RT.com
24 Nov 2022, 21:14 GMT+10
The proposed $65-$70 per barrel limit has been called "too generous" for Moscow by Poland and the Baltic states
A price cap on Russian oil proposed by the European Commission is too high and may be blocked by Estonia, Minister of Foreign Affairs Urmas Reinsalu said on Thursday, as quoted by Estonian Public Broadcasting (ERR).
The proposal by Brussels to set a limit of between $65 and $70 per barrel on Russian sea-borne oil is insufficient, he stated, arguing that Moscow would make too much revenue at that price.
"Estonia finds that the price horizon's ambition is too low, considering that the EU has also failed to agree on a ninth sanctions package. The cap seems too high," Reinsalu said at a government press conference, adding that discussions were ongoing.
Earlier, EU energy chief Kadri Simson confirmed that bloc members had failed to reach an agreement on a Russian oil price cap, but said negotiations would continue.
Estonia's warning came after EU leaders had already watered down the proposed cap by weakening some shipping provisions and delaying the implementation of the measure. Under the updated plan seen by Bloomberg, a grace period would apply to crude loaded before December 5, when oil-related sanctions come into effect, and unloaded by January 19.
If approved, the measure would ban Western companies from providing insurance, brokerage or financial assistance to vessels loaded with Russian crude, unless the cargo is purchased below an agreed price. It is hoped that the price limit would allow Russian production to remain at pre-sanctions levels, but reduce the country's oil revenue.
The proposal was reportedly rejected by Poland along with all three Baltic States, which called the cap "too generous" for Russia and pushed for the price ceiling to be imposed at $30 per barrel. Meanwhile, nations with major shipping industries like Greece and Malta insisted the cap should not be below $70.
On Thursday, Kremlin spokesman Dmitry Peskov said Moscow would embargo nations that support the proposed price limit on its oil.
For more stories on economy & finance visit RT's business section
Get a daily dose of Broadcast Communications news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Broadcast Communications.
More InformationNEW YORK, New York - U.S. stocks diverged on Wednesday for the second day in a row. The Standard and Poor's 500 hit a new all-time...
NEW YORK CITY, New York: The U.S. dollar continues to lose ground, weighed down by growing concerns over Washington's fiscal outlook...
KABUL, Afghanistan: Afghanistan, long associated with war and instability, is quietly trying to rebrand itself as a destination for...
SANTA CLARA, California: Executives at Nvidia have quietly been cashing in on the AI frenzy. According to a report by the Financial...
NEW YORK, New York - Global stock indices closed with divergent performances on Tuesday, as investors weighed corporate earnings, central...
TORONTO, Canada: Canadian Prime Minister Mark Carney announced late on June 29 that trade negotiations with the U.S. have recommenced...
SHARJAH, 7th May, 2025 (WAM) -- The Sharjah Broadcasting Authority (SBA) recently took part in the 76th World News Media Congress,...
Paris is withdrawing its troops after the African country scrapped a decades-old defense agreement France has handed over a military...
New Delhi [India], July 1 (ANI): On the occasion of the approval of the new 'Khelo Bharat Niti 2025', Prime Minister Narendra Modi...
Mumbai (Maharashtra) [India], July 1 (ANI): The Indian Institute of Creative Technologies (IICT) opens admissions for its first batch...
New Delhi [India], July 1 (ANI): In a significant step to bolster India's research and innovation ecosystem, the Union Cabinet on Tuesday...
Welcome to Wider Europe, RFE/RL's newsletter focusing on the key issues concerning the European Union, NATO, and other institutions...