Putin threatens to turn off gas supplies to Europe on Friday unless countries pay in roubles – Newstrends
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Putin threatens to turn off gas supplies to Europe on Friday unless countries pay in roubles

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3 years ago

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Russian President Vladimir Putin

Russian President Vladimir Putin has issued a decree demanding payment for natural gas in roubles, but appeared to temper the order by allowing dollar and euro payments through a designated bank.

It is the latest twist over energy supplies that Europe relies on to heat homes and generate electricity.

The measure got a cautious reception from European leaders who insist payment will remain in euros and dollars and want to see the fine print of how the decree will be implemented.

Countries deemed “unfriendly” for imposing sanctions on Russia over its war in Ukraine can continue to pay in foreign currency through a Russian bank that will then convert the money into roubles, according to a Kremlin decree published by state media.

It came a day after the leaders of Italy and Germany said they received assurances from Mr Putin about gas supplies.

Mr Putin talked tougher, saying Russia will start accepting rouble payments on Friday and contracts will be stopped if buyers do not sign up to the new conditions, including opening rouble accounts in Russian banks.

“If these payments are not made, we will consider it a failure of the buyer to fulfil its obligations, with all the ensuing consequences,” Mr Putin said.

His proposal has caused natural gas prices to gyrate and raised fears it could be a prelude to an interruption of supplies to Europe, which is heavily dependent on Russian natural gas and would struggle with a sudden cut-off.

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The German government on Wednesday declared an early warning of an energy emergency, the first step toward authorising government-imposed gas rationing for industry to spare homes and hospitals.

At the same time, Russia depends on oil and gas sales for much of its government revenue at a time its economy is under severe stress from Western sanctions.

Economists say the switch to roubles would do little to support the battered Russian currency’s exchange rate, since gas exporter Gazprom has to sell 80% of its foreign currency earnings for roubles anyway.

The decree Mr Putin signed and state news agency RIA Novosti published says a designated bank will open two accounts for each buyer, one in foreign currency and one in roubles.

Buyers will pay in foreign currency and authorise the bank to sell it for roubles on Moscow’s currency exchange. The roubles would then be placed in the second account, where the gas is formally purchased.

Speaking shortly after Mr Putin’s announcement, German Chancellor Olaf Scholz said gas contracts stipulate payment mostly in euros and sometimes in dollars. He said he made clear to Mr Putin in a phone call on Wednesday “that it will stay that way”.

“What his ideas are for how this can happen is what we will now look at closely,” Mr Scholz told a reporters in Berlin. “But in any case, what goes for companies is that they want to and will be able to pay in euros.”

Mr Putin announced last week that Russia will demand “unfriendly” countries pay for natural gas only in Russian currency, instructing the central bank to work out a procedure for buyers to acquire roubles in Russia.

The Group of Seven major economies, including Italy and Germany, rejected the demand.

Before the decree was announced, Italian Premier Mario Draghi said on Thursday he had received assurances from Mr Putin that Europe would not have to pay in roubles and played down fears that Moscow would cut off supplies.

Mr Draghi said Mr Putin told him during a 40-minute phone call on Wednesday evening that “existing contracts remain in force. European companies will continue to pay in dollars and euros.”

Mr Draghi said he referred the discussion about how it would work to experts and that analysis was under way “to understand what it means,” including whether “European companies can continue to pay as foreseen, if this means something for the ongoing sanctions.”

“The feeling is one I have had since the beginning, that it is absolutely not simple to change the currency of payments without violating the contracts,” Mr Draghi said.

The French and German finance ministers also said after meeting in Berlin that contracts cannot simply be altered and that they would examine what Mr Putin has proposed.

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Syria not threat to world, rebel leader al-Sharaa tells BBC

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3 days ago

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December 19, 2024

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Ahmed al-Sharaa

Syria not threat to world, rebel leader al-Sharaa tells BBC

The de facto leader of Syria, Ahmed al-Sharaa, has said the country is exhausted by war and is not a threat to its neighbours or to the West.

In an interview with the BBC in Damascus, he called for sanctions on Syria to be lifted.

“Now, after all that has happened, sanctions must be lifted because they were targeted at the old regime. The victim and the oppressor should not be treated in the same way,” he said.

Sharaa led the lightning offensive that toppled Bashar al-Assad’s regime less than two weeks ago. He is the leader of the Hayat Tahrir al-Sham (HTS), the dominant group in the rebel alliance, and was previously known by his nom de guerre of Abu Mohammed al-Jolani.

He said HTS should be de-listed as a terrorist organisation. It is designated as one by the UN, US, EU and UK, among many others, as it started as a splinter group of al-Qaeda, which it broke away from in 2016.

Sharaa said HTS was not a terrorist group.

They did not target civilians or civilian areas, he said. In fact, they considered themselves to be victim of the crimes of the Assad regime.

He denied that he wanted to turn Syria into a version of Afghanistan.

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Sharaa said the countries were very different, with different traditions. Afghanistan was a tribal society. In Syria, he said, there was a different mindset.

He said he believed in education for women.

“We’ve had universities in Idlib for more than eight years,” Sharaa said, referring to Syria’s north-western province that has been held by rebels since 2011.

“I think the percentage of women in universities is more than 60%.”

And when asked whether the consumption of alcohol would be allowed, Sharaa said: “There are many things I just don’t have the right to talk about because they are legal issues.”

He added that there would be a “Syrian committee of legal experts to write a constitution. They will decide. And any ruler or president will have to follow the law”.

Sharaa was relaxed throughout the interview, wearing civilian clothes, and tried to offer reassurance to all those who believe his group has not broken with its extremist past.

Many Syrians do not believe him.

The actions of Syria’s new rulers in the next few months will indicate the kind of country they want Syria to be – and the way they want to rule it.

Syria not threat to world, rebel leader al-Sharaa tells BBC

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Israel hits ports, energy sites in Yemen after missile intercepted

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3 days ago

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December 19, 2024

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Israel hits ports, energy sites in Yemen after missile intercepted

JERUSALEM: Israel said Thursday it struck ports and energy infrastructure it alleges are used by Houthi militants, after intercepting a missile fired by the group.

Israel’s military said it “conducted precise strikes on Houthi military targets in Yemen — including ports and energy infrastructure in Sanaa, which the Houthis have been using in ways that effectively contributed to their military actions.”

The announcement came shortly after Israel said it had intercepted a missile fired from Yemen.

Al-Masira, a media channel belonging to the Houthis, said a series of “aggressive raids” were launched in the Yemeni capital of Sanaa and the port city of Hodeidah.

It reported raids that “targeted two central power plants” in Yemen’s capital Sanaa, while in Hodeidah it said “the enemy launched four aggressive raids targeting the port… and two raids targeting” an oil facility.

The strikes were the second time this week that Israel’s military has intercepted a missile from Yemen.

On Monday, the Houthis claimed a missile launch they said was aimed at “a military target of the Israeli enemy in the occupied area of Yaffa” — a reference to Israel’s Tel Aviv area.

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Also Monday, an Israeli navy missile boat intercepted a drone in the Mediterranean after it was launched from Yemen, the military said.

The Houthi militants have said they are acting in solidarity with Palestinians and pledged Monday to continue operations “until the aggression on Gaza stops and the siege is lifted.”

On December 9, a drone claimed by Houthis exploded on the top floor of a residential building in the central Israel city of Yavne, causing no casualties.

In July, a Houthi drone attack in Tel Aviv killed an Israeli civilian, prompting retaliatory strikes on the Yemeni port of Hodeidah.

The Houthis have also regularly targeted shipping in the Red Sea and the Gulf of Aden, leading to retaliatory strikes on Houthi targets by United States and sometimes British forces.

Israeli military spokesman Daniel Hagari said the group had become a “global threat,” pointing to Iran’s support for the militants.

“We will continue to act against anyone, anyone in the Middle East, that threatens the state of Israel,” he said.

 

Israel hits ports, energy sites in Yemen after missile intercepted

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Gaza mediators intensify ceasefire efforts, Israeli strikes kill 20 people

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3 days ago

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December 19, 2024

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A Palestinian boy looks as others inspect the damage at a tent camp sheltering displaced people, following an Israeli strike, amid the Israel-Hamas conflict, in Al-Mawasi area, in Khan Younis, southern Gaza Strip, December 18, 2024. (Reuters)

Gaza mediators intensify ceasefire efforts, Israeli strikes kill 20 people

CAIRO: The United States, joined by Arab mediators, sought on Wednesday to conclude an agreement between Israel and Hamas to halt the 14-month-old war in the Gaza Strip where medics said Israeli strikes killed at least 20 Palestinians overnight.

A Palestinian official close to the negotiations said on Wednesday that mediators had narrowed gaps on most of the agreement’s clauses. He said Israel had introduced conditions which Hamas rejected but would not elaborate.

On Tuesday, sources close to the talks in Cairo, the Egyptian capital, said an agreement could be signed in coming days on a ceasefire and a release of hostages held in Gaza in return for Palestinian prisoners held by Israel.

Medics said an Israeli airstrike killed at least 10 people in a house in the northern town of Beit Lahiya while six were killed in separate airstrikes in Gaza City, Nuseirat camp in central areas, and Rafah near the border with Egypt.

In Beit Hanoun in the northern Gaza Strip, medics said four people were killed in an airstrike on a house. There was no immediate comment from the Israeli military spokesman.

Israeli forces have operated in the towns of Beit Hanoun and Beit Lahiya as well as the nearby Jabalia camp since October, in a campaign the military said aimed to prevent Hamas militants from regrouping.

Palestinians accuse Israel of carrying out acts of “ethnic cleansing” to depopulate the northern edge of the enclave to create a buffer zone. Israel denies it.

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Hamas does not disclose its casualties, and the Palestinian health ministry does not distinguish in its daily death toll between combatants and non-combatants.

On Wednesday, the Israeli military said it struck a number of Hamas militants planning an imminent attack against Israeli forces operating in Jabalia.

Later on Wednesday, Muhammad Saleh, director of Al-Awda Hospital in Jabalia, said Israeli shelling in the vicinity damaged the facility, wounding seven medics and one patient inside the hospital.

The Israeli military had no immediate comment.

In the Central Gaza camp of Bureij, Palestinian families began leaving some districts after the army posted new evacuation orders on X and in written and audio messages to mobile phones of some of the population there, citing new firing of rockets by Palestinian militants from the area.

CEASEFIRE GAINS MOMENTUM

The US administration, joined by mediators from Egypt and Qatar, has made intensive efforts in recent days to advance the talks before President Joe Biden leaves office next month.

In Jerusalem, Israeli President Isaac Herzog met Adam Boehler, US President-elect Donald Trump’s designated envoy for hostage affairs. Trump has threatened that “all hell is going to break out” if Hamas does not release its hostages by Jan. 20, the day Trump returns to the White House.

CIA Director William Burns was due in Doha on Wednesday for talks with Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani on bridging remaining gaps between Israel and Hamas, other knowledgeable sources said. The CIA declined to comment.

Israeli negotiators were in Doha on Monday looking to bridge gaps between Israel and Hamas on a deal Biden outlined in May.

There have been repeated rounds of talks over the past year, all of which have failed, with Israel insisting on retaining a military presence in Gaza and Hamas refusing to release hostages until the troops pulled out.

The war in Gaza, triggered by a Hamas-led attack on communities in southern Israel that killed some 1,200 people and saw more than 250 abducted as hostages, has sent shockwaves across the Middle East and left Israel isolated internationally.

Israel’s campaign has killed more than 45,000 Palestinians, displaced most of the 2.3 million population and reduced much of the coastal enclave to ruins.

 

Gaza mediators intensify ceasefire efforts, Israeli strikes kill 20 people

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