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Russia Turns Off Ukraines Gas Supply

Published: June 18, 2014 (Issue # 1816)



  • Gazprom CEO Alexei Miller leaves the negotiations with the Ukrainian government in Kiev on Monday.
    Photo: Sergei Chuzakov / AP

MOSCOW Russias Gazprom on Monday cut off gas supplies to Ukraine and moved its neighbor to a system of prepayment until Kievs indisputable debt for previous deliveries is settled.

After three rounds of intense talks in recent weeks the two sides failed to come to an agreement on the price of gas already delivered and, therefore, on Ukraines total debt to Russia. They also failed to agree on the terms governing Ukraines future gas purchases under the new prepayment system.

The logic of the Ukrainian government is to give us low prices, the ones we have with our Customs Union partners. If not, [Ukraine] will not pay debts and will get your gas for free, Gazproms head Alexei Miller said Monday at a news conference in Moscow.

The protracted spat appeared to have caused Miller no small amount of irritation, as he spoke slowly and paused for long periods between words at the conference. At one point he rebuffed a journalist who used an English word while posing a question in Russian.

What language do we speak here? he asked the journalist.

Russian Energy Minister Alexander Novak said at the same news conference that no further negotiations with the Ukrainian side are planned due to the unconstructive position of the Ukrainian government.

Deputy Prime Minister Arkady Dvorkovich said Monday morning that Russias official position on the gas dispute with Ukraine will be defined after Miller and Novak meet with President Vladimir Putin. No such meeting was reported to have taken place at the time of publication.

Ukrainian Prime Minister Arseniy Yatsenyuk reacted sharply to Russias decision, saying during a government meeting on Monday that it represented part of a general plan by Russia to destroy Ukraine.

This is another stage of Russias aggression against the Ukrainian state and its independence. We will not subsidize Russias Gazprom. Ukrainians will not pull $5 billion out of their pockets every year so that Russia can buy arms, tanks and planes and bomb Ukrainian territory, he said.

Both Ukraine and Russia said Monday that they would file lawsuits against each other over their gas supplies grievances at the Stockholm international commercial arbitration court.

While Gazprom insists that Ukraines debt stands at $4.46 billion, the Ukrainian government claims that it will only pay a sum calculated on the basis of a discounted price of $268.5 per 1,000 cubic meters. This price was offered last December to Ukraines then-President Viktor Yanukovych after he opted out of an economic and political alliance with the European Union that sparked mass protests in central Kiev.

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ALL ABOUT TOWN

Thursday, July 24


Liliana Modiliani, a well-known Russian stylist, will talk about choosing clothes that fit during her lecture at 7 p.m. at the Pryamoy Efir art club, 13 Viborgskoe Shosse.



Friday, July 25


Discuss Russias economic and political prospects for 2014 during a Business Breakfast organized by SPIBA at 9.30 a.m. in the Bank Saint-Petersburg office at 64


Malookhtinsky Prospekt.


Start your weekend with adorable miniature pigs at the Squealing Pig festival at 7 p.m. this evening in the Karl & Friedrich restaurant, 15 Iozhnaya doroga, on Krestovsky Island.



Saturday, July 26


Hundreds of brand-new and retro cars, drag and drift shows, test drives and karting are planned for the Avtobum-2014 festival, which will take place in front of the RIO shopping center at 2 Fuchika Ulitsa.


Participants in todays SaniDay Summer competition will impress visitors with their hand-made, unusual and hilarious boats, which will race at the Igora Resort near the 54th kilometer on Priozerskoe Shosse.


Metro Family Day will include both serious lectures for adults and master-classes for children, making the event interesting for the whole family. To participate, come to Kirov Park on Yelagin Island.


Photography will be the focus of todays Photosubbota, which features lectures by famous photographers, meetings with photo schools and studio representatives, and participation in a photography competition. The event starts at noon at Petrokongress, 5 Lodeynopolskaya Ulitsa.


If you like cycling, make sure to visit the Za Velogorod Festival with its retro bike exhibition, market and live music. The second round of the Leningrad Criterium race will also take place during the event at Petrovsky Arsenal in Sestroretsk.



Sunday, July 27


Navy Day will be celebrated with a weapon and military transportation exhibition, self-defense master classes and concerts. The event starts at 1 p.m. in the 300th Anniversary Park of St. Petersburg.



Monday, July 28


Dont miss a chance to see the latest achievements in robotics during the RoboDom interactive show, exhibiting more than 150 robots. The show will be at BUM center, 22/2 Gzhatskaya Ulitsa, until Aug. 3. The entrance ticket costs 350 rubles ($10).



Tuesday, July 29


A video of a Queen concert from 1986 will be shown today at 8 p.m. in Yaschik, 50/13 Ligovsky Prospekt.



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