The EU approves the first sanctions against Russian liquefied natural gas

The EU approves the first sanctions against Russian liquefied natural gas
The EU approves the first sanctions against Russian liquefied natural gas

The European Union formally approved this Monday a new package of sanctions against Russia, which includes, for the first time, actions against liquefied natural gas and against ships that favor war with their activities.

The group of 27 thus tries to stop Putin in his efforts to keep the war in Ukraine alive, although the 13 measures that have already been taken since the invasion of Ukraine began in February 2022 have not been of much use.

This new round of sanctions includes restrictive measures against 69 people and 47 entities from different countries and not only from Russia. The EU considers that the Kremlin is supported by China, Kazakhstan, Kyrgyzstan, Turkey and the United Arab Emirates to undermine or threaten the territorial integrity, sovereignty and independence of Ukraine.

From now on, the following are prohibited within the community territory: Russian natural gas refilling services that is going to be transshipped to third countries, in order to reduce the “important” income that Russia obtains from its sale and transportation. This covers both ship-to-ship and ship-to-shore transhipments, as well as reloading operations, and does not affect import, but only re-export to third countries via the EU.

The European Commission will monitor the implementation and development of this decision and may propose palliative measures if necessary, the Council said in a statement. Besides, The EU will prohibit new investments, as well as the supply of goods, technology and services for the completion of LNG projects under construction, such as Arctic LNG 2 and Murmansk LNG.

The EU also imposes, for the first time, sanctions on “certain ships contributing to the war” of Russia against Ukraine”, which prohibits access to ports and the provision of services. These ships can be designated for various reasons, such as transport of military material for Russia, stolen Ukrainian grain or support for the development of the Russian energy sector. In the latter case, for example, by transporting LNG components or LNG transshipments.

Likewise, The measure is directed against oil tankers who are part of the “shadow fleet”, who circumvent EU restrictions and “adopt deceptive transport practices in total disregard of international standards.” Until 27 vessels have been subject to these measures.

To help counter the re-export of material that Russia uses in the battlefield or the development of military systems, EU operators selling it to third countries will have to apply diligence mechanisms capable of identifying and evaluating the risks of re-export to Russia, and mitigating them.

EU operators transferring industrial know-how for the production of military-grade material to third countries will have to include contractual provisions ensuring that it will not be used for products destined for Russia.

Furthermore, it extends the prohibition of landing, taking off or flying over the territory of the EU for aircraft used for a non-scheduled flightand the ban on the transport of goods by road on EU territory, including in transit, is extended to include EU operators that are 25% or more owned by a Russian natural or legal person.

HE prohibits the use of the Financial Message Transfer System (SPFS), a specialized financial messaging service developed by the Central Bank of Russia to neutralize the effect of restrictive measures. Also transactions with certain financial and credit institutions and cryptoasset suppliers established outside the EU, when these entities facilitate transactions that support Russia’s defense industrial base.

Financing

EU political parties, foundations, NGOs, think tanks or media service providers already They will not be able to accept financing from the Russian State and their representatives, in order to counter Russian attempts at disinformation and interference in the EU’s democratic processes. The measures will not prevent the media and their staff from carrying out other activities in the EU, such as investigations and interviews.

New ones have been introduced export restrictions of goods which contribute especially to the improvement of Russian industrial capacities (chemical products such as manganese ores and rare earth compounds, plastics, excavation machinery, monitors and electrical equipment. Also to the import of helium from Russia, a source of important income for the Kremlin.

The purchase, import, transfer or export of Ukrainian cultural property and other property of archaeological, historical, cultural, rare scientific or religious importance is prohibited when there are reasonable grounds to suspect that they have left Ukraine illegally.

 
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