Copyright © 2021 Euromaidanpress.com

The work of Euromaidan Press is supported by the International Renaissance Foundation

When referencing our materials, please include an active hyperlink to the Euromaidan Press material and a maximum 500-character extract of the story. To reprint anything longer, written permission must be acquired from [email protected].

Privacy and Cookie Policies.

The EU, Ukraine, Russia: a joint energy package, however without a current gas price

Article by: Natalya Pysanska
Translated by: Mariya Shcherbinina
Berlin – Trilateral gas talks were held in the German capital between the EU Commission, Ukraine, and Russia. EU Commissioner for Energy Gunther Oettinger, Minister of Energy and Coal Industry of Ukraine Yury Prodan and Minister for Energy of Russia Oleksandr Novak were unable to settle a price on Russian gas for Ukraine, however they managed to develop a scheme for Kyiv to pay its debt for the carbohydrates that had been supplied before. 

Ukraine is obliged to pay Gazprom 2 billion USD of debt by the end of October, and the rest, 1,1 billion USD, before the year is over. As Gunther Oettinger noted, by the end of the year Kyiv is obliged to pay 3 billion dollars of debt in total.

The EU Commissioner also reported that the Stockholm Court would decide the fate of the remaining part of the debt and the process of its payment.

Minister of Energy and Coal Industry of Ukraine Yury Prodan insisted on this. He noted that all the decisions made as of today are only a compromise for the next six months, adding: “First and foremost we need, at least in the interim period, a normal commercial price. Unfortunately, today we failed to reach an agreement with the Russian side regarding the mechanism of gas price formation itself.”

Russian Minister of Energy Oleksandr Novak stated that the EU and the World Bank will be able to guarantee Ukraine’s payment of debt for the Russian gas that had been imported before.

“As of today, Naftogaz’ total debt to Gazprom constitutes 5,3 billion USD, and includes two component. They are debts for the last two months of the previous year, as well as for the gas that came in April, May, and June of the current year,” Novak said after the meeting in Berlin.

How will Ukraine survive the winter? 

Gazprom is obliged to supply Ukraine with 5 billion cubic meters of gas in the nearest months. However, under the condition that Ukraine pays the 2 billion dollars of debt and will continue to pay for the future supplies, at a price of 385 USD per thousand cubic meters. The so-called ‘winter energy package’ will be effective throughout six months and should be signed by the end of the following week.

EU Commissioner Oettinger considers this gas argument incredibly complicated, as it is political. Whatever the case may be, the problem has to be solved immediately: taking into account that winter is approaching, the EU Commissioner noted.

For joint energy security

Hesitation threatens not only Ukraine, but also the stability of gas supplies to EU countries. “If the winter energy package does not work, there is no guarantee that winter 2009 will no repeat itself. I really hope that the sides will sign it next week,” Oettinger stated.

According to the EU Commissioner, the winter energy package agreement is a good decision for the next half-year, and satisfies Kyiv, Moscow and Brussels.

Translated by: Mariya Shcherbinina
You could close this page. Or you could join our community and help us produce more materials like this.  We keep our reporting open and accessible to everyone because we believe in the power of free information. This is why our small, cost-effective team depends on the support of readers like you to bring deliver timely news, quality analysis, and on-the-ground reports about Russia's war against Ukraine and Ukraine's struggle to build a democratic society. A little bit goes a long way: for as little as the cost of one cup of coffee a month, you can help build bridges between Ukraine and the rest of the world, plus become a co-creator and vote for topics we should cover next. Become a patron or see other ways to support. Become a Patron!
Total
0
Shares
Related Posts

March 8: Putin’s most important objective was to create a giant military base in Crimea

March 8 – 1 Ukrainian military was killed and 3 were injured in the last 24 hours in the ATO area, – informed NSDC spokesman Andriy Lysenko.

March 8 – Official Kyiv is ready to communicate with the representatives of Donbas – with those, who will be elected as a result of legitimate elections, but not with the warlords, – said Deputy Foreign Minister of Ukraine Vadym Prystayko: "At this point in time, there is a need to unite Ukraine, which is torn to pieces by our neighbours and thus we are ready to meet the needs and take into account the opinions of local people in these regions. But we cannot and will not talk to the warlords".

March 8 – During the night of March 8th, the intensity of provocative attacks by the militants decreased, but they violated "silence regime" 6 times, – informs ATO's press-centre. The enemy is using aerial reconnaissance – over the last 24 hours air defence forces have recorded the activity of 6 remotely piloted aircraft.

March 8 – "Since the annexation, Putin's most important objective was to create a giant military base in Crimea, not a gambling zone, where in addition to the fleet, there is strategic aviation, air defence, space forces, coastal missiles and nuclear weapons", – writes a journalist and human rights activist Andriy Klimenko (Crimea). According to him approximately 100 thousand troops will start serving at the peninsula over the next two years and there "should not be any disloyal residents – e.g. Crimean Tatars, journalists, community activists – all those who do not want to receive Russian passports and want to keep Ukrainian one. This will continue, unfortunately".

March 8 – Armed Forces of Ukraine have completed the fourth stage of withdrawal of heavy weapons from the combat contact line in Donbas according to Minsk agreements, – informed NSDC spokesman Andriy Lysenko: "We have completed the fourth stage of withdrawal of heavy weapons from the contact line. Earlier we withdrew 100-mm anti-tank guns – "Rapira" and "Ruta", MLRS "Grad" and "Uragan".

March 8 – In Luhansk Region during the period of carrying on of fighting activities, during the shelling of residential areas, eight churches of the Ukrainian Orthodox Church, which do not belong to the Moscow Patriarchate, were harmed "Ruined churches with destroyed altars and icons – a visible affirmation of what kind of "Orthodox World" the Russians and their mercenaries in Donbas are fighting for," Head of the Luhansk Region State Administration. Henadiy Moskal.

March 8 – Russia poses a serious threat to the safety of Europe and the European Union should continue a decisive policy of counteraction in regards to Kremlin.

This is presented in the article of the Head of the Swedish Ministry of Foreign Affairs, Margot Valstrem, published in the newspaper Svenska Dagbladet. "We saw how Russia, without any hesitation, sent advanced armed force units across the border in order to support the separatists, who with weapons attempted to fight with the Ukrainian forces and increase their control over the territory of Ukraine," notes the Minister.

DAVID FRANCIS: Washington's Mixed Messaging on Arming Ukraine Continues

P.S.: Please spread this appeal as much as possible.