Thursday, April 10, 2014

Putin Says Further Violations by Ukraine Will Compel Russia to Cut Off Gas. -Russia cannot and should not unilaterally bear the burden of supporting Ukraine’s economy

Russian energy giant Gazprom will be compelled to switch over to prepaid gas deliveries to Ukraine or completely cut off natural gas supplies, should the country further violate its terms of payment, Russian President Vladimir Putin wrote Thursday in an open letter to 18 European leaders. “Gazprom is compelled to switch over to advance payment for gas deliveries, and in the event of further violation of the conditions of payment, will completely or partially cease gas deliveries,” Putin explained, saying this was undoubtedly an extreme measure.

Talk of a gas cutoff came as Ukraine again defaulted on its gas debt in March, swelling past the November record of $1.45 billion. Putin explained that Gazprom’s decision to switch to upfront payments for gas stemmed from Ukraine’s inability to pay its debts, despite unprecedented price cuts that Kiev had been recently enjoying. “I would like to draw your attention to the fact that in March there was still a discount price applied, that is [the price was] $268.50 per 1,000 cubic meters of gas. And even at that price, Ukraine did not pay a single dollar,” the president said. Putin also pointed to a whole string of discounts that Ukraine had been granted over the years, slashing Ukraine’s gas bill by almost a third. But the country continued to violate its contract obligations, prompting Gazprom to rethink its delivery strategy, the Russian leader said. “We fully realize that this [move] increases the risk of natural gas passing through Ukraine’s territory being siphoned off as it heads to European consumers. We also realize that this may make it difficult for Ukraine to accumulate sufficient gas reserves for use in the autumn and winter period,” Putin wrote.
  • The president said that uninterrupted gas transit to Ukraine would require the country to pay Russia about $5 billion upfront in the near future, before the state-run energy company pumped 11.5 billion cubic meters of gas into Ukraine’s underground storage facilities.
  • Putin also noted the European Union was expected to own up to its pledge to help Ukraine out.
"The fact that our European partners have unilaterally withdrawn from the concerted efforts to resolve the Ukrainian crisis, and even from holding consultations with the Russian side, leaves Russia no alternative," the message read. "Russia cannot and should not unilaterally bear the burden of supporting Ukraine’s economy by providing discounts and forgiving debts and, as point of fact, using these subsidies to cover Ukraine’s deficit in its trade with EU member states.” Putin called on the country’s EU partners to join consultations at the ministerial level to help Ukraine’s economy out of the woods. MOSCOW, April 10 (RIA Novosti) 10/4/14 -- -

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2 comments:

  1. Poutine menace de fermer le robinet du gaz...

    Si les Européens ne mettent pas la main à la poche pour éponger la dette ukrainienne, la Russie affirme être prête à interrompre ses livraisons.

    Vladimir Poutine a mis en demeure jeudi les Européens d’assurer le paiement des milliards de dettes de l’Ukraine ou de risquer de voir leurs approvisionnements en gaz menacés, relançant la pire crise Est-Ouest depuis la fin de la guerre froide.

    Dans une lettre à 18 dirigeants européens, le président russe a affirmé que son pays a « subventionné l’économie de l’Ukraine » à hauteur de plus de 35 milliards de dollars depuis quatre ans et exige que ce soutien se fasse désormais « sur un pied d’égalité ».
    Vers une guerre des gaz ?

    Alors que Moscou a augmenté de 80 % la semaine dernière le prix de ses livraisons à Kiev, au bord de l’asphyxie financière, Vladimir Poutine a prévenu qu’en cas de non-paiement le robinet serait coupé, faisant surgir le spectre des « guerres du gaz » qui avaient réduit les livraisons vers l’Ouest du continent en 2006 et 2009. Menace d’autant plus pesante pour l’UE qu’elle importe le quart de son gaz de Russie, dont près de la moitié transite par l’Ukraine.................http://www.lesoir.be/518296/article/actualite/monde/2014-04-10/poutine-menace-fermer-robinet-du-gaz
    10/4/14

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  2. US: Russia uses energy supplies 'to control Ukraine'...

    The US has accused Russia of using its energy supplies "as a tool of coercion" to try to control Ukraine.

    It comes after Russia warned European countries of possible gas supply cuts because of Ukraine's energy debts.

    Separately, Nato has defended the accuracy of satellite images which it says show Russian troops massed on the Ukrainian border in recent weeks.

    A Russian official earlier told said the images depicted a military exercise that was held in August last year...........http://www.bbc.com/news/world-europe-26982173
    11/4/14

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