President Dmitry Medvedev, in the background, ordered Gazprom CEO Alexei Miller to collect debts from Ukraine by any legal methods.
Photo: Alexander Miridonov
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Russia Declared Another Gas War to Ukraine
Russia’s gas monopoly Gazprom has threatened to hike the gas price for Ukraine to above $400 per a thousand cu meters if NAK Naftogaz fails to pay off the $2.4-billion debt. RF President Dmitry Medvedev confirmed yesterday the seriousness of monopoly’s intention. Nowadays, Gazprom needs Ukrainian money not only for political but also for economic reasons. It expects arrears on domestic market and the 1.5-percent reduction in the annual production target, i.e. the monopoly will lose $2 billion of the target net profit.
“When transferring to market relations in part of the gas supplies to Ukraine, the price will be probably above $400 starting from January 1, 2009,” says the statement of Gazprom CEO Alexei Miller that the monopoly provided to top news agencies past night. Today’s price is $179.5 per a thousand cu meters.
That day earlier, Miller had a meeting with President Dmitry Medvedev, where he reported on progress in the long-term negotiations with Ukraine. Under the draft agreement, the parties will shift to the market prices from January 1, 2011. But there is a stumbling block. “The issue of debt hasn’t been settled. The Ukrainians owe $2.4 billion to us,” Miller told the president yesterday.
The response of Medvedev was tough. “It is big money for any state and for any company, including Gazprom,” the president pointed out, committing the gas chief to finally sort out the situation and collect the debt either on voluntary basis or by force.
The tricky point is that Ukraine hasn’t acknowledged the claims of Russia. Naftogaz Deputy CEO Vladimir Trikolich said his company’s debt to RosUkrEnergo (the sole gas supplier to Gazprom, where Gazprom has 50 percent) for this year’s supplies doesn’t exceed $1.26 billion to $1.27 billion “with regard to all nuances” and Naftogaz has no debts to Gazprom.
According to Andrei Knutov from RosUkrEnergo, the penalties for delayed payment reached $300 million and November supplies of nearly $900 million haven’t been paid yet.
The sources say that, early this week, Gazprom offered to Naftogaz to set off the $2.4-billion arrears by the transit payments for 2009 and 2010. The rate will be fixed at today’s level, $1.7 per a thousand cu meters for 100 kilometers. But Ukraine rejected the proposal on Wednesday.
Official Kiev didn’t comment on the gas war escalation yesterday.
www.kommersant.com
All the Article in Russian as of Nov. 21, 2008
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