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Europe Daily Bulletin No. 11063
Contents Publication in full By article 20 / 41
SECTORAL POLICIES / (ae) energy

EU agrees to gas talks with Russia

Brussels, 17/04/2014 (Agence Europe) - In a letter addressed to the Russian president, Vladimir Putin, on Thursday 17 April, the president of the Commission, José Manuel Barroso, indicated that the EU agrees to hold discussions with Russia on the subject of gas supply security.

The European Commission was replying - at the request of the EU28 on 15 April - to the threats made by Putin last week. In a letter dated 10 April, to 18 of the EU member states, the Russian president threatened to halt gas supplies to Ukraine, due to the country having failed to honour its outstanding debt on gas deliveries, which has subsequently put the EU's deliveries in danger - as was the case in 2009.

Barroso informed Putin that “the European Union agrees on your proposal for consultations with the Russian Federation and Ukraine with regard to security of gas supply and transit (…) As you point out, the European Union and the Russian Federation are Ukraine's main trading partners. Let me reiterate that the need to ensure the long-term political and economic stability of Ukraine is therefore a key interest of the European Union and of the Russian Federation as you stated in your letter. Therefore it is our common interest to quickly engage in talks which will include Ukraine.”

Barroso adds that “cooperation between the European Union and the Russian Federation in the energy field is based on common interests. Accordingly, I see two key elements to the current issue at hand. First, the contractual reliability of the Russian Federation as a supplier of gas is at stake in this matter (…) Second, with a view to the supply of natural gas into Ukraine, the long-term solution toward a functioning European gas market can only be the satisfactory re­arrangement of transit relations through Ukraine, and a market reform of the energy system of Ukraine both on the basis of a legally and economically sound and transparent regime. In the context of the current crisis, we consider that solutions to both the Russian claims regarding short-term arrears and the long-term mechanisms, including on the gas price and conditions of gas supplies, are to be solved in dedicated negotiations and through available legal mechanisms. We reiterate that changes to contractual arrangements due to political circumstances run counter to the spirit of support and cooperation enshrined in your letter.” He concluded that regarding the “possibility to completely or partially cease gas deliveries in the event of further alleged violation of the conditions of payments by Ukraine, we would strongly urge you to refrain from such measures, which would create doubts about your willingness to be seen as a reliable supplier of gas to Europe”. Barroso also explained that the Commissioner for Energy, Günther Oettinger, is “ready” to meet his Russian and Ukrainian counterparts “immediately” to discuss these questions. (EH)

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