Manawatu Standard

Germany backs proposals for oil ban

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The European Union is moving towards a ban on Russian oil by the end of the year amid divisions over the speed of phasing out imports and the impact of the embargo on the cost of living in the West.

EU energy ministers held emergency talks in Brussels on Monday, local time, before European Commission proposals on new sanctions that are expected over the next 48 hours.

In a significan­t U-turn, Germany is backing the planned oil ban, but there are still difficulti­es, particular­ly for small, landlocked central European countries dependent on crude oil supplies from Russia.

Robert Habeck, the German economy minister, said a ban needed to be tapered and structured to avoid creating a recession or a cost of living crisis in southern and western Europe.

‘‘Germany is not against an oil ban from Russia. Of course it is a heavy load to bear, but we are ready to do that,’’ he said.

‘‘We need to prepare the steps well and not lead to an uncontroll­able economic situation.’’

The oil ban means the end of the Druzhba or ‘‘Friendship’’ pipeline, the longest in the world, which carries more than a million barrels of oil a day – up to half the supply of crude from Russia.

Germany and Poland have moved to end dependency on the pipeline using crude oil carried by ships to the ports of Rostock and Gdansk.

Other landlocked countries, especially Hungary, Slovakia and Austria, will be hit hard in economic terms unless alternativ­e supplies are found and time is given for restructur­ing refineries and industry.

Poland, which leads a ‘‘Sanctionis­ta’’ bloc of countries including the Baltic states, is pushing for an immediate ban and moves to embargo gas imports as well. Hungary has been vocal in opposition to a ban and reminded the EU it had a veto. Significan­tly, however, it has posed the problem as an economic challenge not a political point of principle. –

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