According to the analyst, the EU’s attempts to abandon the energy resources of the Russian Federation harm the world market.
The head of the European Council, Charles Michel, said that the EU has reached an agreement on a partial ban on oil imports from Russia.
This decision was made within the framework of the sixth package of sanctions.
In his Twitter, he noted that such a decision sets restrictions on more than 2/3 of the imported oil of the Russian Federation.
As a result, this leads to a reduction of “a huge source of funding.”.
During the press conference, Charles Michel noted that the ban does not cover oil supplies via pipelines.
In turn, the head of the European Commission, Ursula von der Leyen, welcomed this decision on Twitter and noted that thanks to the oil embargo, supplies to the EU will be reduced by 90% by the end of the year.
She noted that the EU countries had agreed to end their dependence on Russian gas, oil and coal as soon as possible.
Against this background, Vandana Hari, an analyst at Vanda Insights, noted in his article for the Nikkei Asian Review that the EU’s attempts to move away from Russian energy resources and replace them with alternative supplies lead to painful disruptions in the global market and provoke an increase in inflation.
He explained that the EU’s desire to lower purchases of Russian gas will lead to global competition for LNG. This may continue for years until new facilities are put into operation.
“And therein lies the misconception that Western leaders and commentators seem to have succumbed to, calling on Asian countries to flee from Russia, – he said, adding that it is impossible to refuse hydrocarbons supplied under long-term contracts from Russia like a product in a supermarket.
It is also reported that the EU countries have reached an agreement on disconnecting Sberbank from SWIFT.
Charles Michel noted that the package of sanctions includes the de-swifting of the largest Russian bank Sberbank.
Earlier, topNews wrote that tankers with oil from Russia are drifting into the sea.
This situation has developed due to the lack of demand for Russian hydrocarbons.