EU leaders’ summit starts amid division on energy sanctions

Leaders rule out paying Russian gas in rubles, but unable to agree on further economic measures amid Russian war on Ukraine

By Agnes Szucs

BRUSSELS (AA) - The EU summit started on Thursday in Brussels amid deep divisions among EU leaders over new sanctions restricting the Russian energy import.

“Today, Brussels is the center of the free world,” Ursula von der Leyen, the president of the European Commission, told reporters on the way to the EU leaders’ meeting.

She referred to the fact that earlier in the day, NATO and G7 leaders also held an emergency meeting to discuss their response to the Russian war on Ukraine.

The topic will also dominate the agenda of EU leaders that will hold talks with US President Joe Biden who is attending a part of the meeting in person.

In addition to coordinating measures against Russia, the EU and US will on Friday open a “new chapter in energy partnership” and sign a new agreement on buying additional liquefied natural gas from the US to replace the Russian exports, von der Leyen announced.

She added that energy will be at the heart of EU leaders’ discussion after the European Commission proposed to reinforce action on joint EU procurements and joint gas storage.


- Oil and gas embargo

Ukrainian President Volodymyr Zelenskyy will also join the EU leaders’ discussion through a video link and he is expected to ask EU counterparts to impose harsher measures against Russia.

However, further sanctions, especially the idea of banning Russian oil and gas imports, deeply divide EU member states.

While Poland and the Baltic countries are advocating for an oil and gas embargo, some member states such as Germany and Hungary are very reluctant to give up their Russian energy supply.

Lithuanian President Gitanas Nauseda expressed hopes about finding an agreement on new sanctions.

On the way to the meeting, he told reporters that recent week’s European unity is a “good sign” and stressed that they “need solutions on the EU level.”

Latvian Prime Minister Krisjanis Karins also said a temporary oil and gas embargo would be the “most logical option.”

Meanwhile, Belgian Prime Minister Alexander De Croo warned that the “EU should not be its own enemy” and leaders “will not adopt sanctions that weaken” them.

He asserted that a ban on oil and gas import “would have a devastating effect on the European economy.”


- Energy prices

EU leaders also seemed united in refusing Russian President Vladimir Putin’s demands on paying Russian gas and oil in rubles.

De Croo explained that it would mean a contract change that would entail renegotiating the prices as well.

Slovenian premier Janez Jansa and German Chancellor Olaf Scholz also said the EU countries will not pay in rubles.

During the two-day meeting, the leaders will talk about the economic consequences of the Russia-Ukraine war as well, including the rising energy and food prices, as well as possible supply disruptions.

Spain, Italy, Greece, Spain, Portugal, France, and Belgium are expected to present plans on capping energy prices for consumers and reforming the pricing rules at the EU energy markets.

The heads of state and government are also meant to endorse the Strategic Compass, the bloc’s latest defense and security action plan.


- EU’s response to Russia's war on Ukraine

The EU has allocated €1 billion ($1.1 billion) in military support, €500 million ($551 million) in humanitarian aid to Ukrainians, and adopted four packages of sanctions since the beginning of the war on Feb. 24.

The measures target 785 individuals and 14 entities in total in Russia, including Putin, Foreign Minister Sergey Lavrov, oligarchs, and military officers.

The sanctions have also banned the export of luxury goods to Russia, excluded Russian and Belarusian banks from the SWIFT international banking system, and prohibited the broadcasting of Sputnik and RT media outlets.

At least 1,035 civilians have been killed so far in Ukraine and 1,650 injured, according to UN estimates. It has warned, however, that the exact toll is likely much higher as it has not been able to gain access to areas of increased hostilities.

Over 3.6 million Ukrainians have also fled to the neighboring countries, according to the UN refugee agency.

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