Malta supports sanctions against ‘shadow’ tankers moving Russian oil

Malta is supporting a fresh round of sanctions against Russia intended to clamp down on a fleet of ageing tankers transporting Russian oil across the world.

The decision was made despite initial concerns that such a move could impact Malta’s maritime industry.

The EU wants to prohibit vessels suspected of illegally transporting Russian oil from European ports through what is referred to as ‘Russia’s shadow fleet.’

The so-called ‘shadow fleet’ numbers some 600 ageing ships that keep a low profile by travelling without insurance, shutting off transmitters, creating fake documents, or by painting over a ship’s name, all with the aim of transporting and selling Russian oil to ports around the world.

Apart from bypassing sanctions targeting the Kremlin’s war chest, these tankers also pose an environmental threat, being outdated and sailing without insurance, meaning that in the event of an accident and subsequent environmental disaster, no insurance company can cover the costs of a clean-up.

An agreement was reached last week with EU countries finally signing off on the 11th package of sanctions to be imposed on Moscow in just over a year.

A draft document seen by Brussels-based news portal Politico showed that Brussels’ focus is now on tightening loopholes in existing rules, creating powers for secondary sanctions and naming and shaming companies that fall foul of the rules.

Intelligence reports have revealed that the seas off Malta have been used as a space where Russian oil is transferred from ship to ship, a common occurrence in oil smuggling. This is likely to have happened in international waters off the coast of Marsaxlokk and Marsaskala in the area known as Hurd’s Bank, a shallow part used for bunkering.

In fact, in May 2022, tankers were observed departing from these waters and making their way to India, China and the United Arab Emirates after being loaded with Russian oil by tankers coming from Black Sea Ports, according to Lloyd’s List Intelligence, which monitors global shipping.

When the EU announced the newest set of sanctions, it expected universal support from member states, but that wasn’t the case.

In fact, the move infuriated countries with major commercial maritime fleets, such as Cyprus, Greece, and Malta.

However, these Mediterranean states are not the only member states who had reservations on such sanctions, as EU heavyweight Germany was also among a group of states advising caution rather than haste.

Germany had been the most strident in warning that calling out countries could damage diplomatic ties, such as with Beijing, and may even push other countries, such as those in Central Asia, deeper into the arms of Russia or China.

Speaking to MaltaToday, the foreign affairs ministry said Malta intends to implement EU sanctions “to the letter”. The ministry highlighted that Malta played a “constructive role” in the negotiations of the sanctions package.

The ministry said that while acknowledging the negative impact on the Maltese maritime sector from previous sanctions, emphasised that, “the EU’s support to Ukraine’s sovereignty and territorial integrity remains unwavering.”

Similarly, a spokesperson from the transport ministry reiterated Malta’s determination to create and implement “effective” sanctions against Russia to reach the EU’s goal of hindering illegal oil sales.

“Malta is working to protect its maritime industry as much as possible,” the spokesperson said.