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Business

Ukraine halts gas imports from Russia

Published: 12 Nov 2013 - 11:14 am | Last Updated: 28 Jan 2022 - 04:40 pm

MOSCOW/KIEV: Ukraine halted Russian gas imports last Friday in a dispute over pricing, sources in Russia’s gas industry and state export monopoly Gazprom said yesterday, but the flow to Europe via Ukraine is so far unaffected.

The gas imports to Ukraine stopped weeks before Kiev is due to sign a free-trade agreement with the European Union — a move that has angered Moscow.

“There have been no supplies to Naftogaz since Friday,” an industry source said, referring to the Ukrainian state energy company that buys Russian gas.

A source in Ukraine’s gas industry also said that the gas pipeline operator Ukrtransgaz had ordered Naftogaz to stop purchases of Russian gas on Friday.

Russia supplies around half of its gas to Europe through Ukraine. 

However an official at Gazprom said transit flows of Russian gas to European clients via Ukraine were continuing unaffected. “All requests for exports are being fulfilled,” he said.

Both Gazprom and Naftogaz declined to comment on the halt of Russian gas flows to Ukraine.

Ukraine, which pays around $400 per 1,000 cubic metres of Russian gas, one of the highest prices in Europe, has asked Moscow to ease terms it considers to be excessive and unaffordable for its debt-strapped economy.

Kiev has been steadily reducing Russian gas intake.

Last month, Gazprom raised the stakes in the stand-off, saying Ukraine had failed to pay for August deliveries in full.

The dispute has raised concerns of a new “gas war” over prices between the neighbours, similar to those in the winters of 2006 and 2009 which caused supplies to be disrupted to Ukraine and the rest of Europe.

Reuters