The Biden administration views a price cap on Russian oil as the most significant tool to support global oil supply, Assistant Treasury Secretary for Terrorist Financing and Financial Crimes Elizabeth Rosenberg said on Tuesday
WASHINGTON (Pakistan Point News / Sputnik - 20th September, 2022) The Biden administration views a price cap on Russian oil as the most significant tool to support global oil supply, Assistant Treasury Secretary for Terrorist Financing and Financial Crimes Elizabeth Rosenberg said on Tuesday.
"Ultimately, the price cap policy is the most viable option to support the security and affordability of the global oil supply," Rosenberg said during a hearing at the Senate Committee on Banking, Housing and Urban Affairs.
The oil price cap mechanism is a tool for other importers to demand a lower price for Russian oil, she added.
"We are already seeing this take place with Russia negotiating steep discounts for the oil it sells to buyers in Asia. These discounts are already depriving Russia of revenues it would otherwise use to finance its reckless war," she said.
Earlier n the day, Bloomberg reported tha two US senators, Democrat Chris Van Hollen and Republican Pat Toomey, are proposing legislation that would press the Biden administration to enforce a cap on Russian oil prices through secondary sanctions.
On September 2, G7 finance ministers confirmed their intention to impose price caps for Russian oil and called on all nations to support the initiative. The price cap is planned to take effect on December 5 for crude oil and on February 5, 2023, for refined products coming from Russia. Moscow, in turn, pledged to altogether stop exporting Russian oil to the states that would introduce the limits.
