Putin says Russia to stop supplying energy if Western price caps imposed

VLADIVOSTOK, (Russia): President Vladimir Putin on Wednesday threatened to cut off energy supplies if price caps are imposed on Russia’s oil and gas exports, warning the West it would be “frozen” like a wolf’s tail in a famous Russian fairy tale.

Cutting supplies from Russia, the world’s second largest oil exporter after Saudi Arabia and the world’s top natural gas exporter, would roil global energy markets, leaving the world economy facing even higher energy prices.

Speaking at an economic forum in Russia’s Pacific city of Vladivostok, Putin said European calls for a price cap on Russian gas were “stupid”, and would lead to higher global prices and economic problems in Europe.

The Group of Seven (G7) wealthy democracies announced plans to impose a price cap on Russian oil exports last week in a move that could also restrict Russia’s ability to secure tankers and insurance from countries beyond the G7.

Russia would walk away from its supply contracts if the West went ahead with its plans, Putin said.

“Will there be any political decisions that contradict the contracts? Yes, we just won’t fulfil them. We will not supply anything at all if it contradicts our interests,” Putin said.

“We will not supply gas, oil, coal, heating oil - we will not supply anything,” Putin said. Russia’s paramount leader added some defiant spice from the famous Russian fairly tale “The Sister-Fox and the Wolf”.

“We would only have one thing left to do: as in the famous Russian fairy tale, we would sentence the wolf’s tail to be frozen,” Putin said.

Europe usually imports about 40% of its gas and 30% of its oil from Russia.