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MosNews: Tymoshenko Wants To Cancel Russia-Ukraine Gas Agreement

posted by FerrasB on March, 2006 as Imperialism

Yulia Tymoshenko / Photo: AP

Yulia Tymoshenko / Photo: AP
Tymoshenko Wants to Cancel Russia-Ukraine Gas Agreement



Yulia Tymoshenko announced on Sunday, March 27, that if she becomes Ukraine’s new Prime Minister, following parliamentary elections, she will do everything she can to reconsider and cancel the gas agreement between Russia’s natural gas monopoly Gazprom and Ukraine’s national gas operator Naftogaz Ukraine.

“The abolishment of gas agreement is obvious. The unfairness of this agreement is obvious for Ukraine and for the rest of the world. If my [political] movement joins the government, its abolishment will be logical and will demand only technical implementation,” Tymoshenko said, quoted by RIA Novosti, following the end of voting.

As MosNews has reported, Gazprom and Naftogaz Ukraine negotiated conditions of their cooperation in the gas sphere on January 4. Before 2006 Ukraine used to buy Russian gas for $50 per 1,000 cubic meters, but Gazprom wanted to increase the price to $230, which is an average price that the gas monopoly’s European consumers pay. At present time Naftogaz Ukraine buys its gas from RosUkrEnergo, which is jointly owned by Gazprom and Raiffesen Austria, for $95 per 1,000 cubic meters. The gas which Ukraine receives is made up of a mix of Russian and Turkmen gas which Gazprom gets for $60 per 1,000 cubic meters. The prices may be corrected upwards in the second half of the year, if Turkmenistan raises the price of its gas. The ownership structure of RosUkrEnergo has raised a lot of questions in Ukraine, and Prime Minister Yuri Yekhanurov has already suggested to his Russian counterpart Mikhail Fradkov that the agreement is reconsidered.

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