The media reported that the price limit for oil from Russia will come into force before the end of the year

WASHINGTON, Sep 2 – PRIME “Restrictions” on oil prices from the Russian Federation under the G7 agreement are expected to come into force before the end of the year, according to the Washington Post.

G7 finance ministers on Friday confirmed a plan to introduce a “price cap” on Russian oil and called on “all countries” to join the initiative. Earlier, European Commissioner for the Economy Paolo Gentiloni said that the EC’s goal is to introduce a price cap in accordance with the deadlines agreed under the sixth EU sanctions package, that is, December 5, 2022 for crude oil and February 5, 2023 for petroleum products.

“The G7 governments … have said they plan to impose a price cap by ending insurance on all deliveries of Russian oil that sells above a certain price … This price has not yet been announced. The new price cap is expected to come into effect by the end of the year,” the newspaper writes.

The leaders of the G7 countries formulated their intention to limit the price of Russian oil at the summit on June 26-28 as part of reducing dependence on energy from Russia. At the beginning of July there were proposals to set the limit at half the current price. According to the Bloomberg agency, figures of 40-60 dollars were discussed.

The day before, Russian Deputy Prime Minister Alexander Novak said that Russia would not supply oil to countries that would join the agreement on the maximum price for its oil.

According to Dmitry Birichevsky, Director of the Department of Economic Cooperation of the Russian Foreign Ministry, the introduction of a price ceiling on Russian oil and gas is risky and will only aggravate the energy crisis, in the event of such steps from the West, Russian companies will act on the basis of economic expediency. Commenting, among other things, on the results of the meeting of the G7 leaders, where the proposal on price restrictions was discussed, he noted that “theoretically, Western countries may try to introduce a” price ceiling “by putting pressure on companies providing financial, logistics and insurance services related to maritime oil supplies from Russia.