These regulations amend the Russia Sanctions Regulations 2022 (the principal regulations).

All the amendments fulfil the purpose of the principal regulations, which is to give effect to the Russia Sanctions Act 2022 by imposing sanctions in response to Russia’s military actions in relation to Ukraine (and in response to any assistance given to Russia from any other country or person in connection with those actions).

Part 1 of these regulations comes into force on 1 March 2024. Part 1 adds the names of 16 entities and 45 individuals to Schedule 2 of the principal regulations so that the sanctions regime applies to them. Those entities and individuals are providing material or strategic support to Russia by enabling sanctions evasion or by facilitating the procurement and transfer of military equipment for Russia’s use against Ukraine.

Part 2 does the following 2 things:

• Regulations 6, 7, and 10 establish a prohibition (and an exception to that prohibition), which is consistent with sanctions that were imposed by a group of other countries several months ago. The group of other countries includes Australia and the members of the G7 group and the European Union. New Zealand persons are prohibited from dealing with certain services provided in relation to the maritime transport of oil of Russian origin. The services are brokering, financing, financial assistance, and insurance services. The prohibition does not apply if the price of the oil is below a price cap. The price cap, which differs according to the type of oil, is set out in new Schedule 2A. The intended effect of the prohibition and exception is that countries (other than New Zealand) can continue to access Russian oil, but at a price that limits the profits available to support Russia’s military actions. Like many countries, New Zealand has already prohibited the importation of Russian oil (see regulation 14A of the principal regulations). That prohibition is not affected by the amendments set out in regulations 6, 7, and 10:

• Regulations 8 and 9 amend the wording of the prohibitions on exporting assets to Russia (and, for some assets, to Belarus) to ensure that the prohibitions cover indirect exportation (for example, exportation via another country) or exportation to some other place for use in, or for the benefit of, Russia (or Belarus). The wording is consistent with other sanctions regulations, made under the United Nations Act 1946.

Part 2 of these regulations comes into force on 14 April 2024. That date is 45 days after the regulations are notified in the Gazette. This is intended to allow New Zealand persons time to ensure that their dealings comply with the new prohibition relating to the maritime transport of Russian oil, and with the modified wording of the export prohibitions, before those changes come into force.