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G7, the EU and Australia implemented on December 5 a cap on Russian oil prices. Market players have doubts the measure will be effective.

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BRUSSELS — A price cap on Russian seaborne oil will work, EU ministers told CNBC, despite attempts from the Kremlin to escape sanctions and a broad market skepticism over the measure.

The EU, alongside the G-7 and Australia, agreed on Friday to limit the purchases of Russian oil to $60 a barrel as part of a concerted effort to curtail Moscow’s ability to fund its war in Ukraine.

The price cap came into force on Monday. In essence, the measure stipulates oil produced in Russia can only be sold with the necessary insurance approval at or below $60 a barrel. Insurance companies are mostly based in G-7 nations.

However, Russia has already said it will not sell oil to nations complying with the cap and that it is ready to cut production to maintain its revenues from the commodity.

In addition, reports suggested that it has been putting together a fleet of about 100 vessels to avoid oil sanctions. Having its own so-called “shadow fleet” would allow the Kremlin to sell its oil without needing insurance from the G-7 or other nations.

When asked if the oil cap can work in reducing Russia’s oil revenues, Irish Finance Minister Paschal Donohoe said, “Yes, it can.”

It is “the right message at the right time,” he said in an interview with CNBC on Monday.

One of the big open questions is the role of India and China in the implementation of this price cap.

Both nations have stepped up their purchases of Russian oil in the wake of the invasion of Ukraine, and they are reluctant to agree to the cap. India’s petroleum minister reportedly said Monday that he “does not fear” the cap and he expects the policy to have limited impact.

However, France’s Finance Minister Bruno Le Maire told CNBC on Monday: “I think it’s worth trying.”

“Then we will assess the consequences of the implementation of this oil cap,” he added.

Market players remain skeptical

The level of the cap will be reviewed in early 2023. This revision will be done periodically and the aim is to set it “at least 5% below the average market price for Russian oil,” according to the agreement reached by EU nations last week.

European Commission President Ursula von der Leyen said over the weekend that the limit on oil prices will help the bloc stabilize energy prices. The EU has been forced to abruptly reduce its dependence on Russian hydrocarbons due to the Kremlin’s war in Ukraine.

Market players, however, remain wary about the integrity of the policy.

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Analysts at Japan’s Mitsubishi UFJ Financial Group said in a note Monday that the scale of the price cap’s impact “remains ambiguous.” They added, “we have been sceptical on the practicalities of its success.”

There is a risk that nations buy Russian oil at the agreed cap but then resell it at a higher price to Europe, for example. This would mean that Russia would still make money from the commodity sales while Europe would be paying more at a time when its economy is already slowing down.

“The introduction of the cap on the price will probably not remove all the volume, some will find its way to the markets,” Angelina Valavina, head of EMEA Natural Resources and Commodities at the Fitch Group, told CNBC’s “Street Signs Europe” Monday.

Oil prices traded higher Tuesday morning in London.

Both international benchmark Brent crude futures and West Texas Intermediate futures traded 0.4% higher at around $83 a barrel and $77 a barrel respectively.

Crude futures traded higher Monday morning, following a decision by OPEC+ nations to keep output targets unchanged, but moved lower in afternoon trading.

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No one knows how NYC’s 15 mph e-bike speed limit will even work

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No one knows how NYC's 15 mph e-bike speed limit will even work

In his latest crackdown on e-bike riders, New York City Mayor Eric Adams is pushing for a new citywide e-bike speed limit of 15 mph (25 km/h), despite the fact that no one seems to know how it would actually be enforced.

The proposal, introduced last month as part of a broader package aimed at improving safety on city streets, would make it illegal to ride an e-bike over 15 mph. But experts, advocates, and even city officials are scratching their heads about how the rule would work in practice.

Most consumer e-bikes are already sold with speed limits in place: 20 mph (32 km/h) for throttle assist and 28 mph (45 km/) for pedal assist, per classifications used in the majority of states in the US. Yet those limits are controlled by the bike’s electronics, not by any city infrastructure.

According to reporting by Hell Gate NYC, even the Mayor’s own office couldn’t explain what the enforcement mechanism would look like, and no single agency has so far been put in charge of enforcing the speed limit. Will the city mandate software modifications such as those that limit Class 3 e-bikes to 25 mph (40 km/h) in NYC? Would they rely on radar guns like traditional speeding enforcement for cars? Install speed cameras that can identify bikes? So far, there are no answers.

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Citi Bike has already reduced its electric bicycle fleet’s speed limits to 15 mph, but that only impacts shared e-bikes used in the city. Complicating matters further is the fact that most delivery riders – who are clearly the unspoken target of this policy – don’t use mainstream e-bikes from the major manufacturers, or even those that can accept firmware updates to adjust speed and power. Many of them ride inexpensive, sometimes heavily modified throttle bikes purchased online or from bike shops like FLY that cater to these types of riders. Such e-bikes often lack more sophisticated software speed-limiting features, and few, if any, have any form of digital connectivity that could allow for remote speed capping.

City transportation experts note that enforcement of speed limits on e-bikes is nearly impossible without clocking and stopping each rider. Unlike cars, bikes don’t have license plates. And even if a bike is capable of going faster than 15 mph, it doesn’t mean the rider is actually breaking the law – unless caught in the act. Nearly every car in NYC can likely push close to or past 100 mph (160 km/h), despite the city wide’s vehicular speed limit of just 25 mph. Advocates have also questioned the wisdom of focusing on e-bike speed while car crashes continue to injure and kill far more people.

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Range Rover’s electric SUV won’t launch this year after a surprise delay, but there’s more

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Range Rover's electric SUV won't launch this year after a surprise delay, but there's more

Range Rover’s first EV was initially scheduled to arrive later this year, but that won’t be the case. JLR has delayed the launch of the Range Rover Electric after telling customers they will have to wait a little longer. However, that may not be the only EV JLR is delaying.

Range Rover Electric and Jaguar EVs are being delayed

Although the electric SUV was originally due to hit showrooms in late 2025, it’s now being pushed back until next year.

The British automaker claimed it needed more time for testing while it waited for stronger demand. However, there’s more to the story. According to The Guardian, Jaguar Land Rover wrote to clients waiting for the Range Rover Electric, telling them deliveries will not start until 2026.

Sources close to the matter said the delay could also impact two Jaguar EV models, including the radical blue-and-pink Type 00 Concept. Jaguar’s electric vehicles are expected to be delayed by several months.

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The news comes after JLR announced plans to cut up to 500 management positions in the UK this week. Britain’s largest carmaker was hit hard by the Trump Administration’s new auto tariffs.

Range-Rover-Electric-delayed
Range Rover Electric SUV prototype testing (Source: JLR)

JLR’s sales plunged over 15% in the previous quarter after the company was forced to temporarily halt shipments to the US.

A company spokesperson confirmed that “By 2030 JLR will sell electric versions of all its luxury brands,” adding “we will launch our new models at the right time for our clients, our business and individual markets.”

Jaguar's-controversial-EV-debut
Jaguar Type 00 first public debut in Paris (Source: Jaguar)

Range Rover’s first electric SUV has secured over 61,000 customers on the waiting list. JLR claims it’s currently undergoing “the most intensive testing any Range Rover vehicle has ever endured.”

An electric version of the Velar is due for a radical new look. It’s scheduled for production in April 2026, but that could also be delayed. An electric Defender is due out in early 2027.

Meanwhile, production on Jaguar’s new EV, its first since the I-PACE, is set to begin in August 2026. Jaguar’s electric GT is expected to cost over £100,000 ($135,000) as part of its brand revamp. Its second EV may not launch until December 2027 now.

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Wheel-E Podcast: Lectric XP Trike2, Amish e-bikes, little Honda, more

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Wheel-E Podcast: Lectric XP Trike2, Amish e-bikes, little Honda, more

This week on Electrek’s Wheel-E podcast, we discuss the most popular news stories from the world of electric bikes and other nontraditional electric vehicles. This time, that includes new e-bikes from Aventon and Lectric, a surge in Amish riding e-bikes, a wireless charging kickstand, cheaper electric motorcycles coming from Honda and LiveWire and more.

The Wheel-E podcast returns every two weeks on Electrek’s YouTube channel, Facebook, Linkedin, and Twitter.

As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.

After the show ends, the video will be archived on YouTube and the audio on all your favorite podcast apps:

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Here are a few of the articles that we will discuss during the Wheel-E podcast today:

Here’s the live stream for today’s episode starting at 9:00 a.m. ET (or the video after 10:00 a.m. ET):

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