A group of Western insurers said the price cap on Russian oil has become unenforceable and has only pushed more ships to join the so-called “ghost fleet”, Reuters reports, noting that it is one of the toughest criticism of the measure aimed at reducing the Kremlin’s income.
Oil tanker of the Russian state company SovcomflotPhoto: Martin Lüke / Alamy / Alamy / Profimedia
The G7 group of industrialized nations approved a so-called price cap for Russian oil after Washington pushed to cut the Kremlin’s revenue amid the Ukraine war while keeping Russian oil flowing to avoid a price spike. to energy.
The cap allows Western carriers and insurers to participate in the Russian oil trade as long as oil is sold below $60 a barrel.
800 tankers have moved into Russia’s “ghost fleet”.
The International Group of P&I Clubs said in a statement that the price cap had had little success since it was introduced two years ago as Russia switched to its own fleet as well as vessels outside Western control.
The statement was presented as written material at a British parliamentary hearing on Tuesday.
The group says it consists of 12 marine liability insurers covering 87% of global tonnage shipping.
“The oil price ceiling appears increasingly unenforceable as more vessels and associated services move into this parallel trade,” they say.
“We estimate that approximately 800 oil tankers have already left International Group Clubs as a direct result of the introduction of the maximum oil price cap,” the statement added.
Tags: price ceiling Russian oil harshly criticized major marine insurers oil tankers moved ghost fleet
