Council Regulation (EU) 2022/879 of 3 June 2022 amending Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 215 thereof,

Having regard to Council Decision (CFSP) 2022/884 of 3 June 2022 amending Decision 2014/512/CFSP concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (1),

Having regard to the joint proposal of the High Representative of the Union for Foreign Affairs and Security Policy and of the European Commission,

Whereas:

(1) On 31 July 2014, the Council adopted Regulation (EU) No 833/2014 (2).

(2) Regulation (EU) No 833/2014 gives effect to certain measures provided for in Council Decision 2014/512/CFSP (3).

(3) On 3 June 2022, the Council adopted Decision (CFSP) 2022/884, amending Decision 2014/512/CFSP and imposing further restrictive measures in various sectors.

(4) Decision (CFSP) 2022/884 extends the prohibition on the provision of specialised financial messaging services to three additional Russian credit institutions.

(5) Decision (CFSP) 2022/884 also expands the list of persons connected to Russia’s defence and industrial base, on whom tighter export restrictions regarding dual-use goods and technology, as well as goods and technology which might contribute to the technological enhancement of Russia’s defence and security sector, are imposed.

(6) It is also considered appropriate to extend the list of controlled items which might contribute to Russia’s military and technological enhancement or the development of its defence and security sector.

(7) Decision (CFSP) 2022/884 extends the suspension of the broadcasting licences in the Union of Russian media outlets under the permanent control of the Russian leadership.

(8) The Russian Federation has engaged in a systematic, international campaign of media manipulation and distortion of facts in order to enhance its strategy of destabilisation of its neighbouring countries and of the Union and its Member States. In particular, the propaganda has repeatedly and consistently targeted European political parties, especially during election periods, as well as targeting civil society, asylum seekers, Russian ethnic minorities, gender minorities, and the functioning of democratic institutions in the Union and its Member States.

(9) In order to justify and support its aggression against Ukraine, the Russian Federation has engaged in continuous and concerted propaganda actions targeted at civil society in the Union and neighbouring countries, gravely distorting and manipulating facts.

(10) Those propaganda actions have been channelled through a number of media outlets under the permanent direct or indirect control of the leadership of the Russian Federation. Such actions constitute a significant and direct threat to the Union’s public order and security. Those media outlets are essential and instrumental in bringing forward and supporting the aggression against Ukraine, and for the destabilisation of its neighbouring countries.

(11) In view of the gravity of the situation, and in response to Russia’s actions destabilising the situation in Ukraine, it is necessary, consistent with the fundamental rights and freedoms recognised in the Charter of Fundamental Rights, in particular with the right to freedom of expression and information as recognised in Article 11 thereof, to introduce further restrictive measures to suspend the broadcasting activities of such media outlets in the Union, or directed at the Union. The measures should be maintained until the aggression against Ukraine is put to an end, and until the Russian Federation, and its associated media outlets, cease to conduct propaganda actions against the Union and its Member States.

(12) It is appropriate to confer on the Council implementing powers to decide, by way of implementing acts, and following an examination of the relevant facts, whether the restrictive measures are to become applicable, on the date specified in this Regulation, in respect of one or several entities listed in Annex VI to this Regulation.

(13) Consistent with the fundamental rights and freedoms recognised in the Charter of Fundamental Rights, in particular with the right to freedom of expression and information, the freedom to conduct a business and the right to property as recognised in Articles 11, 16 and 17 thereof, those measures do not prevent the media outlets and their staff from carrying out activities in the Union other than broadcasting, such as research and interviews. In particular, those measures do not modify the obligation to respect the rights, freedoms and principles referred to in Article 6 of the Treaty on European Union, including in the Charter of Fundamental Rights, and in Member States’ constitutions, within their respective fields of application.

(14) Decision (CFSP) 2022/884 also imposes a prohibition on advertising products or services in any content produced or broadcast by the Russian media outlets under the permanent control of the Russian leadership subject to the suspension of broadcasting licences.

(15) Decision (CFSP) 2022/884 also imposes prohibitions on the purchase, import or transfer into Member States, directly or indirectly, of crude oil and certain petroleum products, which originate in Russia or are exported from Russia, and on the insurance and reinsurance of maritime transport of such goods to third countries. Appropriate transitional periods are provided for.

(16) Due to the geographical situation of several Member States, which generates specific dependence on crude oil imported by pipeline from Russia, with no viable alternative supply in the short term, the import prohibitions on crude oil from Russia should temporarily not apply, until the Council decides otherwise, to imports by pipeline of crude oil from Russia into those Member States. Those Member States should take all necessary measures to obtain alternative supplies so as to ensure that imports by pipeline of crude oil from Russia are made subject to the prohibitions as soon as possible.

(17) It is necessary to prohibit the onward transfer, transport or re-sale of crude oil from Russia delivered into a Member State by pipeline to other Member States or to third countries, as well as to prohibit, following a transitional period of eight months, the onward transfer, transport or re-sale to other Member States of petroleum products obtained from such crude oil. Due to the specific dependency of Czechia on such petroleum products, an additional ten-month period should be allowed for it to obtain alternative supplies.

(18) Due to the specific geographical exposure of Bulgaria, a special derogation from the prohibition on imports of crude oil via maritime transport ('seaborne crude oil') and of petroleum products should be provided for for a limited period. Due to Croatia's specific situation linked to the need for its refinery to secure regular supply of vacuum gas oil for its functioning, it should be possible for the national competent authority to authorise the purchase, import or transfer of Russian vacuum gas oil for a specific period of time under certain conditions.

(19) If the supply of crude oil by pipeline from Russia to a landlocked Member State is interrupted for reasons beyond the control of that Member State, the import of seaborne crude oil from Russia into that Member State should be allowed, by way of an exceptional temporary derogation, until the supply by pipeline is resumed or until the Council decides that the prohibition on the import of crude oil delivered by pipeline is to apply with regard to that Member State.

(20) In the event of a sudden disruption of oil supplies, whether by pipeline or seaborne, Member States should act in a spirit of solidarity and regional cooperation, involving both public authorities and energy undertakings, in close coordination within the Oil Coordination Group, with a view to possible releases of oil stocks, including emergency oil stocks, and other measures, including the supply of the appropriate blend, as foreseen in their national contingency plans or agreed in accordance with Directive 2009/119/EC. This commitment of solidarity and cooperation is of particular relevance in view of Russia’s aggression on Ukraine and a possible disruption of supplies of Russian crude oil or refined petroleum products in the region, in particular regarding pipelines or Black Sea ports. The Commission will monitor markets and the security of supply, and will report to the Council on a regular basis and, if necessary, make proposals to strengthen the security of supply.

(21) In compliance with the principle of the freedom of transit, the prohibitions on the purchase, import or transfer of seaborne crude oil and of certain petroleum products from Russia should be without prejudice to the purchase, import or transfer of such goods which originate in a third country and are only transiting through Russia. In particular, those prohibitions should not apply in the situation where Russia is identified as the State of export in the customs declarations, if the country of origin for the crude oil and other petroleum products is identified in those declarations as a third State.

(22) National authorities should conduct the necessary checks to ensure that the transit of third country goods does not lead to the circumvention of the prohibitions. If there is sufficient evidence that the imports of third-country goods leads to the circumvention of the prohibition, such imports should be prohibited.

(23) Furthermore, Decision (CFSP) 2022/884 imposes prohibitions on the provision to Russia of accounting, auditing, bookkeeping and tax consulting services, as well as on business and management consulting and public relations services.

(24) In order to ensure the smooth implementation of Article 5m of Regulation (EU) No 833/2014, it is appropriate to extend the deadline for the cessation of activities provided for in paragraphs 2 and 3 of that Article from 10 May 2022 until 5 July 2022.

(25) It is appropriate to clarify that this Regulation does not prevent the reception of payments by a legal person, entity or body incorporated or constituted under the law of a Member State from its Russian counterparty pursuant to contracts related to goods and technologies as listed in Annex X to Regulation (EU) No 833/2014 which were concluded before 26 February 2022 and performed by that legal person, entity or body before 27 May 2022.

(26) Having regard to Annex II to Regulation (EC) No 184/2005 of the European Parliament and of the Council of 12 January 2005 on Community statistics concerning balance of payments, international trade in services and foreign direct investment (4), accounting, auditing, bookkeeping and tax consultancy services cover the recording of commercial transactions for businesses and others; examination services of accounting records and financial statements; business tax planning and consulting; and the preparation of tax documents. Business and management consulting and public relations services cover advisory, guidance and operational assistance services provided to businesses for business policy and strategy and the overall planning, structuring and control of an organisation. Management fees, management auditing; market management, human resources, production management and project management consulting; and advisory, guidance and operational services related to improving the image of the clients and their relations with the general public and other institutions are all included.

(27) In order to ensure correct implementation of the measures set out in Regulation (EU) No 833/2014, it is appropriate to extend the exemption from the prohibition on the transport of goods by road transport undertakings established in Russia to all diplomatic and consular representations in Russia. It is also appropriate to extend certain exemptions from the prohibitions on accepting deposits and on trusts, and to clarify and strengthen the provisions on national penalties for the breach of the measures in that Regulation.

(28) These measures fall within the scope of the Treaty and, therefore, in particular with a view to ensuring their uniform application in all Member States, regulatory action at the level of the Union is necessary.

(29) Regulation (EU) No 833/2014 should therefore be amended accordingly,

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EU) No 833/2014 is amended as follows:

(1) in Article 2f, the following paragraph is added: ‘3.   It shall be prohibited to advertise products or services in any content produced or broadcast by the legal persons, entities or bodies listed in Annex XV, including through transmission or distribution by any of the means referred to in paragraph 1.’;

(10) in Article 5f, paragraph 2 is replaced by the following: ‘2.   Paragraph 1 shall not apply to nationals of a Member State, of a country member of the European Economic Area or of Switzerland, or to natural persons having a temporary or permanent residence permit in a Member State, in a country member of the European Economic Area or in Switzerland.’;

(11) Article 5h is replaced by the following: ‘Article 5h

(15) in Article 8, paragraph 1 is replaced by the following: ‘1.   Member States shall lay down the rules on penalties, including as appropriate criminal penalties, applicable to infringements of the provisions of this Regulation and shall take all measures necessary to ensure that they are implemented. The penalties provided for must be effective, proportionate and dissuasive. Member States shall also provide for appropriate measures of confiscation of the proceeds of such infringements.’;

(16) Annex IV is amended in accordance with Annex I to this Regulation;

(17) Annex VII is amended in accordance with Annex II to this Regulation;

(18) Annex VIII is amended in accordance with Annex III to this Regulation;

(19) Annex XII is amended in accordance with Annex IV to this Regulation;

(20) Annex XIV is replaced by the text set out in Annex V to this Regulation;

(21) Annex XV is amended in accordance with Annex VI to this Regulation. This point shall apply in respect of one or several of the entities referred to in Annex VI to this Regulation as from 25 June 2022 and provided that the Council, having examined the respective cases, so decides by implementing act;

(22) Annex XXI is amended in accordance with Annex VII to this Regulation;

(23) an Annex XXV is added in accordance with Annex VIII to this Regulation.

Article 2

This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 3 June 2022.

For the Council The President C. COLONNA

(1) OJ L 153, 3.6.2022.

(2) Council Regulation (EU) No 833/2014 of 31 July 2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (OJ L 229, 31.7.2014, p. 1).

(3) Council Decision 2014/512/CFSP of 31 July 2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine (OJ L 229, 31.7.2014, p. 13).

(4) OJ L 35, 8.2.2005, p. 23.