​The Energy Paradox: The West unwittingly sponsors the Kremlin’s aggression

Russia has earned €883 billion from oil and gas sales since the start of the full-scale war against Ukraine.

While Ukraine has been fighting full-scale aggression for the fourth year, the Kremlin continues to replenish its coffers with energy resources and, paradoxically, with the active participation of the very countries that publicly declare their support for Kiev. Since February 2022, oil and gas exports have brought Russia more than three times the income of international aid sent to Ukraine.

This was reported by the BBC.

According to the BBC, this financial imbalance clearly demonstrates that despite sanctions and statements of solidarity, Western money still fuels the Russian military machine.

An analytical report prepared by the BBC revealed alarming statistics: countries providing support to Ukraine are simultaneously transferring amounts to the Russian budget for energy resources that exceed the amount of aid provided. Experts and human rights organizations urge Western governments to tighten controls and stop financing the aggressor. After all, oil and gas exports account for about a third of the Russian budget and more than 60% of Russia’s total foreign trade.

After the outbreak of full-scale hostilities, Western powers imposed partial restrictions on the import of Russian energy resources. The United States and Great Britain have completely stopped purchases, and the EU has limited itself to banning offshore oil supplies, leaving loopholes for pipeline gas. Nevertheless, the sanctions proved insufficient to completely stop the flow of income to Russia.

As of May 29, Russia has received more than €883 billion from the sale of fossil fuels, of which €228 billion came from countries that formally imposed sanctions. The majority – €209 billion – came from the EU countries.

Until January 2025, gas supplies through Ukrainian territory to Europe were maintained, but then they were stopped. Meanwhile, oil continues to flow through the pipeline to Hungary and Slovakia, and gas supplies through Turkey to Europe have even increased: in the first two months of 2025 – by 26.77% compared to the same period in 2024.

Despite external pressure, in 2024, Russia managed to keep revenues from energy exports almost at the same level, with a drop of only 5%. Moreover, revenue from crude oil increased by 6%, and from pipeline gas – by 9%. According to Russian data, gas exports to Europe increased by up to 20%, and shipments of liquefied natural gas (LNG) reached records, half of which accounted for EU countries.

Kaya Kallas, who handles foreign policy issues for the EU, openly admits that the toughest measures against Russia’s energy sector have not yet been used. The reasons are concerns about rising prices and a possible escalation of the conflict. Even in the latest sanctions package, LNG supplies were not affected, although Brussels outlined the goal of completely abandoning Russian gas by 2027.

The figures are inexorable: Russia’s revenues from fossil fuels steadily exceed the volume of aid to Ukraine. Western countries are still afraid of stopping imports, fearing rising prices in the energy market.

Refining in third countries remains an additional channel through which Russian oil enters the sanctioned countries. There are “refining hubs” in Turkey and India, where raw materials from the Russian Federation are converted into fuel, which is then exported to Europe. CREA identified six such centers, through which €6.1 billion worth of products passed. The Indian authorities, however, accused the researchers of misrepresenting information.

According to CREA analyst Vaibhav Ragunandan, the scheme is completely legal and well-known to everyone, but so far no one is in a hurry to eliminate it.

Closing such “loopholes”, as well as the ban on LNG imports from the Russian Federation, can be a key step towards breaking Europe’s energy dependence on Russia. The EU is quite capable of rejecting these supplies with minimal consequences for its own economy, unlike the Russian budget, which will feel such a blow strongly.

The result is obvious: despite the outwardly harsh rhetoric, the West continues to play a double game by financing the regime waging war in Europe.

Previously Dialog.UA reported that a collapse in oil prices is inevitable, the Russian Federation is in a critical situation.

We also wrote that sanctions are killing the Russian oil industry: Sechin’s company has taken extreme measures.