Gazprom warns of gas supply cut to Europe if price cap is put

The attempt to impose a cap on gas prices Russian in Europe will imply the cut of the supplies, warned today the CEO of GazpromAlexei Miller, on Russian public television.

”We are guided by the signed contracts. A unilateral decision like this is a violation of the current conditions of the contract that implies the cessation of supplies”, he claimed.

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Miller recalled that this reaction step to the imposition of price caps on Russian hydrocarbons is provided for in a presidential decree signed last March by the Russian president, Vladimir Putin.

The Russian head of state himself has warned on several occasions that any attempt to limit the prices of Russian crude oil and gas would mean that Russia would not export these items, and called on the EU not to violate the laws of supply and demand that govern trade international.

Among the latest sanctions imposed on Russia by European Union there is the commitment to impose a global limit on the price of Russian oil and its derivatives, in such a way that European shipping companies will only be able to transport it from Russia to third countries if it is sold at an amount equal to or less than the established amount.

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The cap on the price of oil will not be a fixed amount, but a variable that places the price of Russian crude oil below the global market price, thus reducing the income that Russia obtains from the sale of fossil fuels and that it uses to finance the war. against Ukraine.

This mechanism of punishing Russia was one of the topics discussed by Yellen with the Eurogroup ministers, with whom she also discussed the need to speed up economic assistance to Ukraine.

Source: Elcomercio

Ronald Payne

I, Ronald Payne, am a journalist and author who dedicated his life to telling the stories that need to be said. I have over 7 years of experience as a reporter and editor, covering everything from politics to business to crime.