G7 looking at measures to halt gas price surge

Russia is a major exporter of gas, including to European countries

The EU imports about 40 percent of its natural gas from Russia with Germany, Europe's biggest economy, especially dependent on the energy flow, along with Italy and several central European countries. Photo: AFP)
Beta V.1.0 - Powered by automated translation

The Group of Seven (G7) countries are looking at measures to halt a surge in gas prices and are calling on oil and gas producers to increase deliveries, according to a statement.

Japan's industry minister Koichi Hagiuda said he and other G7 ministers discussed the need to invest in diversifying energy sources, including nuclear power, during a meeting on Thursday to discuss Russia's invasion of Ukraine.

"Several countries expressed the need to quickly reduce reliance on Russian energy," Hagiuda told reporters after the call. The G7 industrialised nations, he added, will restate the effectiveness of nuclear energy, he added.

The United States this week imposed a ban on Russian imports of oil and gas, a move followed by Canada and a pledge from London to end the imports within the year.

Britain urged the entire G7 to follow suit, but some nations are wary, with Germany and Italy both dependent on Russian energy.

Oil prices fell from 14-year highs as the UAE said it would encourage other Opec producers to increase oil production at a faster pace in an effort to ease market volatility.

For several months, the Opec+ alliance has worked to bring back 5.8 million bpd in production cuts, with another 400,000 bpd due in April, to restore supply that was greatly reduced after the onset of the Covid-19 pandemic in 2020. The alliance of producers achieved a historic reduction of 9.7 million bpd between May 2020 and July last year.

Updated: March 10, 2022, 5:35 PM