A concession system forms the basis for nearly all upstream licences and joint ventures in Russia. Joint ventures may include Russian oil and gas companies, and/or international oil companies (IOCs). The Concession regime is based on two major elements: mineral extraction tax (MET) and export duty. The combined effective rate stands at about 60%. Corporate income tax at 20% and property tax at 2.2% rate are also payable. From 2019, oil ED rate will gradually decrease to zero in 2024, while oil MET will increase as export duty falls. The expected impact on upstream is neutral. The new Additional Profits Tax (APT) regime applies to 101 individual fields, effective 2019. The new system consists of a new 50% additional profits tax (APT) and reduced MET.