An all-out energy war between Russia and the West threatens to deepen Europe’s energy crisis, putting pressure on governments to make interventions in the energy market to rein in soaring prices.
But it also puts the Kremlin’s revenues at risk and is meant to stem the flow of funds into its war coffers.
Moscow’s earnings from energy exports are expected to rise by 38 percent this year. Western capitals say they want to cut off that financial lifeline. The G7 have agreed to cap the price of Russian oil, and the European Union plans a cap on Russian gas prices, too.
In response, the Russian president said he will “freeze” European countries if the price caps are imposed.