Europe agrees to ban Russian coal, but struggles on oil, gas

The European Union pays Russia $20 million a day for coal — but $850 million a day for oil and gas

The European Union nations have agreed to ban Russian coal in the first sanctions on the vital energy industry over the war in Ukraine, but it has underlined the 27 countries' inability to agree so far on a much more sweeping embargo on oil and natural gas that would hit Russia harder but risk recession at home.

The coal ban should cost Russia 4 billion euros ($4.4 billion) a year, the EU's executive commission said. Energy analysts and coal importers say Europe could replace Russian supply in a few months from other countries, including the U.S.

Explained | How dependent is Europe on Russia for its energy needs

The move is significant because it breaks the taboo on severing Europe's energy ties with Russia. It's also certain to fuel already record-high inflation. But compared with natural gas and oil, coal is by far the easiest to cut off quickly and inflicts far less damage on Russian President Vladimir Putin's war chest and the European economy. The EU pays Russia $20 million a day for coal — but $850 million a day for oil and gas.

Shocking pictures of bodies in the Ukrainian town of Bucha are keeping discussion of broader sanctions alive, with EU officials saying they're working on targeting Russian oil.

While the EU ponders additional sanctions, Italian Premier Mario Draghi said no embargo of Russian natural gas is up for consideration now.