Foreign-currency accounts on the Moscow exchange for Gazprom customers were opened where currencies can be converted into rubles, but Britain has opted out of this arrangement. Europe has meanwhile not been able to present a united front regarding the US-imposed sanctions regime against Russia. Some countries will be hit harder than others. Hungary has already signalled its intention to ignore sanctions.
Slovakia, Bulgaria and Moldova have now agreed to pay in rubles while Latvia, Lithuania and Estonia have rejected payments in Russian currency. Other countries are still trying to arrange deliveries.
Researchers at Goldman Sachs have calculated that US exports of LNG are already at capacity and therefore US energy supplies would not make up for the shortfall. Moreover, the EU does not yet have the infrastructure to receive larger volumes of LNG imports.
This weekend, the Russian gas giant officially halted all deliveries to Europe via the Yamal-Europe pipeline, critical to European energy supplies
The cost of gas in the UK increased dramatically in just a month. It shot up by 81 percent at once, while electricity prices jumped by 36 percent. “Millions of Britons were plunged into poverty overnight,” according to Bloomberg as electricity prices hit a record on Friday.Britain Unable to Pay for Russian Gas Deliveries – Global ResearchGlobal Research – Centre for Research on Globalization