New sanctions and suspension of Nord Stream 2 certification – this is how Europe reacted to Russia’s decision recognize the republics of Donbass. Britain was the first to announce tough measures. And in the European Union, they are still discussing who and what should be included in the final sanctions lists. Europeans have to solve another important issue – how to survive without Russian gas, access to which is blocked by sanctions. What makes the EU act to the detriment of its own interests?
British Prime Minister Boris Johnson raised the alarm of the members of the government committee “Cobra” with the first roosters. At half past seven in the morning, he was already sitting at the table and deciding which sanctions to impose and against whom.
Later, the names of three Russian businessmen – Gennady Timchenko, Boris Rotenberg and Igor Rotenberg – and the names of five banks – Rossiya, Black Sea Bank for Development and Reconstruction, Genbank, Industrial Savings Bank, Promsvyazbank were named in Parliament.
Their assets will be frozen, although such a step will not have the best effect on the stability of the financial center itself – London – already shaken after Brexit.
“Any assets that these people and entities have in the UK will be frozen. The individuals in question will be banned from entering the country and we will ban all UK individuals and entities from doing business with them. This is the first thing we are ready to do,” says Boris Johnson.
It is no coincidence that Rossiya Bank is number 1 on the list: it was the first to fall under US sanctions in 2014, the first to switch to settlements exclusively in rubles, the first to deploy a network in Crimea and President Putin keeps money in it. But either the document was written half-awake, or incompetence again summed it up, but where the name is indicated – Rossiya Bank – there is the address of the Central Bank of the Russian Federation.
There is no time for correction, London is preparing to impose sanctions against the members of the Federation Council and the State Duma who voted “yes”, is thinking of banning the export of high technologies, closing access to the sovereign debt market, restricting trade and hitting sports – football, which, it seems, should be out of politics. However, FIFA has already stated that the proposals of the British are not considered.
“I find it inconceivable that major football tournaments could be held in Russia after an invasion. We are considering further sanctions with the US and the EU,” said Prime Minister Johnson.
On the mainland, in Brussels, they rocked longer. They tried to define the terms – so much so that they themselves got confused.
“I would not say that this is a full-scale invasion, but Russian troops are already on Ukrainian soil. I am sure that the decision on sanctions will be taken unanimously,” he said. head of European diplomacy Josep Borrell.
It did not come out unanimously: according to media reports, Hungary blocked all-European sanctions during the first discussion. But by the evening they still found agreement.
They thought about whom to punish in order to minimize their damage. Germany did what all its Western partners expected of it – shot itself in the foot.
“Today I asked the Ministry of Economy to withdraw the report with the analysis of energy security from the Federal Grid Agency. It sounds technical, but this is a necessary administrative step so that the gas pipeline is not certified at the moment,” the chancellor said about the actions regarding the Nord Stream 2 pipeline. Germany Olaf Scholz.
However, due to internal disagreements, pressure from the United States and allies, its certification was already postponed all the time, despite the urgent need for additional volumes of gas. Many generally doubted that the necessary papers would eventually be issued. All this goes against German interests, the Bundestag said.
“Freezing Nord Stream 2 harms not only Russia, but also Germany and 12 other EU countries. Energy prices continue to rise. The desire of the United States to sell us its expensive, environmentally harmful liquefied gas and the desire of the Greens to abandon Nord Stream – 2″ are fueled by the use of the conflict for selfish purposes,” said the head of the Bundestag Committee on Economics and Energy, Klaus Ernst.
Stopping the Nord Stream will also boomerang those Europeans who have invested in the project. French Engie, Anglo-Dutch Royal Dutch Shell, German Uniper and Wintershall, and Austrian OMV are losing money. Each accounted for approximately one billion euros of investment.
“This project has nothing to do with politics – and should not have. This is a purely economic, commercial project, which, in addition to mutual benefit, is also intended to become a stabilizing element for the gas market in Europe. Both suppliers, that is, we, and recipients are interested in it of our gas, primarily Germany. But also all other European countries. And the fact that such projects are being halted – hopefully temporarily – due to various political reasons, is, from our point of view, wrong, “says the press secretary of the President of the Russian Federation Dmitry Peskov.
Moreover, no one will be able to replace the volume of Russian gas supplies – this is the statement of the Minister of Energy of Qatar, made at the forum of blue fuel exporting countries. The price of which, obviously, will go up sharply, says Serbian President Aleksandar Vucic. Putin’s decision, he said, completely changes the world order. Belgrade will be forced to join the sanctions.
“Serbia is on the European path, we have always expressed support for the integrity of Ukraine, but on the other hand, we have 85% of citizens who, no matter what happens, will be on the side of Russia,” Vucic said.
In Austria, they are trying to maintain energy calm, hoping that the head of the European Commission, Ursula von der Leyen, will come up with something.
“Even if Russia stops natural gas supplies right now, everything will be fine with the energy supply. The European Commission has assured Austria that it will provide alternatives,” said Austrian Chancellor Karl Nehammer.
This is an allusion to American liquefied gas, which is more expensive and which, at the height of the energy crisis in Europe, was sent to Asia because they paid more there.
Europe is obviously in a difficult situation. On the one hand, it cannot fully rely on the United States in matters of energy security, on the other hand, it is forced to limit cooperation with Russia: to accept unfavorable sanctions that it has threatened for so long, to act at a loss.