EU Seeks Enhanced Powers to Inspect Russia's 'Shadow Fleet' Oil Tankers

EU Proposes Maritime Declaration to Target Russian Oil Revenues

The European Union's diplomatic arm, the European External Action Service (EEAS), is urging member states to endorse a new maritime declaration. This declaration would grant EU nations the authority to conduct inspections on Russia's 'shadow fleet' of oil tankers, a move designed to significantly curb the oil and gas revenues that Moscow uses to finance the war in Ukraine. The proposal, outlined in a draft document, also seeks to address the considerable environmental and safety hazards associated with these vessels.

A draft position paper was presented to members on Monday, October 20, with the goal of finalizing the declaration by the end of November. EU foreign ministers are scheduled to discuss these new measures against Russia during their meeting.

Understanding Russia's 'Shadow Fleet'

The 'shadow fleet' refers to a clandestine network of hundreds of vessels operated by Russia to circumvent the 2022 crude oil price cap sanctions imposed by the United States, United Kingdom, and the European Union following the invasion of Ukraine. Estimates suggest this fleet comprises anywhere between 600 and 1,400 vessels. These tankers are predominantly older, often poorly maintained, and frequently operate without adequate insurance, utilizing complex ownership structures and 'flags of convenience' to obscure their true affiliations.

Tactics employed by the 'shadow fleet' to evade detection and sanctions include:

• Ship-to-ship transfers in open waters
• Automatic Identification System (AIS) blackouts
• Falsified positions and data transmission
• Fake flag registrations

Beyond economic circumvention, the EEAS paper highlights that these vessels pose substantial environmental and maritime safety risks, including the potential for major oil spills. Concerns have also been raised about their potential use in 'hybrid warfare', citing unidentified drone sightings in Northern Europe that Germany and Denmark suspect were launched from vessels off their coasts.

Proposed Inspection Mechanisms and Broader Sanctions

The draft declaration proposes 'possible bilateral agreements between the flag states and the EU on pre-authorised boardings for inspections'. This mechanism aims to provide EU law enforcement agencies with the necessary authority to board and inspect suspect vessels. The EU's foreign policy chief, Kaja Kallas, is expected to lead negotiations with designated flag states once the declaration is approved.

This initiative builds upon existing efforts by individual EU member states, such as France's detention of the tanker Boracay, and actions taken by Estonia, Germany, and Finland against other suspect vessels. The EU had previously authorized states to demand proof of insurance from vessels in their zones, and Denmark has already announced a new inspection program for tankers anchoring in the Baltic.

The EU is also preparing its 19th sanctions package, which is anticipated to include measures against more than 100 additional tankers, bringing the total number of sanctioned vessels to approximately 560. The bloc further intends to target tanker re-fuelling services, known as 'bunkering', as part of its comprehensive strategy to tighten the net on Russia's oil export capabilities.