Daily: Croatia pushing for exemption from pending EU-wide ban on Russian oil

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Croatia is engaged in a "diplomatic battle" to get exemption from EU rules banning Russian oil imports, in order to keep importing the material needed for the production of diesel fuel at the Ina-owned oil refinery in Rijeka beyond 2022, state agency Hina said that the Vecernji List daily said on Friday.

“In discussions among members of the Council of the EU, which is expected to adopt a proposal by the European Commission to impose a ban on Russian oil imports in six months’ time and a ban on the import of Russian oil products by the end of the year, Croatia advocates an exemption that would enable it to continue importing beyond 2022 vacuum gas oil (VCO) for its oil refinery in Rijeka,” the daily which is close to the ruling party HDZ learned from “sources in Brussels.”

VCO supply sources on the market are rather limited and since Ina’s refinery in Rijeka uses VCO in its production process, Ina advocates continuing to buy VCO, the Croatian oil company said following unofficial reports from Brussels.

Around half of Ina is owned by the Hungarian oil company Mol.

“The discussions in the Council of the EU started on Wednesday, when the European Commission proposed a new set of sanctions against Russia, with an oil import ban as the key segment, and they continued on Thursday and will probably continue on Saturday as there is yet no sign of consensus,” Hina said that Vecernji said.

Hungary is reportedly the most vocal opponent of a ban on Russian oil imports, and says that it would not agree to the proposal which would allow that country – as well as Slovakia – the ability to buy Russian oil until the end of 2023, longer than other EU country.

“Hungarian representatives said at the first meeting on Wednesday that they sought a permanent exemption while Slovakia reportedly sought an exemption until 2025,” Hina said that Vecernji said. The Czech Republic and Bulgaria have indicated that they, too, wanted an exemption from the oil import ban, at least until the end of 2023.

Hina reported that Vecernji reported that “Greece is not happy that the latest proposal of sanctions includes a ban on transport, including insurance, of Russian oil anywhere in the world,” citing “unofficial sources.” Such a ban would affect Greek and other European shipping companies, its purpose being to prevent Russia from redirecting oil exports to buyers outside the EU.

“Discussions are still underway and a final decision on a Russian oil import ban may eventually be adopted in a form that departs from the European Commission’s proposal. There are no signs yet as to whether Croatia’s request has met with a favourable response,” Hina said that Vecernji said.

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