Ukraine Threatens Russia to Stop Gas Imports Over Prices

Russia and Ukraine continue their dispute over natural gas deliveries with Kiev asking a revision of the gas contract connecting the two countries. According to the Prime Minister Mykola Azarov, Ukraine could otherwise stop all natural gas imports from Russia.

“Under the existing gas prices we have reduced and will continue to reduce (gas imports), and in the future – this is not an empty threat – Ukraine may stop buying gas altogether at that price,” Azarov said in an interview to RIA Novosti and Rossiya 24.

Indeed, negotiations are going on with little success despite concessions and conciliatory declarations.

On Wednesday, President Vladimir Putin said that Russia has extended loans and energy discounts to Ukraine. But it seems clear that the contention is not only related to gas prices or to underground storage facilities. Moscow fears to lose its clout on Kiev, given Ukraine’s intention to sign a free trade agreement with the European Union in November. 

Azarov said that Kiev could reduce its reliance on Moscow promoting energy efficiency and local gas production.