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Poland urges EU to impose sanctions on Russian oil and gas | Government and politics

Eusebio R. Sheffield May 2, 2022 3 min read

By LORNE COOK – Associated Press

BRUSSELS (AP) — Poland on Monday urged its European Union partners to unite and impose sweeping sanctions on Russia’s oil and natural gas sectors over the war in Ukraine, and not give in to pressure. to pay for their gas in Russian rubles.

The call came as EU ministers met in Brussels to discuss their response to Russia’s decision last week to cut gas supplies to Bulgaria and Poland. Energy giant Gazprom says the two countries failed to pay their bills in April.

“We will call for immediate sanctions against Russian oil and gas. This is the urgent and absolute next step,” said Polish Climate and Environment Minister Anna Moskwa. “We already have coal. Now it’s time for oil, and (the) second stage is for gas. all together.”

The EU has hit Russian officials, oligarchs, banks, businesses and other organizations with a series of sanctions since Moscow ordered an invasion of Ukraine in February. The commission is working on a sixth round of measures, possibly including oil restrictions, and could announce them this week.

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The measures would have to be approved by member countries, which could take several days.

In a move last week described in Europe as “blackmail”, the Russian energy giant Gazprom cut off deliveries to Bulgaria and Poland. It came after Russian President Vladimir Putin said “unfriendly” countries should start paying for their gas in roubles, Russia’s currency.

Bulgaria and Poland refused to do so, like most EU countries. More Gazprom bills are due May 20, and the bloc fears Russia will turn off more taps then. Russia rejects blackmail allegations.

Both countries informed ministers that consumers and industry face no immediate supply risk.

EU Energy Commissioner Kadri Simson has warned that Gazprom’s action ‘shows clearly that they are not reliable suppliers and that means all member states must have plans in place for a full shutdown’ of their supplies.

The 27 EU countries import around 40% of the gas they consume from Russia. But some member countries, notably Hungary and Slovakia, are more heavily dependent on Russian supplies than others, and support for a gradual implementation of an oil embargo is emerging.

Germany thinks it could cope if Russian oil supplies were cut off by Moscow. Economy Minister Robert Habeck said Russian oil now accounts for 12% of total imports, down from 35% before the war, and most of it goes to the Schwedt refinery near Berlin.

“Germany is not against a ban on oil from Russia. Of course it is a heavy burden to bear, but we are ready to do it,” Habeck told reporters. He said a few additional weeks or months to find oil transport vessels and to better prepare ports and pipelines would be useful.

“Time is useful but I think other countries have bigger problems, and as I asked for solidarity or understanding of the German situation, I am of course also willing to understand the situation maybe more difficult for other countries,” he said.

Much of Monday’s meeting focused on bolstering gas supplies and not caving in to Putin’s demand that companies pay for gas in rubles. Around 97% of European contracts were concluded in euros or dollars.

The EU’s executive arm, the European Commission, has warned that firms bowing to pressure to convert euros into rubles via two accounts at Gazprombank would breach the bloc’s sanctions.

French Ecological Transition Minister Barbara Pompili, whose country holds the rotating EU presidency until the end of next month, said all countries were in agreement “to apply the sanctions and respect the contracts . And the contracts clearly state the payment in euros.

Despite the pressure, Europe has some leverage in the dispute as it pays Russia $400 million a day for gas, a huge hole in Moscow’s coffers if it opts for a complete cut.

Frank Jordans in Berlin and Mike Corder in The Hague contributed to this report.

Follow AP coverage of the war at https://apnews.com/hub/russia-ukraine

Copyright 2022 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.

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