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VOA News - No Signs of Gas Dispute Ending Between Russia, Ukraine
Deliveries of Russian gas to Europe remain suspended after negotiations on Friday aimed at agreeing on a mechanism to monitor gas flow through Ukraine failed to bring any result. Russian state-run energy firm Gasprom, which has pledged to resume deliveries to Europe once the deal is signed, has said Ukraine disrupted Friday's talks. Kyiv, meanwhile, is saying that Ukraine is prepared to sign a deal on a monitoring mechanism as soon as possible.

Millions of Europeans are left shivering in some of the coldest temperatures of the winter so far, as Russia, which supplies one-quarter of all gas consumed in European Union countries, continues to halt deliveries of its gas.

(Voice of America)

by afew (afew(a in a circle)eurotrib_dot_com) on Sat Jan 10th, 2009 at 03:08:30 PM EST
[ Parent ]
RIA Novosti - World - Russia, EU sign gas transit control protocol-2

MOSCOW REGION, January 10 (RIA Novosti) - Russia and the European Union have signed a protocol to set up an international commission to control the transit of Russian natural gas through Ukraine.

The document was signed by Russian Deputy Prime Minister Igor Sechin, energy giant Gazprom's CEO Alexei Miller as well as Martin Riman, the industry and trade minister of the Czech Republic, which is holding the rotating presidency in the EU.

Russia was forced to halt transit deliveries via Ukraine on Wednesday after a check established that Ukraine was not carrying any gas to Europe. Moscow said supplies would resume when a multilateral commission was formed to monitor transit via Ukraine.

"We will do this [resume transit supplies] immediately after international monitors take charge of entry and exit points on the border between Ukraine and Russia as well as on Ukraine's border with other European countries," Russian Prime Minister Vladimir Putin said following talks with his Czech counterpart Mirek Topolanek. "Monitors should also be sent to European countries bordering on Ukraine."

Under an agreement reached between Russia and the EU on Saturday, Gazprom, Ukraine's Naftogaz, the Russian and Ukrainian energy ministries, the European Commission, European consumer companies and international monitoring organizations will be represented in the international commission being set up to monitor trans-Ukrainian gas deliveries, Putin said.

(RIA Novosti)

by afew (afew(a in a circle)eurotrib_dot_com) on Sat Jan 10th, 2009 at 03:10:39 PM EST
[ Parent ]
Topolanek: Gazprom to monitor gas transits - UPI.com
MOSCOW, Jan. 10 (UPI) -- Czech Prime Minister Mirek Topolanek said Saturday the Russian energy group Gazprom will begin monitoring gas transits through Ukraine.

Topolanek said the international monitoring efforts are part of an oral agreement between the European Union and Ukraine. RIA Novosti reported Russian Prime Minister Vladimir Putin has called for a written version of the deal to solidify it.

"I hope you will manage to persuade our Ukrainian partners to sign the documents to create mechanisms of control," Putin said.

Under the agreement, experts from the Ukrainian energy group, Naftogaz, will serve as gas transit monitors in Russia.

The agreement is the result of demands by Russia for international monitoring of gas piped through Ukrainian territory. Russia had cut off all gas supplies to the European Union in an attempt to bring about such an agreement.

(UPI)

by afew (afew(a in a circle)eurotrib_dot_com) on Sat Jan 10th, 2009 at 03:11:26 PM EST
[ Parent ]
Just watched Topolanek's press conference this morning. He very carefully avoided apportioning the blame, said the agreement is only about the transit, that Ukraine signed the protocol, that Putin wouldn't have wasted Sat (they spent 5 hours negotiating) only to violate promise that gas deliveries would start as soon as observers are in place, and that it's hardly imaginable for Ukraine to do anything other than it said it would - meaning honestly transiting gas to Europe - under observers' stare, implicitly giving credence to Russian accusations that Ukraine was stealing.

He was also emphatic that questions of payments for technical gas (needed to push transit commodity to Europe), payments for transit itself, and prices for deliveries to Ukraine are not anyone's business but of Russia and Ukraine.

Martin Riman, Czech trade and industry minister, said that the current situation (stoppage of transit) is unprecedented in 4 decades of Russia-Europe gas trade, in effect saying that 2006 was not "Russia stopping gas transit to Europe".

by Sargon on Sun Jan 11th, 2009 at 08:31:11 AM EST
[ Parent ]
This still does not explain why Russia cut the gas to Ukraine knowing that it would be cut to Europe. Even if they managed to point out that they are not (fully) to blame, they have spent a full week underlininh how unreliable the supplies from Russia might be, thus possibly encouraging the quest for alternatives (and not necessarily of the NordStream/Southstream kind).

Nordstream will happen anyway. Southstream still has other unresolved issues beofre it happens.

In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (etg@eurotrib.com) on Sun Jan 11th, 2009 at 08:49:42 AM EST
[ Parent ]
I don't condone Russian negotiating tactics - at some point (pushing the price from 250 to 418 to 450) it was plain absurd.

To make more or less firm conclusions on what was the prevalent driver of the conflict (BTW, Yushenko secretariat just accused Tymoshenko of openly siding with Russia and aiming at political defeat of Yushenko... Russians say that negotiations were stopped in late December at Yushenko's direct order - the political/financial fight in Ukraine has been intense), we have to wait and see the parameters of the Russia-Ukraine contract.

What Russia has achieved, IMHO, is rationalization of the Russia-EU gas trade. Analysis and negotiations should become easier. Finland and Sweden won't be able to block or delay North Stream any longer. On the other hand, Europe now could rationally allow Slovakia and Bulgaria to restart their nuclear power plants, Germany would do the same, and in the long run Russia will be forced to rely on LNG more than it would have liked.

And finally, the grey trade should become harder with international monitors around. Purely on these grounds, non-transparent part of the trade must go down, which would help a lot.

by Sargon on Sun Jan 11th, 2009 at 09:29:29 AM EST
[ Parent ]
RIA Novosti - Business - Ukraine pledges own gas to Bulgaria, Moldova - press service

KIEV, January 10 (RIA Novosti) - Ukraine's president has promised to start providing 2 million cubic meters of natural gas daily to Bulgaria and Moldova from its own reserves on January 10, the presidential press service said on Saturday.

In his letters to the countries' presidents, Viktor Yushchenko proposed settling up after Russia resumes gas deliveries to Europe.

Bohdan Sokolovsky, the Ukrainian president's international energy security envoy, said Ukraine has already started delivering gas to Moldova and is preparing supplies to Bulgaria.

by afew (afew(a in a circle)eurotrib_dot_com) on Sat Jan 10th, 2009 at 03:24:20 PM EST
[ Parent ]

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