Putin warns ‘no gas, no oil’ to countries that cap prices

Russia will stop delivering oil and gas supplies to countries that introduce price caps, President Vladimir Putin said Wednesday.

Capping prices, as some Western countries are considering, “would be an absolutely stupid decision,” Putin told the Eastern Economic Forum in the Pacific port city of Vladivostok.

“We will not supply anything at all if it is contrary to our interests, in this case economic (interests),” he said. “No gas, no oil, no coal, no fuel oil, nothing.”

G7 industrialised powers on Friday vowed to move urgently towards implementing a price cap on Russian oil imports, in a bid to cut off a major source of funding for Moscow’s military action in Ukraine.

Putin said Russia would respect its contractual obligations and hoped other countries would do the same.

“Those who are trying to impose something on us are in no position today to dictate their will,” Putin said.

“They should come to their senses.”

Pointing to rising energy prices in Europe ahead of winter, Putin insisted Russia would supply nothing outside of existing contracts, quoting a Russian fairy tale: “Freeze, freeze, the wolf tail”.

“They have several solutions. Either subsidising high prices, which is bad because it won’t change consumer behaviour… or reduce consumption,” he said.

“From an economic point of view, it is correct. From a social point of view it is dangerous, it can lead to an explosion. It is better to adhere to contractual obligations, to civilised rules,” Putin said.