Friday, 29 April 2022 06:36

Several European traders have started to pay for Russian gas in roubles - Report

Rate this item
(0 votes)

Some European traders have started to pay Russia for gas sales in roubles, while large clients have yet to do so, two sources familiar with the matter told Reuters on Thursday.

"Several traders, maybe more than five, have started payments," one source said on condition of anonymity because they were not authorised to speak to the media.

Russian President Vladimir Putin has demanded that countries he terms "unfriendly" must pay for gas in roubles or be cut off.

Under the new Russian payment system, buyers are obliged to deposit euros or dollars into an account at Gazprombank, which has then to convert them into roubles, place the proceeds in another account owned by the foreign buyer and transfer the payment in Russian currency to Gazprom.

The scheme was designed as a response to sweeping Western sanctions against Russia following the start of what Moscow calls its "special military operation" in Ukraine.

Gazprom and Gazprombank did not respond to requests for comment on Thursday.

The European Commission has accused Moscow of blackmail over its demand to be paid in roubles but in an advisory note issued last week, the Commission said buyers of Russian gas could participate in the scheme if they could confirm payment was complete once they had deposited euros, as opposed to later when the euros were converted to roubles.

Russia cut off gas supplies to Poland and Bulgaria on Wednesday after they refused to pay in roubles under the new arrangement stipulated by Putin.

A senior European Union official said on Thursday that Poland and Bulgaria both used their existing method to pay for Russian gas before Moscow cut their gas supplies, and the countries did not comply with Moscow's proposed mechanism to pay in roubles.

The Kremlin has said payments for deliveries that took place after Putin's decree took effect were expected in May. A source named May 20 as "validation" date for payments.

There have been mixed signals from Gazprom's top consumers of gas about the rouble scheme of payments.

Three sources said on Thursday that Italian energy group Eni has yet to make a decision regarding the payment scheme Russia has introduced and is waiting for clarity on whether it amounts to a breach of sanctions.

Uniper, Germany's main importer of Russian gas, said on Monday it would be possible to pay for future supplies without breaching European Union sanctions. However, it later said that no decision had been made.

Hungary has said it plans to pay for Russian gas in euros through Gazprombank, which will convert the payment into roubles to meet the new requirement.

 

Reuters

June 26, 2025

How to ace a job interview in 90 seconds, from an Ivy League communication expert

Sophie Caldwell You only have about 90 seconds to make a strong first impression in…
June 26, 2025

Peter Obi decries ‘coordinated lawlessness’ after brother’s property is demolished in Lagos without court order

Former presidential candidate Peter Obi has condemned what he described as a brazen act of…
June 27, 2025

Which drink is best for hydration? Hint: It isn’t water

Lisa Drayer When you’re thirsty and in need of a drink, which beverages are best…
June 21, 2025

Man convicted of posing as flight attendant to fly for free 120 times

A 35-year-old American man has been found guilty of impersonating a flight attendant at least…
June 26, 2025

17 soldiers killed, dozens injured in fierce gun battles with terrorists in Niger, Kaduna

Seventeen soldiers have been confirmed dead and at least ten others injured following coordinated attacks…
June 27, 2025

What to know after Day 1219 of Russia-Ukraine war

WESTERN PERSPECTIVE Russia captures village in eastern Ukraine near lithium deposit, Russian-backed official says Russian…
June 25, 2025

Tesla robotaxi launch: Why getting from dozens to millions of self-driving cars won't be easy

Tesla (TSLA.O) finally has a robotaxi. Now comes the hard part. The electric-vehicle maker deployed…
May 13, 2025

Nigeria's Flying Eagles qualify for World Cup after dramatic win over Senegal

Nigeria's U-20 national football team, the Flying Eagles, have secured their place at the 2025…

NEWSSCROLL TEAM: 'Sina Kawonise: Publisher/Editor-in-Chief; Afolabi Ajibola: IT Manager;
Contact Us: [email protected] Tel/WhatsApp: +234 811 395 4049

Copyright © 2015 - 2025 NewsScroll. All rights reserved.