There should be no double standards on energy trade: India on EU sanctions targeting Russian energy sector

New Delhi: India on Friday said it does not subscribe to any unilateral sanctions and called for ending double standards in energy trade after the European Union (EU) unveiled new punitive measures targeting the Russian energy sector that included restrictions on the Vadinar refinery in Gujarat.

The 18th package of sanctions by the 27-nation EU included a set of measures largely aimed at curbing the revenues of Russia's oil and energy sector, such as an import ban on refined petroleum products made from Russian crude oil and coming from any third country.

The measures also included reduction of the oil price cap from USD 60 to about USD 48 a barrel and the designation of the Vadinar Refinery, in which Russian energy firm Rosneft has a major stake.

Hours after the EU announced the new measures, India said there should be "no double standards", especially when it comes to energy trade.

"India does not subscribe to any unilateral sanction measures. We are a responsible actor and remain fully committed to our legal obligations," External Affairs Ministry spokesperson Randhir Jaiswal said.

"The government of India considers the provision of energy security a responsibility of paramount importance to meet the basic needs of its citizens," he said.

Jaiswal also said, "We would stress that there should be no double standards, especially when it comes to energy trade." The EU's foreign and security policy chief Kaja Kallas said on social media that the bloc had approved "one of its strongest sanctions packages against Russia to date".

The new sanctions include a lower oil price cap, the designation of the "biggest Rosneft refinery in India", and measures aimed at 105 more shadow fleet ships.

"Each sanction weakens Russia's ability to wage war. The message is clear: Europe will not back down in its support for Ukraine. The EU will keep raising the pressure until Russia ends its war," Kallas said.

A statement by the EU said it was agreed on a significant set of 55 listings, consisting of 14 individuals and 41 entities responsible for actions "undermining or threatening" the territorial integrity, sovereignty and independence of Ukraine.

"The EU is lowering the price cap for crude oil from USD 60 to USD 47.6 per barrel, to align it with current global oil prices and is introducing an automatic and dynamic mechanism to modify the oil price cap and ensure that this price cap is effective," the bloc said.

It said oil exports still represent one-third of the Russian government's revenues.

"Full-fledged sanctions target Russian and international companies managing shadow fleet vessels, traders of Russian crude oil and a major customer of the shadow fleet -- a refinery in India with Rosneft as its main shareholder," the EU said.

The EU was referring to Nayara Energy's Vadinar refinery in Gujarat.

Russian energy giant Rosneft has a 49.13 per cent stake in the refinery.

"For the first time, the EU is also listing the captain of a shadow fleet vessel, as well as a private operator of an international flag registry. Lastly, one entity in the Russian LNG sector is also included in today's listings," the EU said.

It also introduced an import ban on refined petroleum products made from Russian crude oil and coming from any third country -- with the exception of Canada, Norway, Switzerland, the United Kingdom and the United States.