Saturday, January 10, 2009

Accord signed in Russia gas row


Russian, Ukrainian and European Union officials have signed a deal which should pave the way for the re-opening of gas supplies to Europe.

The deal was signed by Ukrainian PM Yulia Tymoshenko, Russian PM Vladimir Putin and Czech PM Mirek Topolanek.

The deal is aimed at enabling a resumption of Russian gas deliveries to European countries through Ukraine.

Hundreds of thousands of European homes have no heating after gas shipments via Ukraine were halted on Wednesday.

Although both Ukraine and Russia had guaranteed that transit routes to Europe would be unaffected, mutual accusations between Kiev and Moscow resulted in supplies being cut.

Mr Topolanek, who has been in Ukraine for talks with Ms Tymoshenko, said the signing of the deal cleared the way for the resumption of Russian natural gas supplies to Europe.

"Nothing prevents Russia now from resuming gas supplies," he said.

'Calming Russian fears'

The Russian deal followed five hours of talks between Russian Deputy Prime Minister Igor Sechin and officials from the European Union.

Under the deal, EU, Ukrainian and Russian observers will monitor supplies, in order to calm Russian fears that Ukraine is siphoning off gas for its own use. Ukraine has denied this allegation.

After signing the deal, Ms Tymoshenko said Ukraine's agreement signified its "goodwill" and role as an "honest transit country", the Associated Press reported.

Mr Putin is quoted on Interfax, the Russian news agency, as saying that the "transit of gas through Ukraine will start again as soon as the (transit) control mechanism starts to work".

EU monitors are in Kiev and are expected to head to the pumping and measuring stations on Ukraine's eastern and western borders early on Sunday, a spokesman for Naftogaz, the Ukrainian state energy company, told the BBC.

If things go to plan and once those monitors are in place, says the BBC's Gabriel Gatehouse in Kiev, Russia should turn on the taps.

Ukraine and Russia's bitter contractual dispute over gas prices and transit fees has affected several countries which are unlikely to have supply resumed before Monday at the earliest, despite the signing of this deal.

Normal service in affected countries such as Bulgaria, Slovakia, Bosnia-Hercegovina and Serbia will be delayed as it takes around 36 hours from the moment of turning on the taps for the gas to reach consumers, our correspondent adds.

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