MOSCOW (Realist English). While the Russian government and Central Bank are trying to cope with the fuel crisis, tensions are rising in Brussels: the European Union has for the first time spoken about a negotiating mandate with Moscow, but at the same time demonstrates a fear of being in a “losing position.”
Fuel Crisis: Government and Central Bank in Manual Control Mode
Deputy Prime Minister Alexander Novak held a meeting of the headquarters on petroleum products, dedicated to ensuring the domestic market with fuel during the summer period. He named “reliable provision of the domestic market with fuel, timely supplies, as well as constant monitoring and price control” as the main task at the current stage.
Following the meeting, Novak instructed the relevant departments to thoroughly analyze the situation with pricing on petroleum products in the country.
At the same time, Central Bank Governor Elvira Nabiullina warned at a press conference on Friday about the consequences of the fuel surge. “The June inflation will be affected by the recent surge in fuel prices. The government is taking necessary measures, but it may take time to restore supply,” she said.
According to Rosstat, retail gasoline prices at filling stations for the week of June 8–15 rose by 0.96% to 69.11 rubles per liter, diesel fuel by 0.82% to 80.78 rubles.
Nabiullina stressed that the increase in gasoline prices could also affect inflation expectations, “as it is a fairly sensitive commodity for both people and companies.” Annual inflation as of mid-June, according to the Central Bank, stood at 5.6%.
At the same time, the regulator does not rule out that it may need pauses in further decisions on the key rate. The authorities have already taken emergency measures: in order to prevent artificial panic, in a number of regions they have limited the sale of fuel at filling stations to 20 liters.
Europe Talks About Negotiations – But Fears Losing
While Russia is struggling with internal challenges, Europe is showing duality. European Commission President Ursula von der Leyen, at a closed session of the EU summit, called for considering the issue of granting a mandate for negotiations with Russia. She said that now is “the most appropriate time” for this.
However, Polish Prime Minister Donald Tusk, after the end of the EU summit, outlined the main problem: EU countries do not intend to turn to Russia with a request for negotiations on the Ukrainian conflict, as they do not want to be in a losing position.
“The one who asks for negotiations is initially in a losing position,” Tusk explained. This phrase, as the Polish leader clarified, reflects the general mood in European capitals.
Diplomatic Scandal: Costa Seeks a Channel, Zakharova Mocks
Against this backdrop, a diplomatic scandal erupted. European Council President António Costa confirmed that he had tried to establish direct diplomatic contacts with Russia through his office.
“We must immediately establish a direct diplomatic channel with Russia, because we must listen to them, talk to them,” he said.
At the same time, Costa clarified that Brussels is not and does not intend to be a mediator in negotiations between Moscow and Kyiv.
Costa’s initiative caused misunderstanding at the EU summit, but Russian Foreign Ministry spokeswoman Maria Zakharova reacted with irony. “Why do they keep their ambassadors in Moscow then? Or is this a hint at returning to pigeon post?” she wrote on her Telegram channel.
Volodin: Russia Is Winning, the Goals of the SMO Will Be Achieved
Against this background, State Duma Speaker Vyacheslav Volodin, in an interview with the Rossiya 24 TV channel, declared the inevitability of achieving the goals of the special military operation.
“It is impossible to defeat a nuclear power. Their actions will lead to our counteraction and the delivery of more severe strikes, with more powerful weapons — that is unequivocal,” he stressed.
Volodin also indicated that the appeals of the Ukrainian leadership with proposals for negotiations testify to the understanding that “Russia is winning and the goals of the special military operation will be achieved.”
