Germany & Australia announce Gas Emergency Plan given Russia's Ruble deadline

Berlin/ Vienna/ Moscow: Russia has warned the nations which sanctioned Russia to pay the fuel price in Ruble currency. Russian President Vladimir Putin has also issued an order in this regard. Consequently, the European nations have taken steps fearing that Russia could cease fuel supply to those who oppose this decision. Hence, Germany and Australia have declared activating the ‘Gas Emergency Plan’.

Moreover, over 30% of European nations’ oil imports arrive from Russia. The imports include natural gas, crude oil and coal as well. Despite being dependent on Russia for fuel at large, the European Union has sanctioned Russia. The sanctions have been imposed on the Russian central bank, Foreign Exchange Reserves, SWIFT transactions, Russian banks and Russian industrialists. Thus, Russia has started responding to these Western sanctions and this decision to pay for fuel in Ruble currency appears to be part of the same.

European nations have vehemently opposed this Russian decision and called it a one-sided decision. European countries have indicated not to follow Russian instructions. In response, Russia has warned that it won’t distribute fuel for free. Hence, as per the indications, the arguments over Russian fuel seem to have escalated. Russian officials and the press have warned that Russia could stop supplying fuel to European nations.

Hence, this has created an atmosphere of concern among the European countries. Besides, countries that rely on Russian fuel have begun preparing emergency plans. Germany‘s, followed by Austria’s announcement to create the ‘Gas Emergency Plan’, is part of it. Germany has instructed the industry sector, including its citizens, to start ‘rationing’ fuel.

It has also been said that the German industry will be the first one to face massive repercussions in Russia stops supplying fuel. Germany’s industrial sector has also warned about this and has said that the industry sector could come to a standstill and the economy may face a recession. Austria has decided to tighten fuel-market rules. Bulgaria has begun efforts to increase fuel storage capacity. Italy and Greece have held an emergency meeting and have indicated to monitor Russian fuel supplies closely.