state and cooperative retail sales of kerosine for the re- spective years, in terms of 1955 prices, by the estimated average state and cooperative retail price of kerosine in 1955? Collective farm market sales of kerosine are negligible or zero. The prices for kerosine in 1955 were calculated at 0.81 rubles per kilogram for the urban areas and 1.02 rubles per kilogram for the rural areas. The urban and rural prices of kerosine were then averaged on the basis of the division of the Soviet population between urban and rural areas. The weighted average price per ton of kerosine thus derived was 929 rubles. In terms of 1955 prices, total kerosine sales during 1953-57 were estimated as follows: Year Million Rubles 1953 1,091 195+ 1,351 1955 1,536 1956 1,859 1957 2,19+ d. Construction. The consumption of petroleum products in construction is essentially an aggregation of annual consumption of primary fuel and lubricants by the individual types of construction equipment, in addition to losses in storage, hauling, and handling. An annual consumption rate of primary fuel for each type of equipment.was derived, applying to given hourly fuel requirements an annual equip- ment-use figure of 2,000 hours, and was held constant for the period under study. These types of equipment include tractors; graders, excavators, cranes, and miscellaneous equipment, all of which are _ 93 _ S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T powered by diesel engines. The number of units of each type of equipment, calculated on an annual basis from a number of sources, 43 was then multiplied by the appropriate consumption rate, to yield the consumption of diesel fuel according to type of equipment. The consumption of diesel fuel by equipment not elsewhere classified was computed as 5 percent of the quantity consumed by the known types. Losses of diesel fuel were estimated at 2.5 percent of the consumption of diesel fuel by the known types of equipment. The consumption of gasoline by construction equipment was estimated as a percentage of the total consumption of diesel fuel, excluding losses. These percentages were estimated as follows: 1953, 14 per- cent; 1954, 12 percent; 1955, 10 percent; 1956, 8 percent; and 1957, 6 percent. Allowance was made for dieselization of equipment and retirement of old or obsolete gasoline-burning machinery. The con- sumption of lubricants by the equipment park was computed as 5 per- cent of the total diesel fuel requirements and 7 percent of all other petroleum fuel requirements. The consumption of kerosine and ligroine by construction equipment for the period in question is insignificant. Although there is no information on the consumption of petro- leum products by the construction materials industry, it is believed that certain plants, such as those producing cement, use considerable amounts of fuel for heat and power. As a minimum, it is-estimated that the diesel fuel consumed by the construction materials industry would amount to 10 percent of the diesel. fuel consumed in construc- tion. The gasoline consumed by the industry would amount to 20 per- cent of the gasoline consumed in construction. In addition to the quantities of gasoline, diesel fuel, lubricants, ligroine, and kerosine consumed by construction equip- ment and by the construction materials industry, it is believed that all of the annual production of road oils and asphalts in the USSR is consumed in construction. e. Industry. (1) Petroleum. The consumption of petroleum products in crude oil drill- ing and producing operations was calculated on the basis of the quan- tity of fuels needed to produce one ton of crude oil. Average con- sumption factors were available for 1956 and were held constant for the period under study. These factors are as follows /: - 94 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T Type of Product Kilograms per Ton of Crude Oil Produced Diesel fuel 5.97 Residual fuel oil 2.86 Gasoline 1.79 The consumption of lubricants in crude oil drilling and producing operations is believed to be approximately 9 percent of primary fuel consumption. Because of the lack of qualifying data, the con- sumption of lubricants was limited to that amount consumed by drilling rigs and by engines consuming liquid fuel that are used in the exploitation of oil deposits. The consumption of lubricants by drilling rigs has been reported as 10.2 percent of primary fuel consumption. L5/ The consumption of lubricants by the V2-300 diesel engine, the most common engine in use in the oilfields. of the USSR, has been reported as 8 percent of primary fuel consumption. L6 The lubricant consumption factor which was used is an average of these rates. In a previous study, it was estimated that the consump- tion of residual fuel oil during the process of refining crude oil is equivalent to 3 percent of the crude oil refinery charge. 47 ;" Subsequent information has not indicated a necessity for revision of this factor. Minor amounts of gasoline, ligroine, bitumen, and bitu- minous tar are consumed in the construction and repair of oil and gas pipelines in the USSR. The total length of pipelines installed was estimated for each year. Average rates of consumption of these products per kilometer of pipeline installed were selected from a Soviet handbook 48 in accordance with the diameter of the pipeline and the degree of insulation applied. A similar approach was taken to determine the consumption of these products in the repair of pipelines. Finally, the consumption of crude oil as a petroleum prod- uct by the petroleum industry was estimated as 1 percent of the indigenous production of crude oil. (2) Chemical. The methodology employed in the derivation of estimates of the consumption of petroleum products consumed by the chemical industry involved the use of ratios of petroleum product input to commodity output. In the chemical industry of the USSR, petroleum - 95 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 products find use in process heating in the manufacture of soda ash and caustic soda and as a raw material in production of synthetic rubber, tires, and carbon black. It is estimated that 100 kg of residual fuel oil are consumed for each ton of soda ash produced, and 625 kg for each ton of caustic soda produced. Rubrax, a petroleum alkaline bitumen, is consumed at a ratio of 1 kg per tire produced. In addition, it is estimated that the consumption of rubrax in nontire plants of the chemical industry is two-thirds of that consumed by the tire in- dustry. The yield of carbon black from the raw material green oil, which is a heavy distillate oil, is approximately 50 percent. Thus, about 2 tons of green oil are consumed in producing 1 ton of carbon black. (3) Coal. It is estimated that 20 to 30 percent of the annual production of coal was submitted to the flotation process during the period 1953-57. With a reported 0.36 kg of diesel fuel con- sumed per ton of coal in this process, 0 it can be calculated that the consumption of diesel fuel ranged from about 25,000 tons in 1953 to more than 47,000 tons in 1957. For lubricants, reported inventories of equipment dur- ing 1953-57 and consumption norms per machine per year were avail- able. / Equipment inventories in 1956 and 1957 were estimated on the basis of available information. Consumption norms were held constant for the period 1953-57. (4) Steel The major use of residual fuel oil in the steel indus- try is for firing open hearth furnaces, soaking pits, and reheating furnaces. It is estimated that 113.5 kg of residual fuel oil are required for each ton of steel coming from the open hearth fur- naces, that 50.5 kg for each ton are needed for the soaking pits, and that another 50.5 kg are needed to cover the requirements for reheating the partially rolled product. Thus, total residual fuel oil requirements amount to 204.4 kg per ton of crude steel, except in special cases in Economic Regions VII (Central) and VIII (Urals), where certain amounts of steel are produced in electric furnaces or convertors. In. these regions, only 90.9 kg of residual fuel are consumed per ton of crude steel. - 96 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T (5) Electric Power. One method of expression of production of electric power in the USSR by thermal electric powerplants is in accordance with the type of fuel consumed.during process of generation. For example, in 1955 it was reported that of the total production of electric power 5,574 million kilowatt hours (kwh) were generated by stations equipped with diesel engines. 52 To determine the quantity of diesel fuel consumed in this generation, in the absence of a suitable con- sumption rate of diesel fuel per unit of electric power produced, it was necessary to employ a factor based on experience in US industry. On the basis of US experience and certain basic assumptions, itl may be estimated that to generate 5,57 million required tons of diesel fuel, or the equivalent of 2,934 kwh per ton of diesel fuel. This rate of consumption was held constant throughout the period 1953-57? A similar approach was selected in the determination of the consumption of gasoline in the generation of electric power in the USSR. In 1955, 915 million kwh of electric power were generated in internal-combustion engines which consumed fuels other than gas or diesel oil. It was assumed that gasoline constituted virtually the entire supply of these other fuels. Again, on the basis of kwh experience, it can be estimated that the generation of 915 consumed 430,000 tons of gasoline, or 1 ton of gasoline for each 2,128 kwh. This rate of consumption was held constant throughout the period 1953-57. With regard to residual fuel. oil, the USSR. has supplied to the Economic Commission for Europe consumption data which covered the years 1953-56. These data, however, applied only to those power stations under the authority of the Ministry of Electric Power Stations, USSR. Furthermore, these estimates were considered to represent minimum consumption. On the basis of available information, the estimates supplied by the USSR were revised upward. by 12 percent in each of the years to cover the consumption of residual fuel oil by powerplants not under the authority of the seiMinis The con- sumption sumption of residual fuel oil in 1957 was that consumption would increase over the previous year by approxi- mately 9 percent, as it did in 1956. The consumption of lubricants by the electric power in- dustry has also been based upon US analogy. The rates utilized were 0.009 gallons of lubricating oil per kilowatt of capacity of thermal power plants and 0.004 gallons of lubricating oil per kilowatt of capacity of hydroelectric powerplants. - 97 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T (6) Nonferrous Metals and Manufacturing. Forced balances between the supply and the total civil and military consumption of lubricants and residual fuel oil in 1953 and 1955 were derived by deducting estimates of the total consumption of lubricants and residual fuel oil by all other sectors of the econ- omy,; including the military, from the quantities estimated as avail- able for consumption. The remainder for each year was allocated to the nonferrous metals and manufacturing industries, thus establishing an apparent trend in consumption. Estimates of consumption in the remaining years were calculated by use of this trend, as well as an index of demand for lubricants by the manufacturing industries esti- mated for the period 1953-57. There was also information indicating that in the latter years under study a decrease in the consumption of residual fuel oil had resulted from the increased use of gas in machine construction plants and in other similar industrial enter- prises. 2. Economic Region. a. Transport. (1)Rail. The distribution by economic region of the quantities of diesel fuel and residual fuel oil consumed, by railroads in the USSR is a reflection of the regional distribution of ton-kilometers of freight hauled by locomotives powered with diesel fuel and by those powered with residual fuel oil. For car axle oil, regional distri- bution was effected in accordance with the regional pattern of total gross ton-kilometers of all rail movement in 1955. The regional distribution of diesel lubricating oil is in direct relation to that of diesel fuel. Steam locomotive cylinder oil and grease were ap- portioned regionally in accordance with the regional pattern of steam locomotive movement. (2) Inland Waterway. In order to provide a basis for distributing petroleum fuel consumption by economic region, the total ton-kilometer per- formance by inland waterway transport that had been used in the calculation of standard fuel consumption totals was broken down according to type of fuel into performance figures for each of the two Volga steamship companies (Volga United. SS Company and the Volga Tanker Company) and for each of the union republics. From this pattern, distribution could be made to all those economic regions not within the RSFSR. For the RSFSR, after deducting the - 98 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 ton-kilometer performance of the Volga United and Volga Tanker com- panies, the breakdown of the remaining ton-kilometers was used as a basis for distributing the fuel consumption by other companies among the economic regions within the republic. The regional distribution of lubricating oils consumed by diesel-propelled vessels is in direct relation to the regional distribution of diesel fuel. The distribution of lubricating oils consumed by vessels propelled by steam (both coal-fired and oil- fired) was equated with the regional pattern of ton-kilometers per- formed by steamships. (3) Oceangoing. The regional distribution of fuels consumed by ocean- going vessels corresponds to that of the ton-kilometers performed by the vessels using those fuels. In allocating petroleum fuel consumption by economic region, Arctic Ocean and Baltic Sea opera- tions were considered as being serviced from Economic Region I (Northwest and North), Black Sea and Caspian Sea operations from Region V (Transcaucasus), and Pacific Ocean operations from Region XII (the Far East). The regional pattern of distribution of diesel lubri- cating oil is that of diesel fuel. For lubricating oils for vessels propelled by steam (both coal-fired and oil-fired), the regional pattern was equated with the regional distribution of ton-kilometers performed by steamships. (4) Motor. The basis used for distribution by economic region of the quantities of primary fuel and lubricants consumed by commer- cial motor transport in the USSR was the distribution by economic region of the number of workers in the motor transport industry. This basis is not applicable to the consumption of fuels and lubri- cants by privately owned automobiles and motorcycles. Furthermore, there is available very little information relating directly to the regional distribution of these quantities. In view of this lack of data an index for the distribution of fuels and lubricants con- sumed by this sector was organized on the basis of the regional distribution of specialists with a higher education.for the year 1955. Although Soviet propaganda may claim that private owner- ship of vehicles in' the USSR is found among every category of worker, it is believed that during the period 1953-57 such vehicles were owned primarily by persons having a higher education and pre- sumably a higher income than the average. - 99 - Approved For Release 1999/09/08 : CIA-RDP79S01046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T (5) Civil Air. The regional distribution of the consumption .of petro- leum products by the civil air fleet is a reflection of airline activity within each region. The weekly operations at individual air traffic hubs within each region were added to provide totals for various regions, which in turn were used to derive a national total. The proportionate share of each region in the national total was then derived, and this pattern was used to distribute the total amounts of fuels and lubricants. Separate regional distributions were made for recip- rocating-engine aircraft consumption and for jet aircraft consump- tion. A pattern of reciprocating-engine aircraft activity was derived for 1955 and held constant for the period under study. The pattern utilized was as follows: Rion Percent of Total I (Northwest and North) 1.5 II (West) 2.0 III (South) 11.0 IV (Southeast) 5.0 V (Transcaucasus) 3.0 VI (Volga) 11.0 VII (Central) 24.0 VIII (Urals) 11.5 IX (West Siberia) 9.0 X Kazakhstan and Central Asia) 13.0 XI East Siberia) 6.o XII (Far East) 3.0 100.00 For Jet aircraft, schedules for November 1957 show operations into Moscow, Tashkent, Tbilisi, Irkutsk, Omsk, and Novosibirsk. The pattern for 1957 was as follows: Re ion Percent of Total V 5.0 VII x+2.0 IX 17.0 Xb 24.0 XI 12.0 Total 100.0 - 100 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T The regional distribution of lubricants was equated with that of aviation gasoline. b. Agiculture_. The annual totals of diesel fuel and kerosine consumed by soft- agricultural tractors were distributed regionally in accordance cation o with the pattern described the trendistribution off petroleum plowing units. Similarly, regional products consumed by combines was equated with the regional dis- tribution of hectares harvested. For both agricultural tractors and combines the regional distribution of lubricants consumed follows the regional pattern of primary fuel. In the absence of data to the contrary, the regional allocation of the quantities of fuel and lubricants consumed by other agricultural machinery has been equated in each year with the regional allocation of pri- mary fuel consumed by agricultural tractors. c. Households. Soviet household consumption of kerosine was distributed among the various union republics on the basis of dreported ata on sales retail sales of kerosine. Within the RSFSR, available. Therefore the distribution of kerosine consumption among the economic regions within the RSFSR has been based on the distribution of total population among these regions. The close relation between the distributions of kerosine sales and total pop- ulation of the various republics suggests that distributing kero- sine sales on the basis of population within the RSFSR provides a reasonably accurate estimate. Because data onthe regional al in dis- tribution of sales are available only for 1955, the pattern year has been held constant for the period under study. d. Construction. In the absence of a more reliable approach to the problem the distribution of petroleum products consumed in construction was made on the basis of cement consumption by economic region. e. Industr . (1) Petroleum. Lack of data precludes the distribution by economic region of the quantities of petroleum products consumed in the construction and repair of trunk pipelines. The distribution by economic region of the consumption of gasoline, diesel fuel, lubri- cants, residual fuel oil, and crude oil by the petroleum industry - 101 - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T' in crude oil drilling and producing operations was based upon the distribution by economic region of annual production of crude oil. The distribution by economic region of residual fuel oil consumed by the crude oil refineries was based on that of the crude oil charge to refineries. (2) Chemical. Estimates of the quantities of petroleum products con- sumed by the Soviet chemical industry were based on the ratio of the consumption of petroleum products to the output of commodities by the chemical industry involving the use of petroleum products. The distribution by economic region of the quantities of petroleum products consumed has been equated with the estimates of regional production of such commodities. (3) Coal. The general pattern used to distribute the quantities of petroleum products consumed by the coal industry was that of the regional production of coal. Because of the mining conditions and methods peculiar to the Donets Basin in Economic Regions III (South) and IV' (Southeast.), however, it is estimated that the consumption of petroleum products in these two regions averages about 50 percent of the total consumption by the coal industry, although production in Regions III and IV accounts for only 38 or 39 percent of the total. The balance has been allocated on the basis of approximate regional distribution of production of coal. (1.) Steel. The distribution by economic region of the residual fuel oil. consumed by the steel industry is in direct correlation with the regional production of crude steel by oil-fired furnaces. It was possible to create such a pattern only for 1956, and this pattern was held constant for the remaining years. (5) Electric Power. The regional distribution of the gasoline and diesel fuel consumed in the generation of electric power was made on the basis of the regional distribution of the rural population of the USSR R as reported for April 1956. The consumption of residual fuel oil was distributed regionally on the basis of the regional distribution of the estimated 1955 capacity of thermal electric powerplants, which consumed mainly residual fuel oil. S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T (6) Nonferrous Metals and Manufacturing. In the absence of other data the regional distribution of the lubricants and residual fuel oil consumed by the nonferrous metals and manufacturing industries of the USSR was based on the regional pattern of consumption of lubricants and residual fuel oil established for all other consuming sectors of the civil economy in the year 1955? In view of the relatively short time-span in- volved, as well as the relative insignificance of consumption by these industries, it is believed that the margin of error inherent in the application of the 1955 pattern to the entire period in question would not be appreciable. - 103 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T GAPS IN INTELLIGENCE Information is abundant on many phases of the petroleum industry of the USSR. The Soviet press in particular gives much attention to drilling practices, to crude oil production and methods of produc- tion, and to the transportation of crude oil and finished products by pipeline. With regard to the refining of crude oil, output of refined products -- either in percentage yields or in absolute quan- tities -- and the eventual disposition of annual output, there has been a reluctance to divulge any information since 1940. In most instances, data on sales of petroleum products, on the deliveries of petroleum products to civil consumers, and on the consumption of petroleum products in absolute quantities by individual consuming sector are completely lacking. Therefore, in the attempt to ascer- tain the civil consumption of petroleum products in the USSR and the distribution of this consumption by type of product to the individual consuming sectors and among the 12 economic regions, a secondary ap- proach to the problem has been necessary. Yet this approach, which has been described in detail,* has not been completely satisfactory. Research conducted on the problem has revealed specific gaps in in- telligence, a survey of which follows. 1. By Consuming Sector. a. Transport. Information on the consumption of petroleum products by railroads in the USSR is only adequate. In particular, informa- tion is lacking on the consumption of residual fuel oil. Data are needed on the size of the automotive park, on the breakdown by individual type of vehicle within the park, and on annual movement by type of vehicle. Estimates of the consumption by civil air trans- port and by water transport are acceptable, although comprehensive information concerning the distribution of vessels by type, by horsepower, and by type of fuel is lacking. b. Agriculture. Coverage is acceptable. Information on the number of the agricultural tractors consuming gasoline, kerosine, and ligroine is desired. No information is available on consumption by agri- cultural machinery other than tractors and combines. Information * See Appendix B, Methodology. - 105 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T is desired on the size of this park and on petroleum product usage and the consumption norms applicable thereto. c. Households. Coverage of the consumption of kerosine is good. No basis is available upon which to develop estimates of the consumption of other petroleum fuels, if any. d? Construction. Information is needed on the consumption of petroleum prod- ucts other than diesel. fuel by construction equipment. Similarly, information is lacking on the consumption of petroleum products by the construction materials industry. Also needed are consumption norms in natural fuel units per unit of output for those plants which consume petroleum fuels. e. Industry. (1) Petroleum. Coverage is good. Estimates have generally been based on Soviet sources! Confirmation is needed, however, on the measure of consumption of residual fuel oil by crude oil refineries. (2) Chemical. Soviet statistics are lacking, particularly on the con- sumption of petroleum products by type of product and on the produc- tion of chemicals in which petroleum is used either as a fuel or raw material. (3) Coal. Absolute data are not available on the consumption of petroleum products by the Soviet coal industry. Analogy with the US or the UK is precluded because of the variance in conditions and methods of mining. (it) Steel. Coverage is good. Better information is required on the proportion of crude steel produced in oil-fired open hearths, soaking pits, and reheating furnaces. - l06 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 (5) Electric Power. The major gaps in intelligence include (a) the magnitude and the geographical distribution of that electric power generating capacity which consumes petroleum products as fuels and lubricants and (b) the rate at which the generating capacity consumes these products. (6) Nonferrous Metals and Manufacturing. Information is lacking on total consumption and on con- sumption by type of product for either of these industries. This lack of data constitutes the major gap in intelligence in this phase of the study. 2. By Economic Region. a. Transport. A lack of data on regional consumption of petroleum products is characteristic of information on each of the forms of transporta- tion. Although a number of the statistical handbooks have offered information on a union-republic basis, statistics reflecting traffic by economic region within the RSFSR are needed. b. Agriculture. Coverage on the consumption of petroleum products by tractors and combines is good. Data on the regional distribution of consump- tion by other agricultural machinery are needed. c. Households. Coverage is good. Data on the regional distribution of kero- sine sales would be helpful. d. Construction. Coverage is adequate, although data on the regional distribu- tion of those plants in the construction materials industry which consume petroleum fuels are lacking, and data on the regional distribu- tion of the construction equipment park are needed. Some basis for the regional distribution of estimates of the amounts of road oils and asphalts consumed by the construction industry is required. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 e! . Industry. Except for the nonferrous metals and manufacturing industries, the regional distribution of consumption of petroleum products by the individual branches of industry has been equated with that of the out- put;of such commodities by each of these branches. More reliable data are needed with which to develop these regional patterns, par- ticularly in the economic regions within the RSFSR. No information. is available with which to distribute regionally the quantities con- sumed by the nonferrous metals and manufacturing industries. This lack of information constitutes the major gap in intelligence in this phase of the study. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T APPENDIX D SOURCE REFERENCES Evaluations, following the classification entry and designated "Eval.," have the following significance: Doc. Documentary A - Completely reliable B - Usually reliable C - Fairly reliable D - Not usually reliable E - Not reliable F - Cannot be judged 1 - Confirmed by other sources 2 - Probably true 3 - Possibly true 4 - Doubtful 5 - Probably false 6 - Cannot be judged "Documentary" refers to original documents of foreign govern- ments and organizations; copies or translations of such documents by a staff officer; or information extracted from such documents by a staff officer, all of which may carry the field evaluation "Documentary." Evaluations not otherwise designated are those appearing on the cited document; those designated "RR" are by the author of this report. No "RR" evaluation is given when the author agrees with the evaluation on the cited document. 1. Bashilov, A. and Kvochkin, A. "Kompaundirovaniye motornykh topliv" (Compounding of Motor Fuels), Moscow, 1958. U. 2. CIA. CIA/RR 137, Long-Range Plans for Electrification and Dieselization of Railroads in the USSR, 30 Jun 58, Table 21, p. 69. S. - log - Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 3. Genin, A.B. "0 primeneniy szhatogo i szhizhennogo gaza na teplokhodakh tsentral'nykh rechnykh basseynov" (On the Utilization of Compressed and Liquefied Gas by Motorships of the Central River Basins), Gazovaya promyshlennost', no 7, Jul 57, p. 23-25. U. 4. Sergeyev, A.S. and Beyder, P.Ya. "Ob udovletvoreniy perspektivnoy potrebnosti narodnogo khozyaystva SSSR v nefteproduktakh" (On the Meeting of the Prospective Demands for Petroleum Products by the National Economy of the USSR), Khimiya i tekhnologiya topliv i masel, no 2, Feb 58, p. 1-7. U. 5. Ibid. 6. Ibid. 7. Ibid. 8. Ibid. 9., Ibid. 10. Brenner, M. Neft' (Petroleum), Moscow, 1957, p. 116-120. U. 11. Na stroitel'stve truboprovodov, 11 Apr 58, p. 2. U. 12. Ibid. 13. Guryevich, Ya.D. et al. Neftyanaya ropy shlennost' SSSR (The Petroleum Industry of the USSR),, Moscow, 1956, p. 273. U. 14. Ibid. 15. Na stroitel'stve truboprovodov, 28 Jun 57, p. 1. U. 16. Promyshlenno-ekonomicheskaya gazeta, 10 May 57, p. 2. U. 17. Sokolova, Ye. "0 strukture toplivanogo balansa SSSR" (On the Structure of the Fuel Balance of the USSR), Vo ros ekonomiki, no 5, May 58, P. 56-65. U. 18. Na stroitel'stve truboprovodov, 13 Apr 58, p. 2. U. 19. UN, ECE. Methods of Forecasting Gas Demand, Annex V, Geneva, Nov 57, p. 1. U. 20. Sergeyev and Beyder, op. cit. (4, above). 21. Na stroitel'stve truboprovodov, 11. May 58, p. 1. U. Ibid., 2 Jul 57, p. 1. U. Ibid., 3 Jul 57, P? 1. U- 22. Sheynina, O.B. "K voprosu o povysheniy udel'nogo vesa prirodnogo gaza v toplivnom balanse Azerbaydzhana" (Concern- ing the Question of Raising the Share of Natural Gas in the Fuel Balance of Azerbaydzhan), Neft' i gaz, no 5, May 58, p. 135-139. U. Bayanskiy, T. Ye. "K voprosu ob ekonomicheskoy effektivnosti dobychi i ispol'zovaniya prirodnogo gaza mestorozhdeniya Karadag" (Concerning the Question of the Economic Effective- ness of Extraction and Utilization of Natural Gas from the Karadag Deposit), Neft' i gaz, no 6, Jun 58, p. 125-1,30. U. 23. Na stroitel'stve truboprovodov, 13 Jun 58, p. 1. U. 24. Kortunov, A.K. "Puti tekhnicheskogo progressa i snizheniya stoimosti stroitel'stva magistral'nykh truboprovodov" (Means for Technical Progress and a Reduction in the Cost of Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T 25X1 X7 Construction of Trunk Pipelines), Stroitel'stvo predpri atiy neftyanoy promyshlennosti, no 5, May 59-,P- 1-5. U- 25- Sergeyev and Beyder, op. cit. (4, above). 26. Ibid. 27. Ibid. 28. Ibid. 29. Ibid. 30. Ibid. 31. Kalamkarov, V.A. and Notkin, D.I. "Za novyy moshchnyy pod"yem neftyanoy promyshlennosti SSSR" (For New and Powerful Advances in the Petroleum Industry of the USSR), Neftyanoye khozyaystvo, no 1, Jan 58, p. 1-8. U. 32. Kalamkarov, V. "Perspektivy razvitiya gazovoy promyshlennosti SSSR" (Prospects for the Development of the Gas Industry of the USSR), Planovoye khozyaystvo, no 11, Nov 57, p. 45-55? U. 33? CIA. EIC-PSC-WP 1, Militar Consum tion.of Petroleum Products, Sino-Soviet Bloc, 1950-55, 1 Apr 56. S. CIA. EIC-PSC-WP 2, Military Consumption of Petroleum Products, Sino-Soviet Bloc, 1956-57, 1 Mar-5T.-S- 34. Bugayets, T.A. and Vil'chinskiy, V.A. Spravochnik po toplivu i toplivno-skladskomu khozyaystvu zheleznykh dorog Handbook on the Fuel and Fuel-Storage Economy of the Railroads), Moscow, 1956, p. 437. U. 35. Blank, Sh. P. Sebestoimost' rechnykh erevozok (The Cost of River Transport),, Moscow, 195 , p. 40. U. 36. Genin, op. cit. (3, above). 37. USSR, Tsentral'noye Statisticheskoye Upravleniye. Transport i svyaz' SSSR, statisticheskiy sbornik (Transport and Com- munications of the USSR, a Statistical Handbook), Moscow, 1957, p. 134, 140. U. Eval. Doc. Shimko, K.N. Toplivo d1 a vodno o transporta (Fuel for Water Transport), Moscow, 1954, p. 7. U. 38. Bronshteyn, L.A. et al. Avtotrans ortn spravochnik (Autotransport Handbook), Moscow, 1956, p. 164. U. 39. CIA. CIA/RR 89, Growth of Trans rtation in the USSR, 1948-56 and Prospects Through 1961, 25 Feb 57, p. 46. S. 40. Air Navy. AIS 2-2/19) Estimated Sino-Soviet Bloc Selected Order of Battle, 1 Oct 57, p. 20. S. 41. 42. USSR, Tsentral'noye Statisticheskoye Upravleniye. Narodnoye khozyaystvo SSSR v 1956 godu, statisticheskiy yezhegodnik The National Economy of the USSR in 1956, a Statistical Yearbook), Moscow, 1957, p. 163. U. Eval. Doc. 43. USSR, Tsentral'noye Statisticheskoye Upravleniye. Narodnoye khozyaystvo SSSR, statisticheskiy sbornik (The National Economy of the USSR, a Statistical Handbook), Moscow, 1956, p. 62, 69. U. Eval. Doc. - 111 - S-E-C-R-E-T Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 S-E-C-R-E-T CIA. CIA/RR 126, Recent __Developments in the Tractor Industry of the USSR, 14 Mar 5th S. USSR, Tsentral'noye Statisticheskoye Upravleniye. Promysh- lennost' SSSR statisticheskiy sbornik (Industry of the USSR, a Statistical Handbook), Moscow, 1957, p. 63. U. Eval. Doc. (hereafter referred to as USSR. Industry) 44. Chernyak, I. "Vsesoyuznoye soveshchaniye po dal'neyshemu razvitiyu gazovoy promyshlennosti" (All-Union Conference on the Long Range Development of the Gas Industry), Gazovaya promyshlennost', no 4, Apr 57, P. 36-39. U. 45. Lopoyan, G.S. "Ob opyte raboty dv:igateley V2-300" (Concern- ing the Experience of Use of the V2-300 Engine), Energe- ticheskiy byulleten' no 5, May 56, p. 25-29. U. 46. Protasov, G.N. and Udanskiy, N.Ya. Bureniye heft anikh i azovykh skvazhin (Drilling of Oil and Gas Wells)., Moscow, 1954, P. 195. U. 47. CIA. CIA/RR PR-135, Output of Refined Petroleum Products in the USSR, 8 Mar 56, p. 81. S. 48. Spravochnik po transportu gazov (Handbook on the Transport of Gas), Moscow, p. 294. U. Eval. Doc. 49. CIA. CIA/RR PR-135 (47, above), p,. 135. S. 50. Zvorykin, A.A. et al. Ekonomika urol'noy promyshlennosti SSSR (Economics of the USSR Coal Industry), Moscow, 195+, T.-282. U. 51. Materialy i oborudovaniye primenyayemyye v ugol'noy rp omyshlennosti (Materials and Equipment Used in the Coal Industry), vol 1, pt 2, Moscow, 1955, p. 124-125. U. Eval. Doc. USSR. Industry (43, above),. p. 149. 52. USSR. Industry (43, above), p. 177. 53. Ibid. 54. UN, ECE. Annual Bulletin of Electric Energy Statistics for Europe, Geneva, May 57, p. 20. U. Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6 SECRET SECRET Approved For Release 1999/09/08 : CIA-RDP79SO1046A000600120007-6