Updated February 9th, 2023 at 14:18 IST
US 'comfortable' with India's approach on buying Russian oil, says 'won't levy sanctions'
Karen Donfried, the US Assistant Secretary of State for European and Eurasian Affairs, stated that the US has no plans to impose sanctions on India.
Karen Donfried, the US Assistant Secretary of State for European and Eurasian Affairs, stated that the US has no plans to impose sanctions on India for its oil purchases from Russia. She emphasized the significance of the relationship between the two countries and their mutual commitment to upholding international rules and respecting territorial integrity and sovereignty, despite any policy differences.
While speaking to media about India buying oil from Russia, the US official said, "By end of the decade Russia's oil and gas will decline by 50 per cent. We do not believe that sanction policy to have universal hearings. We are comfortable with the approach India has taken. We are already seeing results in the budget deficit that Russia has reported."
Donfried also welcomed "PM Modi's assertion that today's era is not an era of war and his comments at the November 2022 G20 summit in Bali calling for dialogue and diplomacy. India's leadership role right now in G20 is commendable."
Geoffery Pyatt, the US Assistant Secretary of State for Energy Resources, expressed his approval of India's approach towards purchasing oil from Russia and emphasized the importance of continued dialogue on the matter. He further stated that energy security has been a key topic in recent bilateral discussions. Despite India not participating in the price cap imposed on Russian oil, Pyatt sees it as an opportunity for India to negotiate a better price. Pyatt also added that "by weaponising Russia's oil and gas resources, Russia has demonstrated that it will never again be a reliable energy supplier".
What was the purpose of the price cap?
In December, a spokesman from the US National Security Council, John Kirby, also mentioned that the price cap would secure a discount on Russian oil and provide an opportunity for countries like India and China to negotiate lower prices. The purpose of the price cap was to reduce the revenue of Russia, which is financing the conflict in Ukraine, and according to US diplomats, the sanctions are producing the desired effect. In recent months, India has been purchasing a growing amount of low-cost Russian oil, which is then processed into fuel for Europe and the US. However, fuel that has been refined in India is not considered to have a Russian origin.
(With inputs from ANI)
Published February 9th, 2023 at 14:18 IST