Russia declared that it would receive natural gas sales payments to Europe in rubles, but G7 countries refused to do so, causing Russia and the West to clash head-on over gas payments.
According to Reuters on the 28th (local time), Russian Kremlin spokesman Dmitry Peskov said in a conference call, “We will not supply free gas to Europe. This is clear,” he said. “In our situation, it is neither possible nor appropriate to engage in charity work (for European customers).”
He added that if European countries refuse to pay in rubles, Russia will make a decision in due course.
The Russian central bank, the government, and Gazprom, which accounts for 40% of gas exports to Europe, must submit a plan to President Vladimir Putin on the payment of the gas ruble by the 31st.
However, the G7 energy ministers rejected Russia demand for the settlement of the ruble, German Deputy Prime Minister and Economy and Climate Minister Robert Habeck said.
He then said that the G7 ministers reiterated that the contract is valid and that companies must comply with it.
He said the payment of the ruble was unacceptable, adding that G7 ministers urged related companies not to comply with Russian President Vladimir Putin’s demands.
In this regard, Ivan Abramov, a member of Russia’s Senate Economic Policy Committee, said, “If the G7 countries refuse to pay for the ruble, it will surely lead to a suspension of supply.”
When asked what would happen if Russia stopped transporting gas, Habek replied, “We are ready for all scenarios.”
He added that Russia is an “unreliable energy supplier.”
However, experts believe that the G7 cannot replace all gas from Russia in a short period of time.
Russia exported 155 billion cubic meters of gas to the European Union last year. The EU plans to reduce its dependence on Russian gas by two-thirds this year and stop importing all Russian fossil fuels by 2027.
Earlier, the U.S. announced on the 25th that it plans to supply 15 billion cubic meters of liquefied natural gas (LNG) to the EU this year to help the EU.
Meanwhile, Reuters quoted sources as saying that U.S. and German officials will meet with executives of LNG and hydrogen energy companies in Berlin this week to discuss expanding Germany’s energy supply.
