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EU plans to cap Russian gas price as Putin warns West of winter freeze - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.

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The European Union proposed a price cap on Russian gas on Wednesday after President Vladimir Putin threatened to cut off all energy supplies if it took such a step, raising the risk of rationing in some of the world’s richest countries this winter.

File image: Russian President Vladimir Putin attends a meeting with government members via a video link in Moscow, Russia March 10, 2022. Sputnik/Mikhail Klimentyev/KremlinFile image: Russian President Vladimir Putin attends a meeting with government members via a video link in Moscow, Russia March 10, 2022. Sputnik/Mikhail Klimentyev/Kremlin

As tensions rose, Putin said contracts could be ripped up in the event of price caps and warned the West it risked being frozen like a wolf’s tail in a famous Russian fairy tale. However, a Czech minister said earlier it should be taken off the agenda for Friday’s meeting. The Czechs are helping to guide discussions as holders of the EU’s rotating presidency.“We will not supply anything at all if it contradicts our interests,” Putin said at an economic forum in Vladivostok.

However, European utilities stocks rallied on the news with analysts viewing the level of the cap as a better than expected outcome for the industry.

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