EU Hopes for Positive Outcome in Gas Supply Dispute Talks between Russia and Ukraine

The European Union is hopeful that talks between Russian and Ukrainian energy ministers in Brussels on Monday will resolve a gas supply dispute that threatens deliveries to Europe. The dispute, which has been ongoing for several weeks, escalated last month when Russian state-owned gas giant Gazprom began supplying gas directly to separatist-held areas in eastern Ukraine and demanded that Kiev pay for it. The European Union receives about a third of its gas from Russia, with half that amount transiting via Ukraine pipelines.

Key Takeaways:

• The EU hopes for a positive outcome in talks between Russian and Ukrainian energy ministers in Brussels on Monday.
• Gazprom has threatened to cut deliveries to Ukraine and divert supplies instead to eastern parts of the country controlled by pro-Kremlin rebels.
• The European Union receives about a third of its gas from Russia, with half that amount transiting via Ukraine pipelines.
• Tensions rose when Gazprom began supplying gas directly to separatist-held areas in eastern Ukraine and demanded that Kiev pay for it.
• Ukrainian national gas company Naftogaz confirmed the cut in gas supply, citing pipeline damage caused by fighting.
• Russian President Vladimir Putin described Kiev's move to cut gas supply as "genocide."
• The European Commission expects both sides to respect a winter package deal mediated by the EU late last year, which guaranteed Russian gas supplies to Ukraine through the end of March.
• The EU has scheduled talks for Monday to mediate and get the winter package back on track.
• In earlier disputes in 2006 and 2009, Gazprom shut off deliveries, causing huge disruption to European gas supplies at the height of winter.

Statistics:

• The European Union receives about 33% of its gas from Russia.
• Half of Russia's gas transits via Ukraine pipelines.
• The winter package deal mediated by the EU guaranteed Russian gas supplies to Ukraine through the end of March.
• Gazprom is supplying gas directly to separatist-held areas in eastern Ukraine.
• The Ukrainian national gas company, Naftogaz, has confirmed the cut in gas supply, citing pipeline damage caused by fighting.
• In 2006 and 2009, Gazprom shut off gas deliveries, causing huge disruption to European gas supplies at the height of winter.

Sources:

• "EU hopes for positive outcome in gas supply dispute talks between Russia and Ukraine." Reuters.
• Sefcovic, Maros. "Hope for positive outcome in talks between @ novak_novak and @ vdemchishyn in Brussels today 2pm GMT." Twitter.