Sylvie Claire / September 6, 2022
Russia has raked in 158 billion euros in revenue from fossil fuel exports in six months of war, taking advantage of high prices, according to a report by an independent research center, which calls for more effective sanctions.
The surge in fossil fuel prices means that Russia's current revenues are well above those of previous years despite reductions in export volumes, says the report by the Finland-based Centre for research on energy and clean Air (CREA).
Gas prices have soared to historic levels in Europe, while oil prices rose sharply at the start of the war before falling back more recently.
It is estimated that fossil fuel exports contributed 43 billion euros to the Russian federal budget, helping to finance war crimes in Ukraine, the authors calculated.
Over this period, CREA estimates that the largest importer of Russian fossil fuels was the European Union (for 85.1 billion euros), followed by China and Turkey.
The EU has decided on a gradual embargo on its imports of oil and oil products. It has also already stopped buying coal, but Russian gas, on which it is heavily dependent, is not affected for the moment.
However, the research center believes that the European coal embargo - implemented on August 10 - has paid off, with Russian exports since falling to their lowest level since the invasion of Ukraine. Russia has failed to find other buyers, the report's authors write.
However, CREA believes that stronger rules need to be put in place to prevent Russian oil from entering markets where it is supposed to be banned.