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Ukraine gas row hits EU supplies
BBC News ^ | 1/01/2006

Posted on 01/01/2006 10:08:49 AM PST by SpikeMike

EU nations have started to feel the impact of Russia's axeing of gas supplies to Ukraine, as Moscow accused Kiev of stealing EU supplies.

Hungary and Poland were the first EU states to have supplies disrupted.

Russia's state-run firm Gazprom cut Ukrainian supplies from the pipelines on Sunday after talks failed to solve a politically-charged price row.

Exports to the EU are carried through the same pipes, and Gazprom now says Kiev is stealing some of that gas.

"There is information that Ukraine has begun siphoning off Russian gas that is designated for European users," Gazprom spokesman Sergei Kuprianov was quoted as saying some eight hours after the Ukrainian supply was cut.

Earlier, Ukraine's own state-run gas firm accused Russia of jeopardising Western European supplies.

"Gas is not flowing at all through some transit routes, which can lead to a fall in pressure in all the pipelines and limit the overall supply of gas to Ukraine and Europe," said Eduard Zaniuk, a spokesman for Ukrainian state-run gas giant Naftogaz.

"Naftogaz declares such actions unacceptable because they endanger gas deliveries to Europe."

Ukraine's prime minister has said his country has the right to take 15% of the remaining supplies in the pipelines as payment for transporting the gas to Western Europe.

Europe's Energy Commissioner confirmed the crisis was causing concern, despite previous Russian assurances that EU supplies would not be hit.

"The dispute definitely does not help us and keeps us worried because 20% of our gas supplies go through this route, so if there is a dispute so there are eventualities that could come out," Andris Piebalgs told the BBC.

"So we are not too certain if everything will happen as both sides have promised us."

EU governments are convening a meeting of their gas industry experts in Brussels on 4 January to discuss the crisis.

Some EU countries rely particularly heavily on Russian gas. Germany, for example, gets about 30% of its gas supplies through Ukraine.

Polish concern

In Hungary, gas firm MOL said its supplies from Russia were already down 25%, Reuters news agency reported.

The firm had ordered big consumers to switch to oil from Monday wherever possible, the agency said.

Earlier, Polish gas company PGNiG reported that the amount of gas entering its pipeline system from Ukraine was also down, according to the AFP news agency.

Kiev continues to insist that the loss of Russian supplies - which amount to 30% of its own national consumption - will not hit ordinary Ukrainian consumers during the harsh winter.

However, it has warned that supplies to industry may be affected.

The Ukrainian crisis erupted after Gazprom announced it was quadrupling the price of its gas supplies from $50 to $230 per 1,000 cubic metres.

Ukraine rejected the increase, saying it was prepared to pay a higher price but not on that scale.

Kiev has said it is currently prepared to pay no more than $80 per 1,000 cubic metres of gas.

Many Ukrainians believe Russia is punishing them for their Orange Revolution and the election of Western-leaning President Viktor Yushchenko.

Other countries which remain in Russia's sphere of influence continue to receive gas at below-market prices.


TOPICS: Business/Economy; Extended News; Foreign Affairs; News/Current Events; Russia
KEYWORDS: easterneurope; energy; eu; europe; gas; hungary; naturalgas; poland; romania; row; russia; ukraine
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To: Mazepa

Teach them not to steal please.
Hypocrisy- you steal the Turkmeni gas.==

Your lie will not help. No turkmen gas Ukarine bought in this year. You know it like I know it. But you still lie like your president criminal.


101 posted on 01/03/2006 12:25:16 AM PST by RusIvan ("THINK!" the motto of IBM)
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To: RusIvan
No, Russians could give lessons on lying. From UNIAN :

"...on 29 December S.Niyazov confirmed that Ukraine and Turkmenistan signed a deal on supplies of 4o billion cubic meters of gas to Ukraine in 2006.

102 posted on 01/03/2006 11:33:10 AM PST by Mazepa
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To: Mazepa

Mazepa you know russian language. See this: http://www.lenta.ru/news/2006/01/03/turkmen/.
The date is today. So it is your UNIAN lying.


103 posted on 01/03/2006 11:46:33 AM PST by RusIvan ("THINK!" the motto of IBM)
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To: RusIvan

RusIvan you know Russian language as well. :) See this, yesterday's date: http://www.podrobnosti.ua/economy/energetical/2006/01/02/275301.html . Repeating what a Ukrainian official had said- any Russian gas in Ukrainian pipes is ILLEGAL, kontraband, because there's no agreement about it. What makes it legal is that it's not Russian gas at all in the pipes, but Turkmeni gas.


104 posted on 01/03/2006 12:43:19 PM PST by Mazepa
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