The members of the European Union reached an agreement on the eighth package of sanctions against Russia, which also includes the legal basis for the introduction of a price cap for Russian oil.
The member states must finally confirm the sanctions after a written procedure, the new measures have been agreed upon by the ambassadors of the member states to the EU for now.
Among other things, the sanctions include the legal basis for the introduction of a price cap for Russian oil. It should apply only to the maritime transport of crude oil and certain derivatives to third countries and certain services related thereto. An agreement in principle on setting a price cap for Russian oil for third countries was already reached within the G7 group, on which was also mentioned by the President of the European Commission during the presentation of the proposal for sanctions Ursula von der Leyen.
The new package of sanctions will also include a ban on the import of additional Russian products. Brussels also proposes to expand the list of products whose export to Russia is prohibited. The EU will also expand the list of individuals and legal entities subject to sanctions.
The EU decided on a new package of sanctions because of Russia’s escalation of aggression on Ukraine, after Moscow is in Ukrainian regions Donetsk, Luhansk, Kherson and Zaporozhye organized referendums on joining Russia. Meanwhile, the annexation, which is not recognized by the international community, has already been implemented.
The European Union has so far adopted seven packages of sanctions against Russia because of its attack on Ukraine, which began at the end of February. The last one, which includes, among other things, a ban on the import of Russian gold, was approved by the members in July.
Von der Leyen: The EU is ready to discuss the price cap for gas
In her speech in the European Parliament, the President of the European Commission, Ursula von der Leyen, emphasized that only a strong and firm Europe will stop the Russian president Vladimir Putin. She presented the planned measures regarding energy prices and added that the EU is ready to discuss the upper limit of the price of gas used to produce electricity.
The inflationary impact of gas must be limited in the European Union on electricity prices energy, so we are ready to discuss the upper limit of the price of gas used for electricity production, she emphasized. According to her, this restriction, which would be temporary, would be the first step towards the structural reform of the electricity market energy. “Such a gas price cap must be properly designed to ensure security of supply,” she said. According to her, gas prices should also be examined outside the electricity market energy.
The commission will also work with the member states to reduce uncertainty and the impact of price manipulations carried out by Russia, the president of the commission emphasized. In addition, it announced intensified negotiations with reliable partners such as Norway and called for the establishment of an energy platforms for joint purchases of gas in the EU to lower energy prices. In doing so, she emphasized that it is necessary to avoid a scenario in which the member states will once again compete with each other on world markets, which would increase the price of gas.
“Two things remain the most important in our action: it is united and solidary action,” von der Leyen said. The measures taken by EU countries must “to maintain a level playing field within the Union”, she added at the end.