Brussels, 25/06/2014 (Agence Europe) - Although the Russian gas tap may be turned off to Ukraine following the failure of the trilateral negotiations on 16 June to settle the Russian-Ukrainian gas dispute, Ukraine's gas company Naftogaz has given assurances of the transit of 100% of Russian gas to Europe without any being diverted, Ukraine's Minister for Energy Yuriy Prodan told European Commissioner for Energy Günther Oettinger in Brussels on Wednesday 25 June.
“For the moment, there is no problem”, Oettinger told press after a meeting with Prodan and the directors of Naftogaz. “We have common projections to avoid a disruption to supply for the European market and the Ukrainian market in winter 2014-2015. Mr Prodan has informed me of Ukraine's preparations to activate reverse flows with Slovakia and Ukraine. By the end of June, they will take a decision on who will supply the European market's gas to Ukraine. Additional reverse flows with Hungary and Poland are also due be activated”, Oettinger stated. “We have the common ambition of filling Ukrainian gas stocks to 20 billion m3 so that Ukraine will be ready should there be a long and harsh winter”, he added.
“Ukraine has proved that it could deliver Russian gas to the European countries”, Prodan was pleased to tell press. He asked the Commission to send experts in order to guarantee the transit of Russian gas without diversion through the Ukrainian territory, and in order to fend off any Russian complaint about Ukraine's retention of gas. As regards filling Ukrainian gas stocks through reverse flows, Prodan has received “quite attractive proposals” on price from European companies, “much better than those of Gazprom” - which is asking for $385 per 1,000m3. “Everything will depend on the volumes that we will be able to buy”, and Ukraine intends to work on “large reverse flows, but this is not an easy issue”, Prodan added (our translation throughout).
On Wednesday, Oettinger also underlined his resolve to maintain the search for a compromise or a temporary solution alongside this, so as to settle the Russian-Ukrainian dispute about Ukraine paying off its debt to Gazprom and about the new price for Russian gas deliveries until spring 2015. Oettinger now wants to meet Russia's Minister for Energy Alexander Novak and the directors of Gazprom in order to bring Russia and Ukraine to the negotiating table. He is still hopeful of finding a solution in July (see EUROPE 11103). (EH)