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rfmcdonaldNew Eastern Europe features an article by one Wojciech Jakóbik arguing that Russia's Gazprom has inadvertantly become a pro-Ukrainian voice in Russia because Russian foreign policy is threatening its European Umon market.
Gazprom has recently informed the Russian government that it would extend lower prices for gas deliveries to Ukraine beyond the period of the winter package which lasted until March 31st. The Kremlin agreed to grant Kyiv a price that is in fact lower than today’s prices on the European spot market. In the second quarter of 2015, Ukraine will be buying gas from Russia at the cost of 254,18 US dollars per 1000 square metres. In 2014, Ukrainians were made to pay 485,5 US dollars for the same quantity. How was this victory possible?
The European Commission is to provide between 800 million to 1 billion US dollars for Ukraine’s gas purchases. This money is supposed to help the Ukrainians increase their gas storage at least 12 billion cubic metres by November, which according to the Russians, is needed for sustaining the transit of gas to European customers. It is estimated that Kyiv should pay Russia the equivalent of 3 billion US dollars in the second quarter of this year.
[. . .]
Considering the current situation in Ukraine, the European Commission decided to unfreeze the anti-monopolistic investigation against Gazprom, which stopped in April 2014, after the annexation of Crimea. Holding back on publishing its results did not bring the desired effects which is why the European Commission is going to publish them in the coming weeks.
The investigation focuses on Gazprom’s abuse of its monopolistic position towards its clients from Central and Eastern Europe. The Commission is analysing the links between political connections and gas prices and controversial clauses in gas contracts, such as the prohibition of re-export which excludes the possibility of reverse to Ukraine. In situations where the gas transit is in the hands of Gazprom, such as in the case of Veľké Kapušany-Uzhgorod pipeline which could allow Ukraine to buy gas from the EU by the “big reverse” option, the prohibition of re-export applies even in spite it being banned by the EU’s third energy package.
