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EU gas supply fears as Russia dispute escalates

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Published Date: 06 January 2009
Fears over the supply of gas to European Union countries were growing today after Russia raised the stakes in its dispute with Ukraine.
Moscow announced a 20% cut in the volume gas piped to Europe via Ukraine, which is refusing to pay higher prices demanded by Russia's monopoly supplier Gazprom.

And although Gazprom's boss promised to make up the EU shortfall by sending more gas v
ia other routes, the decision increased concern in Brussels of energy shortages as winter bites.

Moscow's announcement came after senior EU diplomats had been meeting in Brussels to hear that the dispute has already led to significant gas supply reductions in six mid-European member states – Hungary, Poland, Romania, Greece, Bulgaria and the Czech Republic.

Moscow blames Ukraine, which Russia accuses of siphoning off supplies destined for the EU to make up for last week's Gazprom decision to cut off gas to the country.

Ukraine denies the charge, and says technical problems are responsible.
But Moscow claims its 20% cut is equivalent to the volume of gas Ukraine is taking from the pipeline system.

At yesterday's Brussels talks, some mid-European member states said they had recorded drops in gas supplies in the last five days – since the dispute with the Ukraine began.

But so far the knock-on effect has been limited and diplomats decided to take no further action, pending the outcome of a current EU delegation visit to Kiev, to size up the prospects of a swift settlement of what the EU says is a "commercial" dispute.

The problem is a repeat of gas pipeline disruptions to EU supplies three years ago in a similar wrangle between Russian and Ukraine.
That row triggered a major review of EU energy security policy, but the EU still depends on Russia for about 25% of its total gas supplies – and the bulk of Russia's gas comes to the EU via Ukraine.

Before Moscow's announcement last night, the European Commission insisted there was no "substantial" supply disruption in any EU country.
But EU diplomats heard that some countries had recorded cuts of 30%.

So far the issue is not crucial – since the last row between the two, EU countries have been building up gas storage facilities and can rely on current stocks to make up any temporary shortfall.

EU foreign ministers will discuss later this week what happens if the problem continues: the issue of security of EU energy supplies is already on their agenda at talks in Prague on Thursday.

The dispute is over Ukraine's refusal to pay a price hike demanded by Russia even though oil prices have been falling.

Washington has called on Russia to consider the humanitarian implications of disrupting gas supplies in winter to countries facing freezing conditions.




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  • Last Updated: 06 January 2009 11:10 AM
  • Source: The Scotsman
  • Location: Edinburgh
  • Related Topics: Russia
 
1

,

06/01/2009 12:33:17
Comment Removed By Administrator
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2

Pazuzu,

06/01/2009 12:58:58
2 Scott.Webb:

And what would that bring us?

3

cathym,

06/01/2009 14:21:55
pazuzu, independence now, allows us to keep our gas/oil reserves which are more than enough to keep us going for the next 2 centuries, the problem is the english take our gas.oil and use the revenue to fill their pockets without useing it as an investment for future generations, whats the use of a tax cut, because its always a %tage of what you earn , thus the rich get richer the poor get poorer, ie the more you earn the more you gain ie someone on 100,000k a year gets an extra 1k for each penny cut in tax, and a guy/woman on 10k gets a £100 so lets put up the cost of living ie rents, council tax, the price of a loaf to clawback said tax cut,and who pays most of these rents/ council tax, oh i the low paid
4

It's life but not as we know it,

The Oort Clouds 06/01/2009 14:46:21
Let's nuke Russia: This is a win win solution - we 1) wipe the cocky grin off their faces and 2) get warmed up as the nukes fall here. No more need for gas.
5

Observer,,

Glasgow 06/01/2009 16:43:51
Washington is quite pernickity over who they ask to be humanitarian are they not.
6

Observer,,

Glasgow 06/01/2009 16:44:47
6 Are you the re-incarnation of Ronald Regan or Kenny Everett ?
7

,

06/01/2009 17:14:16
Comment Removed By Administrator
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8

,

06/01/2009 17:25:54
Comment Removed By Administrator
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9

Alan B,

06/01/2009 23:18:42
#Vote UKIP

That makes no sense. The EU does not prevent the uk from building nuclear power stations.
10

MacGhillieBhain,

Aberdeen 06/01/2009 23:29:07
Washington and humanitarian in the same sentence. I had to read it twice to make sure.What a bunch of hypocrites the U.S. administration are. Where do they show any humanitarianism in their dealings with anybody? The Russians are playing them (U.S.) at their own game, and they don't like it.Russia will prevail despite American blackmail,and interferance.

 

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