Brussels (ANSA) – Following extensive negotiations, the EU has approved its eighteenth set of sanctions against Moscow. The nationalist leader of Slovakia, Robert Fico, lifted his veto last night. The Commission has managed to address Bratislava’s concerns regarding the potential adverse effects of the sanctions, which are impacting the entire energy sector under Vladimir Putin‘s control.
“We have targeted the core of the Russian war machine,” stated Ursula von der Leyen. This new package is one of the most severe enacted by the EU and introduces a notable change: a dynamic Oil Price Cap mechanism that will set prices 15% below the average market price of Russian crude oil, adjusting the price by 60 cents to approximately 47.6 dollars per barrel.
The new measures also dismantle a key aspect of the EU’s energy reliance on Moscow, namely Nord Stream 1 and 2. With a complete ban on gas transit, these major pipelines are on track to become relics of the past. Concurrently, the EU has mandated that gas storage must reach 90% of capacity for the forthcoming winter, albeit with possible exceptions.
Additionally, Russian banks are facing a severe blow as a total ban on transactions with European institutions has been imposed, and 22 new entities have been added to the blacklist, bringing the total to 45. This package also includes over a hundred vessels added to the blacklist aimed specifically at the shadow fleet that Putin has used to maintain energy trade.
In response, Kremlin spokesman Dmitry Peskov stated, “The sanctions are illegal and will backfire on their promoters,” asserting that Russia has attained a “certain immunity” against European measures (July 18).
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