EUROPE INTRODUCES AN EMBARGO ON RUSSIAN OIL

Policy: The EU bans seaborn oil imports from Russia, but leaves out the 30% of Russian oil that arrives through land-based pipelines.

Context: The countries most reliant on pipeline gas (Hungary, the Czech Republic, and Slovenia) are also dependent on land-based alternatives to deliver fuel, since they have no coastline or seaports, though hydrogen infrastructure may be able to replace the current fossil fuel pipelines. Poland and Germany pledged to end pipeline imports, which represents blocking 90% of Russian oil to Europe.

Politics: Hungary forced an exemption for itself because around 65% of the landlocked country’s oil demand is met by the Druzhba (“friendship”) pipeline, which delivers crude oil from Russia.

Timeline: The embargo entered into force immediately and the member states will evaluate the initial results next month.

The EU will revisit the exemption of the final 10-11% supply to Hungary, Slovakia, and the Cech Republic.

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