European Commission stands for ceiling on oil prices in new package of sanctions UPDATED

European Commission President Ursula von der Leyen has said that the European Commission has proposed a new package of sanctions against Russia, which envisages the introduction of a price ceiling for Russian oil.

“We are determined to make the Kremlin pay the price for this further escalation. Today, we are proposing a new package of biting sanctions against Russia. A legal basis for an oil price cap. Some developing countries still need some Russian oil supplies, at low-prices. This cap will help reduce Russia’s revenues and keep global energy markets stable,” von der Leyen tweeted, RBC reports.

Moreover, the European Commission offered:

New listing of individuals and entities

Further restriction of trade

New import bans on Russian products, depriving the economy of seven billion euros ($11.5 million) in revenues;

More products that cannot be exported to Russia, in particular, key technologies needed for its war machine;

Prohibition for EU nationals to sit on governing bodies of Russian state-owned companies;

The new package of EU sanctions will be a response to the referendums on accession to Russia, held in the territories lost by Ukraine.

The EU has already introduced an oil embargo on offshore shipments of Russian oil in one of the previous packages.

It will come into force in December 2022. European countries coordinated this embargo for a month and a half. It was opposed by Hungary, which subsequently, having achieved special conditions for itself, lifted its veto.

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European Commission President Ursula von der Leyen will announce a new set of sanctions on September 28 that will target Russia for its invasion of Ukraine.

“European Commission President Ursula Von der Leyen will announce a new package of sanctions on Russia on September 28,” according to Bloomberg.

Separately, European allies were considering how to respond to a disruption of the Nord Stream natural gas pipeline as Russia threatened to cut off the last gas supplies to them via Ukraine.