Most of Gazprom’s European Union pipeline natural gas customers are set to open new bank accounts with Gazprombank to meet Russian demands for the payment of volumes to be made in Russian roubles.
These include major buyers in France, Germany and Italy and which also contend that they are staying within the boundaries of Western sanctions imposed by the European Union and monitored by the European Commission over Russia’s invasion of Ukraine.
Statements from French utility Engie, Germany's Uniper, Italy’s Eni and others show they are preparing to give in to the demands of President Vladimir Putin and pay in roubles to avoid totally undermining the Russian currency.
The European Commission sent the 27 EU member states a document on May 13 explaining what Russian pipeline natural gas importers can do without contravening the economic sanctions.
Analysts note that this move was unlikely to affect plans for establishing new LNG import capabilities in Germany and more LNG infrastucture in other nations. It just gives the EU more time to gradually lessen its dependence on Russian gas supplies.
The utilities were awaiting this clarification, because their next payment deadline for Gazprom occurs at the end of May.
EU utilities refusing to pay in roubles such as Poland and Bulgaria have already been cut off from the Gazprom gas delivery system.
“The new payment system put in place by a decree from Vladimir Putin is particularly complex in the current context, because it involves payment in roubles, which is incompatible with the sanctions of the European Union,” explained a Commission statement.
This means that companies like Engie, Eni and Germany Uniper and RWE and the other importers will have to open two accounts in Russia with Gazprombank, one in euros or dollars, depending on the currency in which their contracts are denominated, the other in roubles.
