The European Union (EU) has told gas companies not to comply with Russia’s demand for payment in rubles. “The payment in rubles – if this is not provided for in the contract – is a violation of our sanctions,” European Commission President Ursula von der Layen told a news conference Wednesday, according to S&P Global Commodity Insights. “Companies with such contracts should not meet Russian requirements.” Von der Leyen’s comments came after Russian gas giant Gazprom cut off gas supplies to Poland and Bulgaria on Wednesday. The two countries had rejected Russia’s demands for payment in rubles, announced last month by Russian President Vladimir Putin amid sanctions faced by the energy power over the war in Ukraine. The cut-off of Russian gas to the two EU countries on Wednesday has caused concern across Europe, which’s dependent on Russia for about 40 percent of its gas supplies. “It is not surprising that the Kremlin is using fossil fuels to try to blackmail us,” von der Leyen said in a statement on Wednesday, stressing solidarity between EU nations. Four European gas buyers have already paid Russia in rubles, Bloomberg reported on Wednesday, citing a source close to Gazprom. Bloomberg did not specify which four European buyers paid for supplies in Russian currency. Italian energy giant Eni is also taking precautionary measures as it prepares to set up ruble accounts with Gazprombank, Bloomberg reported, citing people familiar with the matter. Eni did not immediately respond to a request for comment.
