Monitoring Desk
BERLIN: Germany on Wednesday shrugged off Russia’s ban on oil sales to countries and companies that accept the price cap agreed by Western allies, saying it has “no practical significance.”
“I would not like to say that it’s irrelevant; however, it has no practical significance,” said a spokeswoman of the economy ministry. She noted that since early summer, Germany has been preparing to divert dependence on Russian oil.
Germany has been working to ensure supply security, which “continues to be assured regardless of whether this decree has been issued or not.”
Germany dependence on Russian oil
Germany had been highly reliant on Russian energy but was forced to wean itself off gas, crude, and coal from the power giant after Russia invaded Ukraine.
The price cap of $60 per barrel agreed by the European Union, Australia, and the Group of Seven Nations came into force in early December and sought to limit Russia’s revenue while ensuring Moscow keeps supplying the global market.
Introduced alongside a European Union embargo on seaborne deliveries of Russian crude oil, the cap aims to ensure Russia cannot bypass the blockade by selling its oil to third countries at high prices.
