Sanctions Tracker – latest developments in respect of Australian sanctions imposed on Russia

We previously discussed the Ukraine-related sanctions measures in Australia on February 23 and February 25 and March 1. Since then, Australia has extended its sanctions to prohibit Russian energy imports and designate additional individuals and entities.

Sanctions prohibiting Russian oil and other energy imports

On 11 March 2022, Australia announced that it will prohibit the import of oil, refined petroleum products, natural gas, coal and other energy products from Russia.

The Autonomous Sanctions (Import Sanctioned Goods—Russia) Designation 2022 designates as ‘import sanctioned goods’ for Russia all goods in Chapter 27 of the Combined Australian Customs Tariff Nomenclature and Statistical Classification, including oil, refined petroleum products, natural gas and coal.

The designation was made by the Minister for Foreign Affairs under subregulation 4A(3) of the Autonomous Sanctions Regulations 2011 and will commence on 25 April 2022. This period will allow Australian businesses with existing contracts for the import of relevant goods to comply with the prohibition.

This announcement follows sanctions imposed by the US[1] and the UK[2] on Russian oil and gas imports. This update is consistent with Australia’s expressed intention to align its sanctions position with the US and UK such as the statement made by Federal Treasurer Josh Frydenberg on 10 March 2022: “there will be more measures that we will continue to take in partnership with the international community. It’s very important that we are on the same page with like-mindedness in rejecting this unjustified use of force”.

Further designated persons and entities

Australia has also extended its sanctions to a number of additional persons and entities through amendments to the Autonomous Sanctions Regulations 2011 (Cth).

• On 2 March 2022, Australia designated a further seven Russian banks and financial institutions. These were: the Russian Direct Investment Fund (RDIF), Management Company of the Russian Direct Investment Fund, RVC Management Company, EXIAR (aka Russian Agency for Export Credit), Otkritie Bank, Cetelem Bank, and the Central Bank of the Russian Federation.[3] This mirrors sanctions in the US and UK against these entities. These designations took effect on 3 March 2022.
• On 7 March 2022, Australia designated ten persons who play “key roles in the dissemination of propaganda and disinformation in support of the Russian Government in furtherance of its strategic priorities.”[4] This includes Maria Vladimirovna Zakharova, Director of the Information and Press, Dmitry Sergeyvich Peskov, Press Secretary for Russian President Vladimir Putin, and several other persons described as ‘Propagandists.’[5] In addition to these designations, Australian Minister for Foreign Affairs, Marise Payne, stated “The Australian Government continues to work with digital platforms such as Facebook, Twitter and Google to take action to suspend the dissemination of content generated by Russian state media within Australia. SBS and Foxtel have already announced the suspension of Russia Today and NTV broadcasting.” These designations took effect on 8 March 2022.

Similarly, the EU has introduced sanctions to address “systematic information manipulation and disinformation by the Kremlin”.[6] These include suspending the broadcasting activities of Sputnik and RT/Russia Today in the EU.

Australia also designated the Armed Forces of the Russian Federation and six senior Commanders of the Armed Forces[7] which took effect on 8 March 2022.

• On 13 March 2022, Australia designated 33 persons who play “key roles in state owned or controlled entities, including banks, natural resources and transportation enterprises and investment conglomerates, that support the Russian Government in furtherance of its strategic priorities.”[8] These individuals include Russian oligarchs, political and economic elites, current or former members of the Russian Government, and immediate family members. These designations took effect on 14 March 2022.

[1]  The White House, ‘Background Press Call by a Senior Administration Official on Announcement of U.S. Ban on Imports of Russian Oil, Liquefied Natural Gas, and Coal’ (Press Briefing, 8 March 2022) available at https://www.whitehouse.gov/briefing-room/press-briefings/2022/03/08/background-press-call-on-announcement-of-u-s-ban-on-imports-of-russian-oil-liquefied-natural-gas-and-coal/

[2] UK Government, ‘UK to phase out Russian oil imports’ (Press Release, 8 March 2022) available at https://www.gov.uk/government/news/uk-to-phase-out-russian-oil-imports

[3] Autonomous Sanctions (Designated Persons and Entities and Declared Persons—Russia and Ukraine) Amendment (No. 3) Instrument 2022.

[4] Autonomous Sanctions (Designated Persons and Entities and Declared Persons—Russia and Ukraine) Amendment (No. 5) Instrument 2022 – Explanatory Statement

[5] Autonomous Sanctions (Designated Persons and Entities and Declared Persons—Russia and Ukraine) Amendment (No. 5) Instrument 2022.

[6] Council of Europe, ‘EU imposes sanctions on state-owned outlets RT/Russia Today and Sputnik's broadcasting in the EU’ (Press Release, 2 March 2022)

[7] Autonomous Sanctions (Designated Persons and Entities and Declared Persons—Russia and Ukraine) Amendment (No. 4) Instrument 2022.

[8] Australian Sanctions (Designated Persons and Entities and Declared Persons – Russia and Ukraine) Amendment (No. 6) Instrument 2022 – Explanatory Statement