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Bulgaria - Energy & Utilities, Economy & Statistics

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Ukraine PM plays down fears of gas war in Balkans, Europe ahead of talks with Putin

Yuri Kulikov - 19.11.2009

Ukrainian Prime Minister Yulia Tymoshenko said an agreement struck with Moscow last January guaranteed the transit of Russian gas to Europe and the Balkans in 2010, and that the subject would not even come up in official talks this week -- although Moscow begged to differ.

"Gas issues will not be discussed," Tymoshenko told reporters ahead of talks with Russian Prime Minister Vladimir Putin on Nov.19.

But Moscow quickly made clear the gas issue would indeed be discussed in Yalta.

"The situation in the gas sphere will be discussed thoroughly and in detail," Putin's deputy chief of staff, Yuri Ushakov, told reporters in Moscow.

"Every seventh day of the month (when Ukraine's payment for gas is due) a situation resembling a deadlock arises."

Russian gas supplies were halted for more than two weeks in January due to a quarrel between Moscow and Kiev over prices and terms, leaving millions in Europe and the Balkans without heating.

Putin said recently that Russia would cut gas deliveries again if Ukraine stopped paying on time or siphoned off gas crossing its territory.

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