“I repeat, we are thinking about this, no decisions have been made yet. And the concrete steps (of Russia’s response) will be outlined in a decree of the Russian president that will be issued in the coming days,” Reuters quoted Putin as saying. as they say.
This statement came after European Union countries agreed to cap the price of Russian offshore oil at $60 per barrel.
Putin also said that the proposed Western price cap corresponds to the prices at which Russia sells oil today, and the decision in that case will not affect the country.
“If someone ever agrees that the consumer sets the price, it will lead to the collapse of the industry itself. Because the consumer always demands a lower price. The industry already lacks investment, it is underfunded, and if we only listen to consumers, then this investment is zero. All this will at some point lead to a catastrophic rise in prices and a world energy collapse – that’s what it will lead to. This is a stupid proposal, ill-conceived and uncalculated,” Putin told Reuters.
“Making some non-market, harmful decision would be stupid for everyone, including consumers. Because consumers need to understand that if they demand happy prices, even if they achieve this, prices will fall, investment will be zero, eventually prices will skyrocket and hit those who offer such solutions,” he added.
The President of the European Commission said earlier on Twitter, Ursula von der Leyen “The EU agreement on the oil price ceiling, coordinated with the G7 countries and others, will significantly reduce Russia’s income. It will help us stabilize global energy prices, which will benefit emerging economies around the world.”
Leyen also shared a video on his Twitter account in which he said: “As you know, the EU and other key G7 partners have a full import ban on Russian seaborne oil from December 5. However, we must ensure that emerging and developing countries continue to have access to Russian crude oil at a capped price, and thus the EU, the G7 and other global partners have today agreed to introduce a global price cap for seaborne oil from Russia.”
Speaking about the goals, the president of the European Commission said that, firstly, it strengthens the effect of our sanctions, secondly, it reduces Russia’s income, and thirdly, at the same time, it stabilizes the global energy market, as it enables some Russian sea transport. Oil to be sold, brokered and transported to third countries by EU operators, as long as it is fixed below the maximum amount.
“So this price cap directly benefits emerging and developing economies and is adjustable over time to allow us to respond to market developments. Together with our partners, we stand united and firmly against Russia’s brutal war,” he added. .
HT
Source: ANI