Czechs not looking to extend waiver for Russian-based oil products
By Jan Lopatka
PRAGUE, Nov 22 (Reuters) -The Czech Republic is not looking to extend an EU exemption allowing it to import diesel and other products made from Russian oil, its industry and trade ministry said on Friday, taking a position that could end such imports from neighbouring Slovakia.
The European Union banned most oil imports from Russia after the country's full-scale invasion of Ukraine in 2022. But the Czech Republic, Slovakia and Hungary are using an exemption to sanctions because of a lack of other supply.
A waiver also allows the Czechs to import Russian oil-based refined products, which come mainly from Slovnaft, a Slovakian unit of Hungarian oil and gas group MOL MOLB.BU.
But that expires on Dec. 5, and the Czechs are not seeking an extension, the ministry said.
"In the context of the current situation and steps that Czechia is taking to secure independence from imports of oil from Russia, the Czech Republic does not see a reason why the exemption should be extended," the ministry told Reuters.
The Czech Republic has been upgrading a pipeline from Italy to Germany to transport more oil that way and wean itself completely off Russian crude by the second half of 2025.
Slovakia, meanwhile, does not plan to end Russian oil supply soon.
It is also seeking the derogation allowing product shipments to the Czech Republic be extended, Slovak Foreign Minister Juraj Blanar has said.
The Slovak ministry on Friday declined to comment beyond what Blanar has previously said.
The Czech position does not rule out an extension, as there may be further talks among parties including Poland, whose Orlen PKN.WA owns the Czech Republic's only two refineries, two Czech government sources said.
One source said one option may be an extension until June 2025, when the Czechs expect to end their own purchases of Russian crude. A unanimity of EU members is needed to extend the waiver.
The two sources said the Czech Republic could replace any reduction in Slovnaft fuel supplies by rail from other sources.
Slovnaft has also been raising its proportion of non-Russian crude. Its annual report said it processed 0.82 million tonnes of non-Russian crude in 2023, 15% of the total.
Reporting by Jan Lopatka
Editing by Mark Potter
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