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Ukraine is not satisfied with Russia’s proposals in the gas issue

1 October 2014
Consumers
energynomics

The Ukrainian Energy Ministry said Tuesday it had received no “acceptable proposals” from Russia during last week’s gas talks with Moscow and the European Commission.

During the three-party talks in Berlin last Friday, Russia and the European Commission voiced their support for the “Winter Plan,” a package of measures to be in place until late March and intended to reduce risks for transit of Europe-bound Russian gas via Ukraine, writes Ria Novosti.

“During the talks that took place on September 26, the Ukrainian side received no acceptable proposals from Russia on this package. Experts of [state oil and gas company] Naftogaz of Ukraine and the Ministry of Energy and Coal Industry are currently studying protocols of proposals sent by the European Commission in the wake of the September 26 talks,” the ministry said in a statement.

Russia conditioned new gas deliveries to Ukraine to an agreement that would fix the price of natural gas for its east European neighbor and demanded that Ukraine begin paying off its massive debt of $5.3 billion.

European Energy Commissioner Gunther Oettinger on Friday revealed EU’s proposed solution to the Ukraine gas crisis, committing Kiev to pay Russia $3.1 billion that would be used to settle its debt with the Russian gas giant Gazprom.

The talks followed Gazprom’s decision to introduce in mid-June a prepayment system for gas deliveries to Ukraine. On September 3, Ukrainian Prime Minister Yatsenyuk said Kiev offered Russia two options on gas prices: $300 per 1,000 cubic meters during the summer and $380 during the winter.

In response to Yatsenyuk’s statement, Russian Prime Minister Dmitry Medvedev said Moscow would only agree to a price of $385, and would resume cooperation on the issue no sooner than the debt is repaid.

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