Ukraine has not paid gas- Russia closes the valves to the EU tomorrow

Ukraine has not paid the advance for Russian gas and Gazprom warned that there are serious risks for the supply of gas to Europe via Ukraine.

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“Ukraine has not paid new advance on time,” said the head of Gazprom Alexei Miller. Gazprom said in a statement that Ukraine remained 219 million cubic meters of gas which shall be used in two days. If Kiev does not pay, Russia will be forced to stop gas supplies to Ukraine. “This creates serious risks for the supply of gas to Europe,” said the company. Russia supplies about one third of European Union needs for gas, and about half of this amount is transported across Ukraine.

On June 16th 2014, Russia also suspended the delivery of natural gas due to unpaid invoices that Ukraine had sustained. After the Ukrainian company Naftogaz paid Russians $ 378 million in advance for one billion cubic meters of gas, delivery was re-established.

Given the fact that winter is at the end and that consumption of gas is declining, Croatia should not have major problems because of the possible disruption of supply of this fuel from Russia. In addition, Croatia is least affected country in region because we have 60 percent of our gas production.

President of the European Commission Jean-Claude Juncker, said earlier this month that negotiations between Ukraine, Russia and the European Union about the delivery of Russian gas, will be resumed. “The discussions will be resumed in order to avoid any shortage of gas this winter,” said Juncker. On October 30th Ukraine and Russia reached an agreement about the package of gas supplies for the winter period. Ukraine has agreed to pay Gazprom $ 378 per thousand cubic meters by the end of 2014. For the first quarter of 2015, Ukraine has to pay $ 365 for the same amount.

Source: Glas Slavonije

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