How the West is Fueling Putin's War in Ukraine While Funding Flows Through Russian Oil and Gas

The Ukraine war rages on into its fourth year, yet new revelations expose a glaring contradiction in the West’s approach. While governments voice solidarity with Kyiv and pump military aid into Ukraine, many of the same countries are simultaneously funding Vladimir Putin’s war machine—through continued imports of Russian oil and gas.

Despite widespread sanctions and a unified front against Moscow’s aggression, European Union countries have paid over £176 billion to Russia for fossil fuels since February 2022, according to data from the Centre for Research on Energy and Clean Air (CREA). That dwarfs the £230 billion in total aid Ukraine has received from all its international allies combined over the same period.

Ukraine war

The Hypocrisy Behind the Sanctions

Western leaders have touted sweeping sanctions as a tool to isolate Russia economically. But the facts paint a starkly different picture:

  • Russia has earned nearly £700 billion in oil and gas exports since its invasion of Ukraine began.

  • Of that, £192 billion has come from countries that officially sanctioned Russia, with £176 billion from EU nations alone.

  • Putin’s regime continues to profit as hydrocarbons remain a key export, helping bankroll the war effort.

Mai Rosner of Global Witness told the BBC, “There’s no real desire in many governments to actually limit Russia’s ability to produce and sell oil. Fear of disrupting global energy markets outweighs the moral imperative.”

Energy Dependency and Loopholes

The EU still sourced 19% of its natural gas from Russia in 2024, mainly through the TurkStream pipeline supplying Hungary and Slovakia. Sanctioning Russian gas remains complex due to the need for unanimous approval from all 27 EU member states.

Several EU diplomats have admitted that Hungary and Slovakia remain roadblocks to a total ban, despite widespread support elsewhere.

Additionally, there are legal loopholes allowing Russian oil to reach Western markets via third-party processing countries like India and Turkey.

CREA’s analysis identified at least six "laundromat refineries" that:

  • Imported £5 billion worth of Russian crude

  • Processed the oil into fuels

  • Exported it to sanctioning Western countries

Vaibhav Raghunandan, a CREA analyst, stated: “This is a well-known but largely ignored loophole. The fact that these trades are technically legal doesn't make them morally acceptable.”

India and Turkey Respond to Allegations

India’s Petroleum Ministry issued a strong rebuttal, stating:

“As a sovereign country, India is free to import or export goods and commodities within international law. Calling our trade a 'laundromat' implies illegality, which we strongly reject.”

Turkey, meanwhile, has increased gas imports by 27% in early 2025 compared to last year. Much of this flows back into Europe.

Both nations argue their dealings comply with international norms, but critics argue that these practices undermine Western sanctions and enable continued Russian aggression.

Ukraine Pays the Price

As Russian missiles rain down on Kyiv and Kharkiv, Ukrainian lives are being lost while the West continues indirectly financing the Kremlin.

Recent Russian attacks killed five civilians, including two children, just hours before scheduled peace talks in Istanbul. Ukrainian officials fear that without real pressure on Russia’s energy exports, Putin has no incentive to de-escalate.

Meanwhile, Ukrainian drone strikes deep into Russia have destroyed over 13 warplanes, exposing vulnerabilities in Russian air defenses. These bold moves are meant to deter further aggression, but without cutting Russia’s financial lifeline, the war machine rolls on.

The Cost of Complacency

EU foreign policy chief Kaja Kallas admitted that oil and gas were largely spared from the harshest sanctions due to concerns about energy price spikes and economic instability.

“In the short term, Russian energy is cheaper. But the long-term cost of prolonging this war could be far higher,” she warned.

In June, the EU plans to unveil alternative measures to reduce dependency on Russian energy that don’t require unanimous approval. But observers remain skeptical, especially as energy prices continue to surge globally.

Summary and Call to Action

Despite political rhetoric and military aid, the West’s addiction to Russian fossil fuels is prolonging the Ukraine war. The data is clear: more money has gone to fund Russia’s oil and gas industry than to help Ukraine defend itself.

If the global community truly wishes to stand with Ukraine, decisive action must follow:

  • Close the loopholes

  • Enforce real energy sanctions

  • Invest in alternative energy sources

  • Hold third-party facilitators accountable

The longer this contradiction persists, the more difficult it becomes to bring about peace in Ukraine.

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