UK Adjusts Sanctions on Russian Oil Amid Fuel Supply Concerns
The UK government has relaxed stringent sanctions on Russian oil refined into diesel and jet fuel in third countries as fuel prices continue to rise.
The waiver, effective from Wednesday, addresses increasing supply concerns for certain fuels following the effective blockade of the strategic Strait of Hormuz waterway since the onset of the US-Israel conflict with Iran.
In addition, some sanctions related to the transportation of Russian liquefied natural gas (LNG) have also been eased.
The government stated that although overall sanctions have become more stringent, additional flexibilities were necessary. A comparable measure by the US faced widespread criticism.
Since the war began, European jet fuel prices more than doubled but have since decreased to approximately 50% above pre-war levels, while UK petrol prices continue to escalate.
According to motoring organization the RAC, the average price of unleaded petrol reached 152.52p per litre on Monday, marking the highest level since the war's commencement.
Several airlines operating within the UK and internationally have responded to soaring jet fuel costs by cancelling flights and increasing ticket prices.
UK's Continued Commitment to Sanctions on Russia
For years, the UK has led international efforts to exert economic pressure on Russia over its war in Ukraine.
Only on Tuesday, the UK signed a G7 statement reaffirming its
"unwavering commitment"to impose
"severe costs"on Russia.
Since October, the UK had prohibited the import of diesel and jet fuel refined from Russian crude oil in third countries.
The recent easing of sanctions will effectively permit imports of jet fuel from India, a previously key supplier to the UK and Europe. Additionally, significant quantities of Russian crude are refined in Turkey.
The government indicated that the new regulations for sanctioned processed oil products will be of
"indefinite duration", though they will be periodically reviewed and may be amended or revoked.
Furthermore, the UK issued a time-limited licence covering maritime transportation of LNG and related services under Russia sanctions rules, valid until 1 January.
US Similar Measures and International Reactions
Earlier this week, the US extended a similar waiver, initially introduced in March, which eased sanctions preventing other countries from purchasing Russian oil and petroleum already loaded on vessels at sea.
US Treasury Secretary Scott Bessent stated in March that the
"short-term measure"aimed to promote
"stability in global energy markets".
This policy has drawn criticism from many US and UK allies, who argue it supports the government of Russian President Vladimir Putin and his ongoing full-scale invasion of Ukraine, which began in 2022.
French President Emmanuel Macron remarked that the Strait of Hormuz's shutdown
"in no way"justified lifting sanctions on Russia, while Ukraine's President Volodymyr Zelensky asserted that
"every dollar paid for Russian oil is money for the war".
However, UK Foreign Secretary Yvette Cooper refrained from criticizing the US decision in March, describing it as a
"specific, targeted issue".
UK Government's Position on Sanctions
A UK government spokesperson stated on Tuesday that it had
"introduced a range of new prohibitions under the Russia sanctions regime".
"This includes further export and import bans against Russia, including restrictions on the sale of refined oil products derived from Russian crude oil and the import, supply and delivery to third countries of Russian uranium,"they added.
"These sanctions also include a maritime services ban on Russian LNG. This will gradually restrict Russia's access to the UK's world-leading shipping and insurance services, disrupting their ability to transport Russian LNG.
We are committed to strengthening our sanctions on Russia to degrade its ability to wage war in Ukraine, whilst protecting critical supply chains and maintaining market stability."
