Article

2009-01-08 Europe

Ukraine, Russia Pricing Dispute Halts Gas Exports to Europe

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Posted by Steve White 2009-01-08 00:00|| || Front Page|| [5 views ] Top

#1 Here it is, finally. We've always talked about this but now it is here in full force. Western Europe is going to blame someone for making the gas stop...will it be Russia, or Ukraine? And if they take the easy way out and blame Ukraine, guess who will pay the $2B? (hint: Ukraine doesn't have $2B)

If once you have paid him the Danegeld, you never get rid of the Dane.

Posted by gromky 2009-01-08 01:30|| 2009-01-08 01:30|| Front Page Top

#2 It looks to me like much of western Europe will submit to Russian demands. If I lived in one of those countries, I'd be checking my alternatives. Maybe it's time to leave.

Posted by Richard of Oregon 2009-01-08 08:19|| 2009-01-08 08:19|| Front Page Top

#3 Anyone care to discuss the effectiveness and virtue of soft power? Anyone? Bueller?

Posted by AlanC 2009-01-08 10:10|| 2009-01-08 10:10|| Front Page Top

#4 Move it along, nuthin to see here...

BRUSSELS, Belgium Russia and Ukraine backed off from their energy war Thursday, promising to start resending Russian gas over Ukrainian pipelines to EU customers shivering through a widespread cold snap.

European Union governments have blasted both countries, saying it was unacceptable to see homes unheated and businesses closing due to gas shortages because neither Russia or Ukraine could stick to their supply contracts.

Russia's state-owned Gazprom and Ukraine's Naftogaz were in talks on Thursday for the first time since payment negotiations broke off on New Year's Eve. The companies and officials from the two nations said they were willing to start pumping gas to Europe and would accept having monitors check on the gas flow but they were less confident about solving the root causes of the dispute.

"We don't want war, (a) propaganda gas war," Ukrainian Deputy Prime Minister Hryhoriy Nemyrya told reporters, saying Naftogaz would need around 36 hours to restore supplies.

Gazprom and Naftogaz continued to blame each other during visits Thursday to Brussels. Gazprom CEO Alexei Miller suggested that countries that believe they have suffered from the gas cutoff could sue Ukraine. And Naftogaz chief executive Oleh Dubina complained that Gazprom was charging Belarus far less for gas than Ukraine. Other Ukrainian officials alleged Russia was trying to destroy Naftogaz and the Ukrainian economy during the global financial meltdown.

One key issue is still far from resolved: Russian allegations that Ukraine siphoned off Russian gas to Europe for its own needs without paying for it. Dubina said that Naftogaz needed to use this 'technical gas' to maintain pressure in the pipeline to get gas west to Europe.

Posted by tu3031 2009-01-08 12:26|| 2009-01-08 12:26|| Front Page Top

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