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U.S. eases Russian oil sanctions as Germany debates energy future

A surprise U.S. policy shift on Russian crude stirs controversy in Germany. Will pipeline oil return—or is diversification the only way forward?

The image shows a blue poster with text and a graph depicting the average retail gas price in...
The image shows a blue poster with text and a graph depicting the average retail gas price in Russia and Ukraine, with the text indicating that gas prices have fallen back to levels before Putin's war.

BSW Chairwoman: Russian Pipeline Oil for PCK Schwedt Again - U.S. eases Russian oil sanctions as Germany debates energy future

The United States has temporarily relaxed oil sanctions on Russia, allowing countries to buy Russian crude already in transit by ship. The move aims to boost global market supply amid ongoing energy pressures. Meanwhile, in Germany, political figures have reacted by pushing for a return to Russian pipeline oil for a key refinery in Brandenburg.

The PCK refinery in Schwedt, Brandenburg, once relied entirely on Russian oil delivered via the Druzhba pipeline. Before the war in Ukraine, it supplied fuel, heating oil, kerosene, and other products to Berlin, Brandenburg, Mecklenburg-Western Pomerania, and parts of western Poland, including Berlin Brandenburg Airport (BER). Since Russia's invasion, however, the facility has faced disruptions.

U.S. Treasury official Scott Bessent confirmed the temporary easing of sanctions, permitting purchases of Russian oil already on ships. The decision comes as Germany continues to adjust its energy strategy following the halt of Russian gas through Nord Stream 1 in summer 2022. Nord Stream 2, meanwhile, never began operations due to sanctions. Amira Mohamed Ali, federal chair of the Sahra Wagenknecht Alliance (BSW), welcomed the U.S. move as sensible. She has repeatedly called for a return to Russian pipeline oil for the PCK refinery, arguing that resuming imports via Nord Stream could help stabilise energy costs. Without affordable supplies, she warned, Germany risks further deindustrialisation due to high energy prices. Germany's government, led by Chancellor Friedrich Merz and Economy Minister Katherina Reiche, has rejected any restart of Nord Stream pipelines. Instead, it has focused on diversifying energy sources, building new LNG terminals, increasing pipeline supplies from Norway and Western Europe, and importing U.S. LNG. Despite these efforts, critics highlight slow progress in renewable energy and the high cost of fossil fuel imports under the current black-red coalition.

The temporary easing of U.S. sanctions allows more Russian oil to enter the market, potentially easing pressure on refineries like PCK. In Germany, the debate over energy security continues, with some advocating for a return to Russian pipeline oil and others pushing for long-term alternatives. The government maintains strict gas storage targets and is considering a strategic reserve, but energy costs and import dependence remain key challenges.

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