Arseniy Yatsenyuk: Russia has abandoned plans to cut off gas supplies to Ukraine

At a session of the Verkhovna Rada on Tuesday, June 3, the Prime Minister of Ukraine Arseniy Yatsenyuk informed Russia abandoned its plans to cut off gas supplies to Ukraine and an item of the so-called prepayment for the Russian gas has been withdrawn for now.

The Head of Government reminded that a month ago the Ukrainian party had sent a prearbitral note to the Russian-based Gazprom: “We have appealed to Russia, based on the gas deal signed in 2009, to settle all the problems of our bilateral relations. Primarily, this is price issue [for gas]. They are issues of supply volumes, the so-called “take or pay” principle and regarding the procedure of settlement of disputes between our companies”. 

“It is most unfortunate Russia behaved as usual, i.e. it uses energy as a gas weapon. At that period it denied any negotiations and signing a complementary agreement between Russia’s Gazprom and Naftogaz Ukrainy,” he said.

According to Arseniy Yatsenyuk, Ukraine stated clearly under such conditions it would appeal to Stockholm Arbitration Court, so “on Friday a lawsuit was prepared in which Ukraine demands from Russia to fix, in the first place, a fair price and also certain compensations from the Russian Gazprom”.

Arseniy Yatsenyuk reminded that in the first quarter of the current year the Russian Federation had set a price of USD 268 for natural gas for Ukraine: “We consider this price a market one, it is the only acceptable price that can satisfy Ukraine and also preserve rather high profitability for the Russian Gazprom”. 

The Head of Government informed the European partners suggested to launch tripartite negotiations in the format “the European Commission headed by the Commissioner for Energy Günther Oettinger, Ukrainian JNSC Naftogaz Ukrainy in synergy with the Ministry of Energy of Ukraine, and Russian Gazprom company.

“We ascertain yesterday the negotiation process between Naftogaz and Gazprom actually commenced. Has this negotiation process been finished yet? It is far from end. I take with restraint any prospects of negotiations between Gazprom and Naftogaz. But we should pass this way,” he emphasized.

According to the PM, the talks should result into signing a complementary agreement the draft of which had been handed over by the Ukrainian Naftogaz on Sunday evening.

Moreover, Arseniy Yatsenyuk informed now in Berlin Head of Board of NJSC Naftogaz Ukrainy Andrii Kobolev and Head of Board of Gazprom Alexey Miller were engaged in talks: “We are waiting for completion of the negotiations with the Russian Gazprom in the current week”.

The PM stressed the Government had readied a plan in case Russia cut of gas supplies: “We are truthful that halt of gas flows from Russia are not excluded from the agenda. It is absolutely understandable that the Russian Federation will be at war with Ukraine by all means it can, including gas weapon”.

“We have used every available instrument,” he noted.

Arseniy Yatsenyuk stressed in case the agreement with Gazprom is signed he would report the Parliament concerning parameters of the deal: “If it fails to be signed, we shall file a lawsuit against Gazprom in Stockholm. The procedure will last neither a month, nor even a year. But we can’t see another way out”.