Here’s a breakdown of Council Regulation (EU) 2025/1494, amending Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine. ****
**1. Essence of the Act:**
This regulation further tightens existing sanctions against Russia in response to its actions in Ukraine. It expands restrictions on exports to Russia, particularly of goods and technology that could enhance its military and industrial capabilities. The regulation also aims to prevent circumvention of sanctions through third countries and introduces new prohibitions related to the import of petroleum products and transactions involving certain Russian entities.
**2. Structure and Main Provisions:**
The regulation amends several articles and annexes of the original Regulation (EU) No 833/2014. Key changes include:
* **Expansion of Export Restrictions:** Adds more entities to the list of those supporting Russia’s military-industrial complex, subjecting them to stricter export controls. It also broadens the list of goods and technologies that could contribute to Russia’s military and technological advancement.
* **Circumvention Prevention:** Introduces a mechanism allowing Member States to require prior authorization for exports of specific goods to third countries if there’s a credible risk they might be diverted to Russia.
* **Energy Sector Restrictions:** Prohibits the import of petroleum products processed in third countries using Russian crude oil. It also restricts transactions related to the Nord Stream and Nord Stream 2 natural gas pipelines.
* **Financial Restrictions:** Expands the transaction ban to include entities outside Russia that use Russia’s System for Transfer of Financial Messages (SPFS) or frustrate the purpose of existing sanctions. It also targets the Russian Direct Investment Fund (RDIF) and related entities.
* **Maritime Restrictions:** Adds more vessels to the list of those banned from EU ports, suspected of contributing to Russia’s energy revenues.
* **Software Restrictions:** Prohibits the provision of certain software used in the banking and financial sector to the Russian government or entities established in Russia.
* **Legal Protections:** Includes measures to prevent the recognition or enforcement of certain investor-state dispute settlements against Member States related to sanctions imposed on Russia.
* **Price Cap Mechanism:** Introduces a dynamic procedure to adjust the price cap for Russian crude oil based on market prices, aiming to reduce Russia’s oil revenues.
**3. Main Provisions Important for Use:**
* **Article 2a:** Requires authorization for exporting goods and technology that may contribute to Russia’s military and technological enhancement to any third country, if there is a suspicion that the items are intended for use in Russia.
* **Article 3ma:** Prohibits the purchase, import, or transfer of petroleum products obtained in a third country from Russian crude oil.
* **Article 5af:** Prohibits transactions related to the Nord Stream and Nord Stream 2 natural gas pipelines.
* **Article 5ag:** Prohibits transactions with the Russian Direct Investment Fund (RDIF) and related entities.
* **Article 11:** Prevents recognition of court decisions from outside the EU that could undermine the effectiveness of the sanctions.
* **Annexes:** Carefully review the updated annexes, as they contain specific lists of entities, goods, and technologies subject to restrictions. ****
