Russian President Vladimir Putin yesterday chaired a meeting of key members of his economics and energy cabinet. In addition to reviewing the insane anti-Russia economic warfare policies of the West, which are first and foremost destroying Europe, the meeting also took up the issue of forward-looking energy policy for Russia under the new circumstances.
Putin began by emphasizing that, “for Russia, with its huge hydrocarbon reserves, this industry, as well as the fuel-and-energy complex as a whole, has been and remains one of the leading components of the national economy.” He then charged the West with using climate change as an excuse to target this capability. “In effect, the so-called political class in the West began to exploit the completely natural concern of many people in the world over climate and climate change problems.… The so-called political class in the West started overrating the potentialities of alternative energy and underrating the importance of all traditional energy sources, including hydrocarbons. This continuous abuse was of quite specific nature … there were restrictions in bank financing, contrived lawsuits were and probably are still initiated against companies and their management.”
Putin then turned to the sanctions policy: “Under pressure from their U.S. overlord, the European countries are imposing more sanctions on the oil and gas markets which will lead to more inflation.” They are planning to do without Russian energy altogether; “they have set this goal for themselves oblivious to the damage they are doing to their respective economies. One gets the impression that Western politicians and economists simply forget basic economic laws or just choose to ignore them.”
As a result, energy prices are soaring, such as spot market oil prices and diesel fuel, for which they try to blame Russia.
“Saying no to Russian energy means that Europe will systemically and for the long term become the world’s most costly region for energy resources.… Some analysts are saying that it will seriously or even irrevocably undermine the competitiveness of a significant portion of European industry, which is already losing ground to companies from other parts of the world.”
Then Putin emphasized: “This economic auto-da-fe … suicide is, of course, the internal affair of the European countries. But in the meantime, we need to act pragmatically, proceeding primarily from our own economic interests.”
He turned to Russia’s policy in this area. “Now our partners’ erratic actions – this is what they are – have resulted in a de facto growth in revenue in the Russian oil-and-gas sector in addition to the damage to the European economy.… The changes in the oil market are tectonic.… Under these new conditions, it is important not only to produce oil but also to build an entire vertical chain, all the way to the end consumer.”
Among the required changes are to “improve logistics opportunities and ensure transactions in national currencies … and encourage projects on the advanced processing of raw materials and upgrading domestic oil services technology, including the development of deposits and extraction.”
“Understanding what steps the West will take in the near future, we must reach conclusions in advance and be proactive, turning the thoughtless chaotic steps of some of our partners to our advantage for the benefit of our country. Naturally, we should not hope for their endless mistakes. We should simply, practically proceed from current realities, as I said. In this connection, I would like to discuss a plan for additional measures that will allow us to protect our national interests as much as possible, and strengthen our economic sovereignty, in this case in the fuel-and-energy sector, primarily the oil industry.” (http://en.kremlin.ru/events/president/news/68434)
