Azarov: Ukraine Will Not Buy Large Volume of Russian Gas

Ukrainian Prime Minister Mykola Azarov has said that Ukraine will not buy large volumes of gas from Russia, as set out in current contracts, ahead of continued negotiations with Russia.

"We told them (Russia) clearly that we are not planning to buy such a huge amount of gas, which is envisaged in these contracts, one-sided contracts," the PM told reporters.

He also said that Ukraine could not continue the same discussions with Russian supplier Gazprom without getting a resolution for much longer.

"The subject of the talks is the same, one that has already set our teeth on edge," he said. "We must finally conclude these negotiations. How long can we talk? It's time to find a solution."

He also asked why Ukraine continued to be charged such a high price for gas from Gazprom. Ukraine currently pays $416 per thousand cubic metres, as opposed to the $250 the country sees as more reasonable.

"For what sins have we been punished by this contract?" Prime Minister Azarov said. "What have we done wrong? For what sins we are forced to buy such expensive gas? It's time to stop at last. It's time to give us the answer as to why our people should pay such a high price."

Negotiations are set to be tense between the two interested parties, following friction over a planned reduction of gas volumes on the part of Ukraine. Last week, Ukrainian state-run gas company, Naftogaz Ukrainy and Minister for Energy and Coal Industry Yuriy Boiko said that Ukraine would be taking only 27 billion cubic metres of gas from Gazprom instead of the 52 billion cubic metres currently mandated by contract.

Gazprom spokesperson, Sergey Kupriyanov said that Ukraine could only avail of a 20 per cent reduction as per the terms of the contract.