icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm
11 Mar, 2008 11:06

Higher gas prices to squeeze Ukraine

Ukraine may be the big loser from a decision by Kazakhstan, Turkmenistan and Uzbekistan to increase gas prices to European-level prices from 2009. Gazprom buys natural gas from Central Asian republics and re-sells it to Europe through its own pipelines.

The increases were announced on Tuesday after a a meeting between gas officials from the three nations and Gazprom CEO Aleksey Miller.

The increase is likely to have serious effects, particularly on Ukraine, which currently buys Central Asian gas at just $US 180 per thousand cubic meters.

A disagreement over the country’s gas debt to Gazprom inflamed a weeks-long row between the two earlier this year.

Gazprom currently charges Ukraine a designated European price of $US 315 per thousand cubic metres.