Posted on 05/13/2006 7:23:10 AM PDT by A. Pole
RUSSIA: Russia is imposing a quadruple hike in gas prices to neighbour Belarus, triggering fears of a crisis similar to the stand-off earlier this year with Ukraine.
State-owned gas giant Gazprom has told Belarus that it must pay world prices for its gas from December if it wants to continue getting supplies.
Ukraine's failure to pay a similar gas price hike on January 1st saw Russia turn off the taps, triggering a crisis that spread across much of Europe.
Critics say the demand, on one of Europe's poorest countries, is being used as leverage for Gazprom to get control of Belarus's state-owned gas pipelines.
The move is likely to sharpen anxieties in EU countries already concerned that the Kremlin may be using gas supply as an economic weapon.
The price increase for Belarus is unusual because, unlike Ukraine, its president Alexander Lukashenko is a staunch ally of Russia.
Mr Lukashenko won re-election last month in a vote condemned as fraudulent by the EU and the US, but welcomed as fair by Moscow.
Gazprom insists the demand is based on commercial reality: Belarus pays $47 for a cubic metre of gas now, compared to the European price of $230, under a subsidy contract that runs to the end of the year.
The company says that, as with Ukraine, it wants to end the practice of offering subsidies to former Soviet states to bring it into line with modern market practices.
Gazprom spokesman Sergei Kupriyanov said the demand was being made now to give Belarus time to adjust. "So that that issue of gas prices for Belarus should not become the topic of New Year's Eve television programmes, we want to agree in advance how to work next year," he told Russian television.
Belarus has made no official comment on the demand, with Mr Lukashenko a virtual recluse since his March 19th election victory. Diplomats in Moscow say that if the Belarus leader sells his distribution network to Gazprom, he is likely to be offered a fresh subsidy agreement, in part because his impoverished country cannot pay the increase.
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How Ukrainian refineries ended in the hands of Russian companies?
Why? He already won the elections, it is good moment.
if they even forget about their old friend in Belarus.
All this pan-Slavic/socialist brothers BS from their mouths stinks like hell. Russia never had any friends, only slaves and enemies. Well maybe Germany hehe
Joker...
Uhh - I forgot about the chairman -geez chairwoman:
She probably slept too often with Puttie.
new chairman of what? You mean Schroeder?
Puttie told Angela Merkel recently in Tomsk that he feels pissed that Russian investors (who else than Gasprom) are not able to get into the direct business with German consumers. This is the plan and Schroeder helped to realize it. Therefore he is a complete traitor of his compatriots. Eastern Europe plays only a sad underpart in this play.
As I said I have no idea how to get out of this mess. Do you?
Bad government policies- Kuchma is a retarded guy.
I read recently that this agreement is invalid according to the Ukrainian constitution. If so the Russians are there illegally.
I reapeat educate yourself and don't waste my time.
Gosh, who do you root for when two dictators have a pissing match?
Okay, I'll take the Mussolini Belarus guy, just for the hell of it.
(Denny Crane: "Every one should carry a gun strapped to their waist. We need more - not less guns.")
For the beginning you could collect all the materials how badly planned pipeline will affect the Baltic Sea. Then under pretext of EU ecologic regulation cancel the deal. Of course I dont believe this to happen as well as I dont believe that Merkel ever was against.
Ukraine and Georgia may have price increases, but the alternative is price increases, loss of sovereignty and independence, and Russian subjugation. Pity poor Belarus.
Where do you folks crawl out of?
Russia seized YUKOS for MASSIVE TAX EVASION and violating NUMEROUS privatization laws.
Yukos was a corrupt oligarchy, run by a courrpt wanna be politician who was in bed with Soros and Open Society.
Why is it every time I turn around Freeps are hapy to support thrid way socialism bought and paid for by Soros in East Europe??!?!!
You're defending Lukashenko and Soviet Era pricing.
And I thought I'd seen everything.
That port belongs in Russia as does Crimea and if any of you galacians try a rent hike the vastly superior Russian military will take it back.
The only reason either fall in Ukraine's boundries is generocity of Soviet Era ethnic Ukranian leaders,
Are you wishing Lukashenko will remain in power buy paying a fraction of what Germany does for gas and reselling it to Europe?!?!
Yup. He's got to get the bucks for the new 'arms race - cold war' with the US that he spoke of last week.
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