Russia–Ukraine gas disputes#2010 natural gas agreement
{{Short description|Disputes between Naftogaz Ukrayiny and Gazprom}}
{{Use dmy dates|date=October 2020}}
{{Update|the 31 Oct 2014 settlement|date=October 2014}}
File:Major russian gas pipelines to europe.png
File:EU natural gas price.webp
The Russia–Ukraine gas disputes refer to a number of disputes between Ukrainian oil and gas company Naftogaz Ukrayiny and Russian gas supplier Gazprom over natural gas supplies, prices, and debts. These disputes have grown beyond simple business disputes into transnational political issues—involving political leaders from several countries—that threaten natural gas supplies in numerous European countries dependent on natural gas imports from Russian suppliers, which are transported through Ukraine. Russia provides approximately a quarter of the natural gas consumed in the European Union; approximately 80% of those exports travel through pipelines across Ukrainian soil prior to arriving in the EU.
A serious dispute began in March 2005 over the price of natural gas supplied and the cost of transit. During this conflict, Russia claimed Ukraine was not paying for gas, but diverting that which was intended to be exported to the EU from the pipelines. Ukrainian officials at first denied the accusation,{{Cite news| title = Ukraine gas row hits EU supplies| publisher = BBC| date = 1 January 2006| url = http://news.bbc.co.uk/2/hi/europe/4573572.stm| access-date = 16 December 2008| archive-date = 1 March 2021| archive-url = https://web.archive.org/web/20210301182033/http://news.bbc.co.uk/2/hi/europe/4573572.stm| url-status = live}} but later Naftogaz admitted that because of harsh winter (lower than minus 30C) some natural gas intended for other European countries was retained and used for domestic needs. Ukraine said it will still meet its contractual transit obligations. The dispute reached a high point on 1 January 2006, when Russia cut off all gas supplies passing through Ukrainian territory.{{Cite news| title = Ukraine takes extra Russian gas| publisher = BBC| date = 24 January 2006| url = http://news.bbc.co.uk/2/hi/europe/4642684.stm| access-date = 16 December 2008| archive-date = 26 January 2021| archive-url = https://web.archive.org/web/20210126112534/http://news.bbc.co.uk/2/hi/europe/4642684.stm| url-status = live}} On 4 January 2006, a preliminary agreement between Russia and Ukraine was achieved, and the supply was restored. The situation calmed until October 2007 when new disputes began over Ukrainian gas debts. This led to reduction of gas supplies in March 2008. During the last months of 2008, relations once again became tense when Ukraine and Russia could not agree on the debts owed by Ukraine.{{Citation needed|date=April 2021}}
In January 2009, this disagreement resulted in supply disruptions in many European nations, with eighteen European countries reporting major drops in or complete cut-offs of their gas supplies transported through Ukraine from Russia.{{cite news |first=Leo|last=Cendrowicz |date=9 January 2009 |url=http://www.time.com/time/world/article/0,8599,1870597,00.html |archive-url=https://web.archive.org/web/20090117132153/http://www.time.com/time/world/article/0,8599,1870597,00.html |url-status=dead |archive-date=17 January 2009 |title=Russia–Europe Gas Spat Ends—For Now |magazine=Time |access-date=9 January 2009}} In September 2009 officials from both countries stated they felt the situation was under control and that there would be no more conflicts over the topic,{{Cite news| title=There are no controversies on gas issues between Ukraine and Russia| agency=Ukrainian Independent Information Agency| date=8 September 2009| url=http://www.unian.net/eng/news/news-335038.html| access-date=8 September 2009| archive-date=17 September 2009| archive-url=https://web.archive.org/web/20090917184234/http://www.unian.net/eng/news/news-335038.html| url-status=live}} at least until the Ukrainian 2010 presidential elections.{{cite news| title=Gazprom sees political risk to Ukraine gas payments| work=Reuters| date=12 September 2009| url=https://www.reuters.com/article/rbssOilGasExplorationProduction/idUSLC31093620090912?pageNumber=1&virtualBrandChannel=0| access-date=12 September 2009| first=Janet| last=McBride| archive-date=3 October 2018| archive-url=https://web.archive.org/web/20181003114322/https://www.reuters.com/article/gazprom-ukraine/update-2-gazprom-sees-political-risk-to-ukraine-gas-payments-idUSLC31093620090912?pageNumber=1&virtualBrandChannel=0| url-status=live}} However, in October 2009, another disagreement arose about the amount of gas Ukraine would import from Russia in 2010. Ukraine intended to import less gas in 2010 as a result of reduced industry needs because of its economic recession; however, Gazprom insisted that Ukraine fulfill its contractual obligations and purchase the previously agreed upon quantities of gas.{{cite news| title =Ukraine, Russia's Gazprom disagree on 2010 imports| newspaper =Kyiv Post| date =8 October 2009| url =http://www.kyivpost.com/nation/50341| access-date =8 October 2009| archive-date =3 October 2018| archive-url =https://web.archive.org/web/20181003114134/https://www.kyivpost.com/article/content/ukraine-politics/ukraine-russias-gazprom-disagree-on-2010-imports-2-50341.html| url-status =live}}
On 8 June 2010, a Stockholm court of arbitration ruled Naftohaz of Ukraine must return {{convert|12.1|e9m3|abbr=off}} of gas to RosUkrEnergo, a Swiss-based company in which Gazprom controls a 50% stake. Russia accused Ukrainian side of diverting gas from pipelines passing through Ukraine in 2009.{{cite web|url=http://mignews.com.ua/en/articles/28412.html|title=Ukraine to remain without gas because of RosUkrEnergo?|work=Mignews.com.ua|access-date=2 May 2016|date=9 June 2010|archive-date=2 February 2014|archive-url=https://web.archive.org/web/20140202122359/http://mignews.com.ua/en/articles/28412.html|url-status=dead}}{{cite web|url=http://minprom.ua/news/45115.html|title=Бойко обещает как-то удовлетворить Фирташа|date=12 June 2010|access-date=2 May 2016|archive-date=12 November 2020|archive-url=https://web.archive.org/web/20201112024330/https://www.minprom.ua/news/45115.html|url-status=live}} Several high-ranking Ukrainian officials stated the return "would not be quick".{{cite web|url=http://www.pravda.com.ua/rus/news/2010/06/11/5132262/|title=Бойко объяснил Фирташу, что газ он быстро не получит|work=Украинская правда|access-date=2 May 2016|archive-date=13 December 2018|archive-url=https://web.archive.org/web/20181213115157/https://www.pravda.com.ua/rus/news/2010/06/11/5132262/|url-status=live}}
Russia plans to completely abandon gas supplies to Europe through Ukraine after 2018.[http://tass.ru/en/infographics/7275 Gas Pipelines to Europe by 2018] {{Webarchive|url=https://web.archive.org/web/20190205044031/http://tass.ru/en/infographics/7275 |date=5 February 2019 }}. Russian News Agency "TASS".[http://tass.ru/en/economy/773794 Gas supplies to bypass Ukraine from 2019 — Gazprom] {{Webarchive|url=https://web.archive.org/web/20190205044046/http://tass.ru/en/economy/773794 |date=5 February 2019 }}. Russian News Agency "TASS". 2014-01-28. Gazprom has already substantially reduced the volumes of gas it transits across Ukraine, and expressed its intention of reducing the level further by means of transit diversification pipelines (Nord Stream, Turkish Stream, etc.).{{Cite news|url=https://www.oxfordenergy.org/publications/russian-gas-transit-across-ukraine-post-2019-pipeline-scenarios-gas-flow-consequences-and-regulatory-constraints/|title=Russian Gas Transit Across Ukraine Post-2019 – pipeline scenarios, gas flow consequences, and regulatory constraints|last1=Pirani|first1=Simon|date=February 2016|publisher=Oxford Institute for Energy Studies|last2=Yafimava|first2=Katja|publication-place=Oxford, United Kingdom|isbn=9781784670542|access-date=18 January 2017|archive-date=24 January 2021|archive-url=https://web.archive.org/web/20210124152843/https://www.oxfordenergy.org/publications/russian-gas-transit-across-ukraine-post-2019-pipeline-scenarios-gas-flow-consequences-and-regulatory-constraints/|url-status=live}}
In 2021 natural gas prices in the European Union have risen as high as 800% from the beginning of the year. The dispute is over the Nord Stream 2 Gas pipeline and other disputes such as Yamal-Europe pipeline that usually sends Russian gas to Western Europe was flowing in reverse.{{cite web|url = https://www.cnbc.com/2021/12/24/europes-missteps-stoke-gas-price-says-russia-as-fuel-flows-east.html|title = Europe's missteps stoke gas price, says Russia, as fuel flows east|website = CNBC|date = 24 December 2021|access-date = 27 December 2021|archive-date = 4 February 2022|archive-url = https://web.archive.org/web/20220204051738/https://www.cnbc.com/2021/12/24/europes-missteps-stoke-gas-price-says-russia-as-fuel-flows-east.html|url-status = live}}
On 1 January 2025, Ukraine terminated all Russian gas transit through its territory, after the contract between Gazprom and Naftohaz signed in 2019 expired.{{Cite web |last=Stambaugh |first=Alex |date=2025-01-01 |title=Ukraine ends supply of Russian gas to Europe {{!}} CNN Business |url=https://edition.cnn.com/2025/01/01/business/ukraine-russia-gas-eu-halted-hnk-intl/index.html |access-date=2025-01-01 |website=CNN |language=en}}{{Cite web |last1=Thorpe |first1=Nick |last2=Gozzi |first2=Laura |date=2025-01-01 |title=Ukraine ends transit of Russian gas to EU |url=https://www.bbc.com/news/articles/c4glyjx9m71o |access-date=2025-01-01 |website=BBC News |language=en-GB}}
Historical background
After the dissolution of the Soviet Union, oil import prices to Ukraine reached world market levels in 1993. However, gas import prices and transit fees remained below European levels for Russian exports to Europe through pipelines in Ukraine; these were set in bilateral negotiations.{{Cite book| title = Ukraine's Gas Sector| last = Pirani| first = Simon| publisher = Oxford Institute for Energy Studies| year = 2007| url = http://www.oxfordenergy.org/pdfs/NG21.pdf| access-date = 21 December 2008| isbn = 978-1-901795-63-9| url-status = dead| archive-url = https://web.archive.org/web/20080527194203/http://www.oxfordenergy.org/pdfs/NG21.pdf| archive-date = 27 May 2008}} At the same time Ukraine remained the main transit corridor for Russia's gas export. In 2004–2005, 80% of Russian gas exports to the European Union were made through Ukrainian territory.{{Cite book| title = Ukraine: Energy Policy Review 2006| publisher = IEA/OECD| year = 2006| url = http://www.iea.org/textbase/nppdf/free/2006/ukraine2006.pdf| pages = 204; 220| access-date = 21 December 2008| isbn = 92-64-10991-9| archive-date = 14 January 2009| archive-url = https://web.archive.org/web/20090114195333/http://www.iea.org/textbase/nppdf/free/2006/ukraine2006.pdf| url-status = live}}{{Cite web |title = Russia's Cutoff of Natural Gas to Ukraine: Context and Implications |last1 = Nichol |first1 = Jim |last2 = Woehrel |first2=Steven |last3 = Gelb |first3=Bernhard A. |publisher = CRS Report |date = 15 February 2006 |url = http://www.italy.usembassy.gov/pdf/other/RS22378.pdf |access-date = 21 December 2008 |id = RS22378 |archive-url = https://web.archive.org/web/20090114195333/http://www.italy.usembassy.gov/pdf/other/RS22378.pdf| archive-date = 14 January 2009}} Two-thirds of Gazprom's revenue comes from the sale of gas that crosses Ukraine.
{{Cite journal
|title=Where East Meets West: European Gas and Ukrainian Reality
|last=Chow
|first=Edward
|author2=Elkind, Jonathan
|journal=The Washington Quarterly
|publisher=Center for Strategic and International Studies
|issue=1
|pages=77–92
|volume=32
|year=2009
|url=http://www.twq.com/09winter/docs/09jan_ChowElkind.pdf
|access-date=10 January 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20090114195332/http://www.twq.com/09winter/docs/09jan_ChowElkind.pdf
|archive-date=14 January 2009
|doi=10.1080/01636600802552247
|s2cid=154391246
}}
Ukraine's annual gas consumption in 2004–2005 was around {{convert|80|e9m3|abbr=off}}. Around {{convert|20|e9m3|abbr=off}} were produced domestically, {{convert|36|e9m3|abbr=off}} were bought from Turkmenistan, and {{convert|17|e9m3|abbr=off}} were received from Russia in exchange for transport of Russian natural gas. The remaining {{convert|8|e9m3|abbr=off}} were purchased from Russia.{{cn|date=February 2023}}
The gas trading system differed substantially from the gas sale to the European Union. It caused problems in the form of large-scale deliveries of relatively cheap Russian gas causing an increase of energy-intensive industries. This supported Ukraine's status as one of the world's least energy-efficient countries and largest gas importers. There was an accumulation of Ukrainian debts and non-payment of the debts, unsanctioned diversion of gas and alleged theft from the transit system, and Russian pressure on Ukraine to hand over infrastructure in return for relief of debts accumulated over natural gas transactions.
Gas trading was conducted under a framework of bilateral intergovernmental agreements which provided for sales, transit volumes, gas prices, gas storage, and other issues such as the establishment of production joint ventures.{{Cite web|url=https://www.oxfordenergy.org/wpcms/wp-content/uploads/2010/11/NG21-UkrainesGasSector-SimonPirani-2007.pdf|title=UKRAINE'S GAS SECTOR|last=Pirani|first=Simon|date=June 2007|website=Oxford Institute for Energy Studies|access-date=27 August 2018|archive-date=23 April 2022|archive-url=https://web.archive.org/web/20220423191920/https://www.oxfordenergy.org/wpcms/wp-content/uploads/2010/11/NG21-UkrainesGasSector-SimonPirani-2007.pdf|url-status=live}} Commercial agreements were negotiated between the relevant companies within the guidelines and dictates of that framework and supplemented by annual agreements specifying exact prices and volumes for the following year. Gas sales prices and transit tariffs were determined in relationship to each other.
Commercial agreements and trade relations have been non-transparent. Trade has been conducted via intermediaries such as Itera, EuralTransGaz, and RosUkrEnergo. RosUkrEnergo's involvement in the Russian-Ukrainian gas trade has been controversial. There are allegations that the company is controlled by Semion Mogilevich and its beneficiaries include strategically placed officials in the Russian and Ukrainian gas industries and governmental structures related to the energy sector.According to former Ukrainian Prime Minister Yulia Timochenko, RosUkrEnergo is controlled by Semion Mogilevich.
{{Cite news
| title=The High Price of Gas: Transcript
| publisher=BBC
| date=6 November 2006
| url=http://news.bbc.co.uk/2/hi/programmes/panorama/6121508.stm
| access-date=21 January 2009
| archive-date=26 January 2007
| archive-url=https://web.archive.org/web/20070126005659/http://news.bbc.co.uk/2/hi/programmes/panorama/6121508.stm
| url-status=live
}}
Russian Prime Minister Vladimir Putin has made accusations that RosUkrEnergo is owned by a business ally of Ukraine's ex-president, Viktor Yushchenko.{{Cite news
|title = Deal Struck to End Gas Cutoff
|author = David Jolly
|work = The New York Times
|date = 8 January 2009
|url = https://www.nytimes.com/2009/01/09/world/europe/09gazprom.html?_r=1&partner=rss&emc=rss
|access-date = 21 January 2009
|archive-date = 1 March 2017
|archive-url = https://web.archive.org/web/20170301181657/http://www.nytimes.com/2009/01/09/world/europe/09gazprom.html?_r=1&partner=rss&emc=rss
|url-status = live
}} The Ukrainian investigation into RosUkrEnergo, during Yulia Tymoshenko's first term as prime minister, was closed after she was fired by Yushchenko in September 2005.
{{Cite news |title=Mogilevich Arrested With Arbat Boss |author1=Nikolaus von Twickel |author2=Max Delany |author3=Natalya Krainova |work=The New York Times|date=28 January 2008 |url=http://www.moscowtimes.ru/article/1010/42/303006.htm |access-date=21 January 2009 |archive-url=https://web.archive.org/web/20090123010921/http://www.moscowtimes.ru/article/1010/42/303006.htm |archive-date=23 January 2009 |url-status=dead}}
According to a contract between Gazprom and Naftogaz signed on 21 June 2002, payment for the transfer of Russian natural gas through the Ukrainian pipeline system had been made in exchange for no more than 15% of the gas pumped through Ukrainian territory to be taken in lieu of cash.{{Cite book |title=The Politics and Complexities of Crisis Management in Ukraine: A Historical Perspective |first1=Gregory |last1=Simons |first2=Mykola |last2=Kapitonenko |first3=Viktor |last3=Lavrenyuk |first4=Erik |last4=Vlaeminck |publisher=Routledge |year=2017 |isbn=9781317020523}}{{Cite web|url=https://siteresources.worldbank.org/INTECAREGTOPENERGY/34004325-1112025344408/20772948/ukrainegassector.pdf|title=Ukraine: Challenges Facing the Gas Sector|last=World Bank|date=September 2003|website=THE WORLD BANK – International Bank for Reconstruction and Development|access-date=27 August 2018|archive-date=6 January 2018|archive-url=https://web.archive.org/web/20180106221407/http://siteresources.worldbank.org/INTECAREGTOPENERGY/34004325-1112025344408/20772948/ukrainegassector.pdf|url-status=live}} This contract was supposed to be valid until the end of 2013.{{Cite book|title=The Baker & McKenzie International Arbitration Yearbook 2009|publisher=Wolters Kluwer Russia|year=2010|isbn=9785466005950|pages=361}} On 9 August 2004, the two companies signed an addendum to the contract, according to which the amount of gas given as a payment was calculated based on a tariff of US$1.09 for the transportation of 1,000 cubic meters of natural gas over a distance of {{convert|100|km|mi}}; the addendum further stated the price of the natural gas supplied to Ukraine was to be $50 per 1,000 cubic meters (approximately $1.40 per million Btu).
This price was constant notwithstanding the gas prices in the European markets.
{{Cite news| title=Expert: Ukraine vs Gazprom: the price of the problem| publisher=Regnum| date=10 January 2006| url=http://www.regnum.ru/english/569483.html| access-date=15 December 2008| url-status=dead| archive-url=https://web.archive.org/web/20090402145716/http://www.regnum.ru/english/569483.html| archive-date=2 April 2009}}
According to the addendum the price was not subject to change until the end of 2009.{{Cite news
|title = Україна перехоплює ініціативу в газовій війні. Читайте документи
|publisher = Українська правда
|date = 22 December 2005
|url = http://pravda.com.ua/news/2005/12/22/36935.htm
|access-date = 15 December 2008
|archive-date = 30 December 2005
|archive-url = https://web.archive.org/web/20051230072411/http://www.pravda.com.ua/news/2005/12/22/36935.htm
|url-status = dead
}} Gazprom argued that this addendum was only applicable provided that the two countries sign an annual intergovernmental protocol that has higher legal status for specifying the terms of gas transit.{{cite magazine
| script-title=ru:"Газпром": Цена газа для Украины может составить $500–700
| magazine=Korrespondent
| date=23 December 2005
| url=http://korrespondent.net/business/140219
| access-date=15 December 2008
| language=ru
| archive-date=8 January 2009
| archive-url=https://web.archive.org/web/20090108081909/http://korrespondent.net/business/140219
| url-status=live
}} According to Gazprom, the addendum becomes void as the annual protocol had not been signed for 2006 under the required terms.{{Cite news|title=Comment on Naftagaz Ukrainy's statement from 7 December 2005 |publisher=Gazprom |date=7 December 2005 |url=http://www.gazprom.com/eng/news/2005/12/18443.shtml |access-date=15 December 2008 |url-status=dead |archive-url=https://web.archive.org/web/20081012115241/http://www.gazprom.com/eng/news/2005/12/18443.shtml |archive-date=12 October 2008 }}
Russia claimed that Gazprom's subsidies to the Ukrainian economy amounted to billions of dollars.{{Cite news
|title = Обнародован текст стенограммы "газовых переговоров"
|publisher = From-UA
|date = 30 December 2005
|url = http://www.from-ua.com/news/43b5160a4b11f
|access-date = 15 December 2008
|archive-date = 17 December 2007
|archive-url = https://web.archive.org/web/20071217135441/http://www.from-ua.com/news/43b5160a4b11f/
|url-status = live
}}
According to the agreement of 2006, RosUkrEnergo was to receive no more than 20 percent of the total delivered gas, which in 2007 was {{convert|15|e9m3|abbr=off}} of {{convert|73|e9m3|abbr=off}}.{{Citation needed|date=July 2010}}
Disputes of the 1990s
Initial disputes concerning gas debts and non-payment appeared immediately after the collapse of the Soviet Union.{{Citation needed|date=July 2010}} As a result of disputes over non-payments by Ukraine, Russia suspended natural gas exports several times between 1992 and 1994. This led to the illicit diversion of Russian natural gas exports from transit pipelines by Ukrainian companies and institutions in September 1993 and November 1994.{{Citation needed|date=July 2010}} The diversion of gas was acknowledged by Ukraine, while accusations of other diversions were disputed.
In September 1993, at a summit conference in Massandra, Crimea, Russian President Boris Yeltsin offered to Ukrainian President Leonid Kravchuk to forgive Ukrainian debts in return for control of the Black Sea Fleet and Ukraine's nuclear arsenal.{{Cite book
|title = Economic Interdependence in Ukrainian-Russian Relations
|publisher = State University of New York SUNY Press
|year = 1999
|page = 78
|url = http://www.clas.ufl.edu/dean/danieri.html
|format = paperback
|access-date = 25 March 2014
|isbn = 0-79-14-4245-4
|url-status = dead
|archive-url = https://web.archive.org/web/20140325234952/http://www.clas.ufl.edu/dean/danieri.html
|archive-date = 25 March 2014}}{{Citation needed|date=July 2010}} After a strong negative reaction from politicians in Kyiv, the idea was abandoned. An intergovernmental agreement was drafted on gas issues, including a clause stating Ukraine would permit Gazprom to participate in the privatization of Ukrainian enterprises in gas and other sectors.{{Citation needed|date=July 2010}}
In March 1994, a Ukrainian deputy prime minister agreed with Russia that Gazprom could acquire a 51% stake in the pipeline system. In early 1995, Russia and Ukraine agreed to create a joint company, Gaztransit, to operate Ukraine's natural gas transit infrastructure in exchange for the cancellation of a substantial portion of Ukraine's debts to Russia. These agreements were never implemented, and in November 1995, the Verkhovna Rada, Ukraine's parliament, adopted a law prohibiting the privatization of oil and gas assets.
In 1998, Gazprom and Naftohaz made a contract under which Gazprom would pay for the transit of volumes of gas, which established a link between gas prices and transit tariffs,{{Citation needed|date=July 2010}} but this contract did not resolve the problem of already incurred gas debts. In 1998, Gazprom alleged that Ukraine had illegally diverted gas meant for export to other European countries and suspended exports of oil and electricity to Ukraine in 1999.{{Citation needed|date=July 2010}} Gazprom also claimed that Ukraine's gas debt had reached $2.8 billion.
In 2001, Deputy Prime Minister Oleh Dubyna acknowledged that in 2000 alone {{convert|8|-|7|e9m3|abbr=off}} of Russian natural gas had been diverted from export pipelines. The debt issue was settled on 4 October 2001, by the signing of an intergovernmental agreement on Additional Measures Regarding the Provision of Transit of Russian Natural Gas on the Territory of Ukraine (the 2001 Transit Agreement).
Dispute of 2005–2006
{{Main|2005–06 Russia–Ukraine gas dispute}}
{{More citations needed section|date=July 2010}}
File:Vladimir Putin 29 December 2005-1.jpg Vladimir Putin at a meeting on 29 December 2005, with Alexei Kudrin (Russian Finance Minister), Viktor Khristenko (Russian Energy Minister), Alexander Medvedev (Deputy Chairman of the Gazprom board), Ivan Plachkov (Ukrainian Energy Minister) and Oleksiy Ivchenko (CEO of Naftohaz), in which the dispute was discussed.]]
Beginning in 2004, amidst rising international gas prices, Gazprom insisted on gradually adapting gas prices charged. Until 2005 Ukraine was charged $50 per 1,000 c. New CEO of Naftohaz Oleksiy Ivchenko at March 2005 proposed transit price rise to $1.75—2 per 1000 cubic meters. In negotiations over gas prices for 2006 Gazprom insisted on a new price of $160 per 1,000 cubic meters.{{Cite web |date=2012-02-03 |title=Москва и Киев спорят, по чьей вине ЕС недополучает газ |url=https://www.bbc.com/russian/international/2012/02/120203_russia_eu_ukraine_gas |access-date=2023-10-04 |website=BBC News Русская служба |language=ru}} The Government of Ukraine agreed, with the stipulation that price increases were to be gradual,{{Cite book |last=Boadu-Ayeboafoh |first=Yaw |url=https://books.google.com/books?id=3W8P-3VgIgwC&dq=The+Government+of+Ukraine+price+increases+gradual+transit+cash+2005&pg=PA2 |title=Daily Graphic: Issue 149623 December 29 2005 |date=2005-12-29 |publisher=Graphic Communications Group |language=en}} in return for increased gas transit fees and changing the method of payment for transit from payment in kind to cash.Russian newspaper Kommersant daily, Tuesday, 29 March 2005{{Cite book |last=Hahn |first=Gordon M. |url=https://books.google.com/books?id=49BHDwAAQBAJ&dq=Ukraine+2005+gas+payment+cash&pg=PA160 |title=Ukraine Over the Edge: Russia, the West and the "New Cold War" |date=2018-02-08 |publisher=McFarland |isbn=978-1-4766-6901-4 |language=en}}
In May 2005, it was revealed that {{convert|7.8|e9m3|abbr=off}} of gas which Gazprom had deposited in Ukrainian storage reservoirs during the previous winter had not been made available to the company. It remained unclear if the gas was missing, had disappeared due to technical problems, or had been stolen.
{{Cite web
|title = The Russian-Ukrainian gas crisis of January 2006/2007
|last = Stern
|first = Jonathan
|publisher = The Oxford Institute for Energy Studies
|date = 16 January 2006
|url = http://www.oxfordenergy.org/pdfs/comment_0106.pdf
|access-date = 21 December 2008
|archive-url = https://web.archive.org/web/20090114195339/http://www.oxfordenergy.org/pdfs/comment_0106.pdf
|archive-date = 14 January 2009}}
This issue was resolved in July 2005 by agreement between Gazprom, Naftohaz and RosUkrEnergo, according to which Naftohaz received {{convert|2.55|e9m3|abbr=off}} of gas as partial settlement of the Russian gas transit over 2005 services and {{convert|5.25|e9m3|abbr=off}} was sold by Gazprom to RosUkrEnergo who has to receive it from Naftohaz.{{Cite news
|title = Gazprom and Naftogaz Ukrainy settle 7.8 bcm of Russian gas in Ukrainian UGS facilities problem
|publisher = RUSTOCKS.com
|date = 17 July 2005
|url = http://www.rustocks.com/index.phtml/pressreleases/0/46/7822?filter=2005
|access-date = 21 December 2008
|archive-date = 15 July 2011
|archive-url = https://web.archive.org/web/20110715214945/http://www.rustocks.com/index.phtml/pressreleases/0/46/7822?filter=2005
|url-status = live
}} However, the negotiations between Gazprom and Naftohaz over gas prices and a new gas supply agreement failed.{{Cite news
|title = Russia cuts off gas supply to Ukraine
|work = International Herald Tribune
|date = 1 January 2006
|url = http://www.iht.com/articles/2006/01/01/europe/web.0101gas.php
|access-date = 16 December 2008
|archive-date = 5 October 2008
|archive-url = https://web.archive.org/web/20081005172241/http://www.iht.com/articles/2006/01/01/europe/web.0101gas.php
|url-status = live
}} On 1 January 2006, Gazprom started reducing the pressure in the pipelines from Russia to Ukraine.
Although Russia cut off supplies only to Ukraine, a number of European countries saw a drop in their supplies as well.{{Cite news
|title = Ukraine 'stealing Europe's gas'
|publisher = BBC
|date = 2 January 2006
|url = http://news.bbc.co.uk/1/hi/world/europe/4574630.stm
|access-date = 16 December 2008
|archive-date = 4 January 2006
|archive-url = https://web.archive.org/web/20060104050255/http://news.bbc.co.uk/1/hi/world/europe/4574630.stm
|url-status = live
}} The European Commissioner for Energy Andris Piebalgs and several affected member states warned that blocking of gas deliveries was unacceptable.{{Cite web |title=Andris Piebalgs Energy CommissionerGlobal Energy Industry Russian |url=https://ec.europa.eu/commission/presscorner/detail/en/SPEECH_06_646 |access-date=2025-01-13 |website=European Commission - European Commission}} Pascal Lamy, director general of the World Trade Organization, expressed the opinion that all Post-Soviet states should pay market prices for their energy needs in order to improve the efficiency of their economies.
{{Cite news
| title=Putin's Kremlin Flexes Its Muscles With Gazprom
|work=Forbes | date=2 January 2006
| url=https://www.forbes.com/facesinthenews/2006/01/02/putin-gazprom-ukraine-cx_po_0102autofacescan02.html
| archive-url=https://web.archive.org/web/20060104102104/http://www.forbes.com/facesinthenews/2006/01/02/putin-gazprom-ukraine-cx_po_0102autofacescan02.html
| url-status=dead
| archive-date=4 January 2006
|quote=These countries should pay today's market prices for their energy to improve the efficiency of their economies
|access-date=13 January 2009
| first=Parmy
| last=Olson}}
The supply was restored on 4 January 2006, after the preliminary agreement between Ukraine and Gazprom was settled.{{Cite news
|title = Ukraine and Russia reach gas deal
|publisher = BBC
|date = 4 January 2006
|url = http://news.bbc.co.uk/1/hi/world/europe/4579648.stm
|access-date = 17 December 2008
|archive-date = 1 August 2017
|archive-url = https://web.archive.org/web/20170801011246/http://news.bbc.co.uk/1/hi/world/europe/4579648.stm
|url-status = live
}} A five-year contract was signed, although with prices set for only six months. According to the contract, the gas was sold not directly to Naftohaz, but to the intermediary Russian-Swiss company RosUkrEnergo. The price of natural gas sold by Gazprom to RosUkrEnergo rose to $230 per 1,000 cubic metres, which, after mixing it in a proportion of one-third Russian gas to two-thirds cheaper supplies from Central Asia, was resold to Ukraine at a price of $95 per 1,000 cubic metres.{{Cite news|title=Russia, Ukraine reach deal on gas pricing; EU relieved, oil price falls |work=Forbes |date=4 January 2006 |url=https://www.forbes.com/home/feeds/afx/2006/01/04/afx2426965.html |access-date=17 December 2008 |url-status=dead |archive-url=https://web.archive.org/web/20081006095454/http://www.forbes.com/home/feeds/afx/2006/01/04/afx2426965.html |archive-date=6 October 2008 }}
|title = Russia, Ukraine Agree on New Gas Prices
|newspaper = Kommersant
|date = 4 January 2006
|url = http://www.kommersant.com/page.asp?id=-7864
|access-date = 17 December 2008
|archive-date = 11 August 2007
|archive-url = https://web.archive.org/web/20070811014207/http://www.kommersant.com/page.asp?id=-7864
|url-status = live
}}
The parties agreed to raise the tariff for transit from US$1.09 to US$1.60 per 1,000 cubic meters per 100 km; this applied not only to the transit of Russian gas to Europe, but also Turkmen gas through Russia to Ukraine.{{Citation needed|date=December 2008}} On 11 January 2006, Presidents Vladimir Putin and Viktor Yushchenko confirmed that the conflict had been concluded.{{Citation needed|date=December 2008}}
Dispute of 2007–2008
File:Vladimir Putin 12 February 2008-3.jpg Vladimir Putin and President of Ukraine Viktor Yushchenko at a meeting of the Russian–Ukrainian Intergovernmental Commission at the Kremlin on 12 February 2008, at which the gas dispute was discussed.]]
On 2 October 2007, Gazprom threatened to cut off gas supplies to Ukraine because of unpaid debt of $1.3 billion.{{Cite news
|title = Gazprom may cut gas to Ukraine
|publisher = BBC
|date = 3 October 2007
|url = http://news.bbc.co.uk/2/hi/business/7024294.stm
|access-date = 17 December 2008
|archive-date = 20 December 2008
|archive-url = https://web.archive.org/web/20081220062401/http://news.bbc.co.uk/2/hi/business/7024294.stm
|url-status = live
}} This dispute appeared to be settled on 8 October 2007.{{Cite news
|title = Ukraine settles Russian gas row
|publisher = BBC
|date = 8 October 2007
|url = http://news.bbc.co.uk/2/hi/business/7034849.stm
|access-date = 17 December 2008
|archive-date = 20 December 2008
|archive-url = https://web.archive.org/web/20081220081250/http://news.bbc.co.uk/2/hi/business/7034849.stm
|url-status = live
}} On 5 January 2008, Gazprom warned Ukraine that it would reduce its gas supplies on 11 January if $1.5 billion in gas debts were not paid.{{Cite news
|title = Gazprom threatens Ukraine gas cut
|publisher = BBC
|date = 7 February 2008
|url = http://news.bbc.co.uk/2/hi/business/7233401.stm
|access-date = 17 December 2008
|archive-date = 18 December 2008
|archive-url = https://web.archive.org/web/20081218200134/http://news.bbc.co.uk/2/hi/business/7233401.stm
|url-status = live
}} On 12 February 2008, presidents Putin and Yushchenko announced an agreement on the gas issue.{{Cite news
|title = Russia, Ukraine deal averts gas crisis
|publisher = CNN
|date = 12 February 2008
|url = http://edition.cnn.com/2008/WORLD/europe/02/12/putin.russia/index.html
|access-date = 17 December 2008
|archive-date = 27 January 2009
|archive-url = https://web.archive.org/web/20090127055700/http://edition.cnn.com/2008/WORLD/europe/02/12/putin.russia/index.html
|url-status = live
}} Ukraine would begin paying off its debts for natural gas consumed in November–December 2007 and the price of $179.5 would be preserved in 2008.{{Cite news
|title = Ukraine, Russia, settle gas debt dispute
|agency = Ukrainian Independent Information Agency
|date = 12 February 2008
|url = http://www.unian.net/eng/news/news-235920.html
|access-date = 17 December 2008
|archive-date = 20 January 2009
|archive-url = https://web.archive.org/web/20090120094419/http://www.unian.net/eng/news/news-235920.html
|url-status = live
}} The presidents also decided to replace RosUkrEnergo and UkrGazEnergo with two new intermediaries, creating them as joint ventures of Gazprom and Naftogaz.{{Cite news
|title = Yushchenko called Tymoshenko's policy a policy of risky ventures and intrigues
|agency = Ukrainian Independent Information Agency
|date = 7 March 2008
|url = http://unian.net/eng/news/news-240060.html
|access-date = 17 December 2008
|archive-date = 29 January 2009
|archive-url = https://web.archive.org/web/20090129164602/http://unian.net/eng/news/news-240060.html
|url-status = live
}}
At the end of February 2008, Gazprom threatened to reduce the supply of natural gas to Ukraine beginning on 3 March 2008, unless the pre-payment for 2008 was paid.{{Cite news
|title = Gazprom restarts row with Ukraine
|publisher = BBC
|date = 26 February 2008
|url = http://news.bbc.co.uk/1/hi/business/7265377.stm
|access-date = 17 December 2008
|archive-date = 11 January 2009
|archive-url = https://web.archive.org/web/20090111164621/http://news.bbc.co.uk/1/hi/business/7265377.stm
|url-status = live
|title = Gazprom to reduce Ukraine's gas
|publisher = BBC
|date = 29 February 2008
|url = http://news.bbc.co.uk/1/hi/business/7271604.stm
|access-date = 17 December 2008
|archive-date = 26 December 2008
|archive-url = https://web.archive.org/web/20081226135024/http://news.bbc.co.uk/1/hi/business/7271604.stm
|url-status = live
}} The Ukrainian government said it paid for the natural gas which was consumed in 2007, but refused to pay the bill for 2008.{{Cite news
|title = Russia and Ukraine reach gas deal
|publisher = BBC
|date = 12 February 2008
|url = http://news.bbc.co.uk/1/hi/world/europe/7240191.stm
|access-date = 17 December 2008
|archive-date = 6 October 2022
|archive-url = https://web.archive.org/web/20221006233759/http://news.bbc.co.uk/1/hi/world/europe/7240191.stm
|url-status = live
}} A Gazprom spokesman claimed that the bill for {{convert|1.9|e9m3|abbr=off}} of gas deliveries to Ukraine valued around $600 million remained unpaid. Ukraine disagreed as that debt accumulated in recent months when Russia used its own gas to make up for a shortfall in less expensive Central Asian gas.
{{Cite news
|title = Gazprom cuts gas to Ukraine by 25%
|publisher = France 24
|date = 12 February 2008
|url = http://www.france24.com/en/20080303-gazprom-cuts-gas-ukraine-25-russia-ukraine&navi=MONDE
|access-date = 17 December 2008
|url-status = dead
|archive-url = https://web.archive.org/web/20090116082507/http://www.france24.com/en/20080303-gazprom-cuts-gas-ukraine-25-russia-ukraine%26navi%3DMONDE
|archive-date = 16 January 2009}}
On 3 March, Gazprom cut its shipments to Ukraine by 25% and an additional 25% the next day, claiming that the $1.5 billion debt still was not paid, although Ukrainian officials stated it had indeed been paid.{{Cite news
|title = Gazprom cuts Ukraine gas supply
|publisher = BBC
|date = 3 March 2008
|url = http://news.bbc.co.uk/2/hi/business/7274380.stm
|access-date = 17 December 2008
|archive-date = 19 December 2008
|archive-url = https://web.archive.org/web/20081219230537/http://news.bbc.co.uk/2/hi/business/7274380.stm
|url-status = live
}} Gas supplies were restored on 5 March after Gazprom CEO Alexei Miller and Naftohaz CEO Oleh Dubyna agreed during negotiations by phone on a settlement. On 6 March, the Ukrainian cabinet refused to execute the gas agreements made by presidents Yushchenko and Putin. The Ukrainian cabinet did not want to pay in advance for 2008, and it opposed the creation of a Naftohaz–Gazprom venture that would sell gas in Ukraine.{{Cite news| title =Tymoshenko refused to execute gas agreements of Presidents| agency =Ukrainian Independent Information Agency| date =6 March 2008| url =http://unian.net/eng/news/news-239931.html| access-date =17 December 2008| archive-date =20 January 2009| archive-url =https://web.archive.org/web/20090120092844/http://unian.net/eng/news/news-239931.html| url-status =live}} Prime Minister Yulia Tymoshenko stated that Ukraine did not need any additional joint ventures, and as of 1 March 2008, UkrGazEnergo is no longer operating in Ukraine's domestic gas market.{{Cite news|title=Yulia Tymoshenko is satisfied that Ukraine 'withstood the confrontation' over gas |publisher=Personal web site of Yulia Tymoshenko |date=5 March 2008 |url=http://www.tymoshenko.com.ua/eng/news/first/5332/ |access-date=17 December 2008 }}{{dead link|date=May 2016|bot=medic}}{{cbignore|bot=medic}}
Dispute of 2008–2009
{{Main|2009 Russia–Ukraine gas dispute}}
File:Vladimir Putin 12 February 2008-2.jpg
The gas crisis of 2009 began with a failure to reach an agreement on gas prices and supplies for 2009. Ukraine owed a debt of $2.4 billion to Gazprom for gas already consumed, and Gazprom requested payment before the commencement of a new supply contract.
{{Cite news
|title=Gazprom, Naftogaz sign long-term cooperation deal
|publisher=Ukrainian News
|date=20 November 2008
|url=http://www.ukranews.com/eng/article/164193.html
|access-date=17 December 2008
|url-status=dead
|archive-url=https://web.archive.org/web/20090108160805/http://www.ukranews.com/eng/article/164193.html
|archive-date=8 January 2009
}}
In December 2008, despite Ukraine's repayment of more than $1 billion of its debt, Gazprom maintained its position, intending to cut the supply of natural gas to Ukraine on 1 January 2009, if Ukraine did not fully repay the remainder of $1.67 billion debt in natural gas supplies and an additional $450 million in fines levied by Gazprom.{{Cite news
|title = Gazprom rejects Ukraine's claim
|newspaper = Upstream Online
|date = 23 December 2008
|url = http://www.upstreamonline.com/live/article168740.ece
|access-date = 25 December 2008
|archive-date = 9 February 2009
|archive-url = https://web.archive.org/web/20090209213057/http://www.upstreamonline.com/live/article168740.ece
|url-status = live
{{Cite news
| title = Kyiv told to pay up or gas is off
| newspaper=Upstream Online
| date =24 December 2008
| url= http://www.upstreamonline.com/live/article168753.ece
| access-date =25 December 2008}}
On 30 December, Naftohaz paid $1.522 billion,
{{cite news
| title = Ukraine says repaid gas debt, Russia says not yet
| author=Dmitry Zhdannikov
| work=Reuters
| date =30 December 2008
| url= http://uk.reuters.com/article/governmentFilingsNews/idUKLU15776220081230?sp=true
| archive-url= https://archive.today/20130104164341/http://uk.reuters.com/article/governmentFilingsNews/idUKLU15776220081230?sp=true
| url-status= dead
| archive-date= 4 January 2013
| access-date =31 December 2008}}
of the outstanding debt, but the two parties were not able to agree on the price for 2009. Ukraine proposed a price of $201, and later increased their proposed price to $235, while Gazprom demanded $250 per 1,000 cubic meters.{{cite news
|last=Osborn
|first=Andrew
|url=https://www.wsj.com/articles/SB123080339916446769
|title=Russia Firm Cuts Gas to Ukraine, But EU Hit Is Cushioned
|work=The Wall Street Journal
|date=2 January 2009
|access-date=7 January 2009
|archive-date=9 March 2016
|archive-url=https://web.archive.org/web/20160309001011/http://www.wsj.com/articles/SB123080339916446769
|url-status=live
}} Negotiations between Gazprom and Naftohaz were interrupted on 31 December.{{cite news |title=Russia: gas talks fail, will cut off Ukraine |author1=Pavel Polityuk |author2=Sabina Zawadzki |author3=Dmitry Zhdannikov |work=Reuters |date=31 December 2008 |url=http://uk.reuters.com/article/governmentFilingsNews/idUKLV43959420081231?sp=true |access-date=31 December 2008 |archive-date=11 January 2009 |archive-url=https://web.archive.org/web/20090111092108/http://uk.reuters.com/article/governmentFilingsNews/idUKLV43959420081231?sp=true |url-status=dead }}
On 1 January 2009, exports to Ukraine of 90 million cubic meters of natural gas per day were halted completely at 10:00 MSK. Exports intended for transhipment to the EU continued at a volume of 300 million cubic meters per day.{{cn|date=February 2023}} President Yushchenko requested that the European Union become involved in the settlement of this dispute in a letter to the President of the European Commission Jose Manuel Barroso.{{Cite news
|title = Ukraine asks EU to take part in settlement of Ukrainian-Russian gas dispute
|publisher = Interfax Ukraine
|date = 1 January 2009
|url = http://www.interfax.com.ua/eng/main/4213/
|access-date = 1 January 2009
|archive-date = 16 July 2011
|archive-url = https://web.archive.org/web/20110716060901/http://www.interfax.com.ua/eng/main/4213/
|url-status = live
}} A Ukrainian delegation including Fuel and Energy Minister Yuriy Prodan, Deputy Foreign Minister Konstantin Yeliseyev, the President's Representative for Energy Issues Bohdan Sokolovsky, and Deputy Head of Naftohaz Vadym Chuprun visited the Czech Republic as the first stop on a tour of a number EU member states to hold consultations on the gas crisis.
{{Cite news
|title = Ukrainian Delegation Meets Czech Prime Minister Mirek Topolánek in Prague
|publisher = The Czech Presidency of the EU Council
|date = 2 January 2009
|url = http://www.eu2009.cz/scripts/file.php?id=6066&down=yes
|access-date = 4 January 2009
|url-status = dead
|archive-url = https://web.archive.org/web/20090127031909/http://www.eu2009.cz/scripts/file.php?id=6066&down=yes
|archive-date = 27 January 2009}}
|title = Ukrainian envoys go to EU for gas consultations
|agency = Ukrinform
|date = 2 January 2009
|url = http://www.ukrinform.ua/eng/order/?id=150308
|access-date = 2 January 2009
|archive-date = 24 May 2011
|archive-url = https://web.archive.org/web/20110524123257/http://www.ukrinform.ua/eng/order/?id=150308
|url-status = live
}}
On 2 January 2009, Hungary, Romania, and Poland reported that pressure in their pipelines had dropped. Bulgaria also reported that their natural gas supply was dropping, affecting the shipment of natural gas to Turkey, Greece, and Macedonia. Furthermore, the United Kingdom Government announced that it was preparing to enter its gas reserves after gas pressure had dropped from the continent.{{Cite news
|title = Russia looks to re-route EU gas
|publisher = BBC
|date = 2 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7808937.stm
|access-date = 2 January 2009
|archive-date = 2 January 2009
|archive-url = https://web.archive.org/web/20090102200935/http://news.bbc.co.uk/2/hi/europe/7808937.stm
|url-status = live
|title = Ukraine warns EU of gas 'problem'
|publisher = BBC
|date = 3 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7809450.stm
|access-date = 3 January 2009
|archive-date = 4 January 2009
|archive-url = https://web.archive.org/web/20090104083746/http://news.bbc.co.uk/2/hi/europe/7809450.stm
|url-status = live
}}
The crisis provoked strong political reactions in the region.{{Cite journal
|title = Russian Energy Strategy and Transit Routes in Eastern Europe
|first = Aleksander
|last = Kotlowski
|journal = Oil, Gas & Energy Law Intelligence
|publisher = MARIS
|volume = 7
|issue = 2. Special issue on EU – Russia relations
|date = 30 May 2009
|url = http://www.ogel.org/article.asp?key=2889
|access-date = 7 June 2009
|issn = 1875-418X
|archive-date = 27 July 2011
|archive-url = https://web.archive.org/web/20110727142125/http://www.ogel.org/article.asp?key=2889
|url-status = live
}} On 4 January 2009, both RosUkrEnergo and Gazprom filed lawsuits against Ukraine and Naftohaz respectively with the Stockholm Tribunal of the Arbitration Institute.
{{Cite news
|title=RosUkrEnergo Sues Ukraine For Failure To Meet Commitments on Gas Transit at Stockholm Tribunal
|agency=Ukrainian News Agency
|date=4 January 2009
|url=http://www.ukranews.com/eng/article/172463.html
|archive-url=https://archive.today/20130105065444/http://www.ukranews.com/eng/article/172463.html
|url-status=dead
|archive-date=5 January 2013
|access-date=4 January 2009
}}
{{Cite news
|title = Gazprom To Sue Naftohaz Ukrainy For Ensuring Smooth Gas Transit
|publisher = Ukrainian News Agency
|date = 4 January 2009
|url = http://www.ukranews.com/eng/article/172475.html
|archive-url = https://web.archive.org/web/20120314012558/http://www.ukranews.com/eng/article/172475.html
|url-status = dead
|archive-date = 14 March 2012
|access-date = 4 January 2009
}}
Ukraine also filed lawsuits with the tribunal.{{cite news |title=Russia gas disruption spreads to Czechs, Turks |author1=Yuri Kulikov |author2=Tanya Mosolova |work=Reuters |date=4 January 2009 |url=https://www.reuters.com/article/worldNews/idUSTRE4BN32B20090104?pageNumber=1&virtualBrandChannel=0&sp=true |access-date=4 January 2009 |archive-date=21 November 2020 |archive-url=https://web.archive.org/web/20201121180542/https://www.reuters.com/article/worldNews/idUSTRE4BN32B20090104?pageNumber=1&virtualBrandChannel=0&sp=true |url-status=live }} According to Naftohaz, RosUkrEnergo owes the company $40 million for services in transportation of natural gas.
{{cite news
| title = Naftohaz Ukraine: Intermediary RosUkrEnergo owes $40 million for gas transit
| newspaper=Kyiv Post
| date =3 January 2009
| url= http://www.kyivpost.com/nation/32638
| access-date =3 January 2009}}
On 5 January 2009, Kyiv's economic court banned Naftohaz from transshipping Russian natural gas in 2009 at the price of $1.60 per 1,600 cubic meters per 100 kilometers. The court declared contracts made by Naftohaz for the transit of natural gas through Ukraine void because the contracts were signed by Naftohaz without authorization from the Cabinet of Ministers of Ukraine.
{{Cite news
| title = Kyiv court bans Naftogaz from transiting Russian gas at $1.60 per 1,600 cubic meters per 100 kilometers
| work=Kyiv Post
| date =6 January 2009
| url= http://www.kyivpost.com/business/32682
| access-date =6 January 2009}}
On 30 March 2010, the Stockholm tribunal ordered Naftohaz to pay RosUkrEnergo around $200 million as a penalty for various breaches of supply, transit, and storage contracts. On 8 June 2010, the tribunal ordered Naftohaz to return {{convert|11|e9m3|abbr=off}} of natural gas to RosUkrEnergo. The tribunal further ordered that RosUkrEnergo would receive from Naftohaz a further {{convert|1.1|e9m3|abbr=off}} of natural gas in lieu of RosUkrEnergo's damages for breach of contract.[http://www.kyivpost.com/news/business/bus_general/detail/69022/ Stockholm court obliges Naftogaz to return 12.1 billion cubic meters of gas to RosUkrEnergo] {{Webarchive|url=https://web.archive.org/web/20101026020732/http://www.kyivpost.com/news/business/bus_general/detail/69022/ |date=26 October 2010 }}, Kyiv Post (8 June 2010)[http://www.kyivpost.com/news/business/bus_general/detail/70879/ "BYuT publishes documents on sales of disputed 11 billion cubic meters of gas by Gazprom to Naftogaz"] {{Webarchive|url=https://web.archive.org/web/20110129152010/http://www.kyivpost.com/news/business/bus_general/detail/70879/ |date=29 January 2011 }}, Kyiv Post (25 June 2010)
On 5 January 2009 Russian Prime Minister Vladimir Putin instructed Gazprom CEO Alexei Miller to reduce natural gas exports to Europe via transshipment through Ukraine by quantities equivalent to the amounts of gas which Ukraine had allegedly diverted from the pipelines since deliveries ended on 1 January 2009.{{cite news
|title = Russia to cut Ukraine gas supply
|work = BBC News
|date = 5 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7812368.stm
|access-date = 5 January 2009
|archive-date = 17 January 2009
|archive-url = https://web.archive.org/web/20090117130639/http://news.bbc.co.uk/2/hi/europe/7812368.stm
|url-status = live
}} On 7 January, all Russian natural gas exports via Ukraine were halted amid accusations between the two parties.{{cite news| title = Russia says will restore gas when monitors in place| work = Reuters| date = 8 January 2009| url = https://www.reuters.com/article/worldNews/idUSTRE5062Q520090108| access-date = 8 January 2009| archive-date = 12 January 2009| archive-url = https://web.archive.org/web/20090112001503/https://www.reuters.com/article/worldNews/idUSTRE5062Q520090108| url-status = live}}
{{Cite news
|title=Kremlin wants Ukraine to stop diverting Russian gas, reopen transit
|agency=Interfax-Ukraine
|date=7 January 2009
|url=http://www.interfax.com.ua/eng/main/4433/
|access-date=7 January 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20110716060940/http://www.interfax.com.ua/eng/main/4433/
|archive-date=16 July 2011
}} Several countries reported a major fall in supplies of Russian gas starting on 7 January; Bulgaria, Moldova, and Slovakia were among the most affected by these supply drops.{{cite news
|title = 18 countries affected by Russia–Ukraine gas row
|work = Reuters
|date = 7 January 2009
|url = https://www.reuters.com/article/topNews/idUKTRE5062Q520090107?sp=true
|access-date = 7 January 2009
|archive-date = 21 November 2020
|archive-url = https://web.archive.org/web/20201121212630/https://www.reuters.com/article/topNews/idUKTRE5062Q520090107?sp=true
|url-status = live
|title = Countries affected by Russia–Ukraine gas row
|work = Reuters
|date = 6 January 2009
|url = https://www.reuters.com/article/worldNews/idUSTRE50531Q20090106?pageNumber=1&virtualBrandChannel=0
|access-date = 6 January 2009
|archive-date = 18 January 2009
|archive-url = https://web.archive.org/web/20090118105635/http://www.reuters.com/article/worldNews/idUSTRE50531Q20090106?pageNumber=1&virtualBrandChannel=0
|url-status = live
|title = European gas supplies disrupted
|publisher = BBC
|date = 6 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7812860.stm
|access-date = 6 January 2009
|archive-date = 6 January 2009
|archive-url = https://web.archive.org/web/20090106094950/http://news.bbc.co.uk/2/hi/europe/7812860.stm
|url-status = live
}}
Talks between Naftohaz and Gazprom resumed overnight on 8 January 2009.
{{Cite news
|title=Talks held between Gazprom, Naftogaz CEOs
|agency=Interfax-Ukraine
|date=8 January 2009
|url=http://www.interfax.com.ua/eng/main/4462/
|access-date=8 January 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20110716061020/http://www.interfax.com.ua/eng/main/4462/
|archive-date=16 July 2011
}}
{{Cite news
|title=Heads of Gazprom and Naftogaz plan to resume talks on return from Brussels
|agency=Interfax-Ukraine
|date=8 January 2009
|url=http://www.interfax.com.ua/eng/main/4513/
|access-date=8 January 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20110716061106/http://www.interfax.com.ua/eng/main/4513/
|archive-date=16 July 2011
}}
Ukraine agreed to guarantee the unfettered transport of natural gas on the condition that Gazprom would guarantee and supply technical gas for Ukraine's gas transit system to function; this was denied by Russia.{{cite news
|title = Ukraine to pump gas to EU if Russia supports transit
|work = Reuters
|date = 8 January 2009
|url = https://www.reuters.com/article/worldNews/idUSTRE5074JI20090108
|access-date = 8 January 2009
|archive-date = 18 January 2009
|archive-url = https://web.archive.org/web/20090118073745/https://www.reuters.com/article/worldNews/idUSTRE5074JI20090108
|url-status = live
}} The supplies to Europe were not restored although the European Union, Ukraine, and Russia agreed to the deployment of an international monitoring group to the gas metering stations between Russia and Ukraine.
{{Cite news
|title=EU technical experts to monitor gas flows from Russia – agreement between Ukrainian premier and European commission president
|agency=Interfax-Ukraine
|date=7 January 2009
|url=http://www.interfax.com.ua/eng/main/4440/
|access-date=7 January 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20110716061152/http://www.interfax.com.ua/eng/main/4440/
|archive-date=16 July 2011
}}
{{cite news
| title = EU seeks to clear gas monitoring deal with Russia
| author=Denis Dyomkin Yuri Kulikov
| work=Reuters
| date =10 January 2009
| url= http://uk.reuters.com/article/topNews/idUKTRE5063OV20090110?sp=true
| archive-url= https://archive.today/20130104125856/http://uk.reuters.com/article/topNews/idUKTRE5063OV20090110?sp=true
| url-status= dead
| archive-date= 4 January 2013
| access-date = 10 January 2009}}
|title = Russia 'to resume gas supplies'
|work = BBC News
|date = 12 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7824510.stm
|access-date = 12 January 2009
|archive-date = 14 January 2009
|archive-url = https://web.archive.org/web/20090114122025/http://news.bbc.co.uk/2/hi/europe/7824510.stm
|url-status = live
}}{{cite news |title=Worried EU states to fly to Moscow over gas row |author1=Dmitry Zhdannikov |author2=Ron Popeski |work=Reuters |date=13 January 2009 |url=https://www.reuters.com/article/worldNews/idUSTRE5062Q520090113?pageNumber=1&virtualBrandChannel=0&sp=true |access-date=13 January 2009 |archive-date=22 November 2020 |archive-url=https://web.archive.org/web/20201122043244/https://www.reuters.com/article/worldNews/idUSTRE5062Q520090113?pageNumber=1&virtualBrandChannel=0&sp=true |url-status=live }} Naftohaz blocked the transit of gas, blaming a lack of pressure in the pipeline system and saying the design of the Soviet-built pipeline meant it could not ship gas entering through the Sudzha metering station governing gas leaving through the Orlivka metering station without cutting off the Donetsk region, Luhansk region, and portions of the Dnipropetrovsk region of Ukraine.{{cite news
|title = Ukraine blocks gas after Russia turns taps on
|author = Bruno Waterfield
|newspaper = The Telegraph
|date = 15 January 2009
|url = https://www.telegraph.co.uk/news/worldnews/europe/ukraine/4227364/Ukraine-blocks-gas-after-Russia-turns-taps-on.html
|access-date = 23 February 2009
|location = London
|archive-date = 23 March 2009
|archive-url = https://web.archive.org/web/20090323191121/http://www.telegraph.co.uk/news/worldnews/europe/ukraine/4227364/Ukraine-blocks-gas-after-Russia-turns-taps-on.html
|url-status = live
|title = Naftogaz acknowledges it couldn't take Russian gas
|agency = Interfax-Ukraine
|date = 13 January 2009
|url = http://www.interfax.com.ua/eng/main/4987/
|access-date = 13 January 2009
|archive-date = 16 July 2011
|archive-url = https://web.archive.org/web/20110716063207/http://www.interfax.com.ua/eng/main/4987/
|url-status = live
| title = EU warns of legal action over gas
| work = BBC News
| date = 14 January 2009
| url = http://news.bbc.co.uk/2/hi/europe/7827829.stm
| access-date = 14 January 2009
| archive-date = 18 January 2009
| archive-url = https://web.archive.org/web/20090118225047/http://news.bbc.co.uk/2/hi/europe/7827829.stm
| url-status = live
}} Naftohaz suggested a technically more feasible alternative through the Valuyki and Pisarevka metering stations but was refused.{{Cite news
|title = Naftogaz offers different transit route to Gazprom – source in Naftogaz
|agency = Interfax-Ukraine
|date = 14 January 2009
|url = http://www.interfax.com.ua/eng/main/5017/
|access-date = 14 January 2009
|archive-date = 16 July 2011
|archive-url = https://web.archive.org/web/20110716061248/http://www.interfax.com.ua/eng/main/5017/
|url-status = live
|title = EU premiers plead with Ukraine and Russia for gas
|work = Reuters
|date = 13 January 2009
|url = https://www.reuters.com/article/worldNews/idUSTRE5062Q520090114?pageNumber=2&virtualBrandChannel=0
|access-date = 14 January 2009
|archive-date = 19 January 2009
|archive-url = https://web.archive.org/web/20090119052623/https://www.reuters.com/article/worldNews/idUSTRE5062Q520090114?pageNumber=2&virtualBrandChannel=0
|url-status = live
{{cite news
| title = Gazprom's transit request on Jan 16 in agreement with Ukrainian dispatchers' proposals
| newspaper=Kyiv Post
| date =16 January 2009
| url= http://www.kyivpost.com/world/33454
| access-date = 23 February 2009}}
File:Rus Ukr gasdeal 2009.jpg summit on 19 January 2009, by Oleh Dubyna and Alexei Miller (with Yulia Tymoshenko and Vladimir Putin are standing in the background)]]
On 17 January 2009, Russia held an international gas conference in Moscow. The EU was represented by the Presidency, the Czech Minister of Industry and Trade Martin Říman, and the EU Energy Commissioner Andris Piebalgs, so that the European Union could speak with one voice.
{{Cite press release
|title = One voice for the EU and Gas first: Member States support Czech Presidency and Commission
|publisher = The Czech Presidency of the EU Council
|date = 15 January 2009
|url = http://www.eu2009.cz/en/news-and-documents/news/one-voice-for-the-eu-and-gas-first:-member-states-support-czech-presidency-and-commission-6197/
|access-date = 16 January 2009
|url-status = dead
|archive-url = https://web.archive.org/web/20090119105109/http://www.eu2009.cz/en/news-and-documents/news/one-voice-for-the-eu-and-gas-first%3A-member-states-support-czech-presidency-and-commission-6197/
|archive-date = 19 January 2009}}
| title = EU to attend gas summit in Moscow
| work = BBC News
| date = 15 January 2009
| url = http://news.bbc.co.uk/2/hi/europe/7830517.stm
| access-date = 15 January 2009
| archive-date = 18 January 2009
| archive-url = https://web.archive.org/web/20090118000354/http://news.bbc.co.uk/2/hi/europe/7830517.stm
| url-status = live
{{cite news
| title = Russian and Ukrainian PMs to hold talks on gas row
| work=Reuters
| date =15 January 2009
| url= http://uk.reuters.com/article/governmentFilingsNews/idUKLE11812920090115?sp=true
| archive-url= https://archive.today/20130201081816/http://uk.reuters.com/article/governmentFilingsNews/idUKLE11812920090115?sp=true
| url-status= dead
| archive-date= 1 February 2013
| access-date = 15 January 2009
| first=Oleg
| last=Shchedrov}}
Ukraine was represented by the Prime Minister Yulia Tymoshenko.{{cite news
|title = Moscow gas crisis talks go into night, no deal yet
|author1 = Oleg Shchedrov
|author2 = Simon Shuster
|work = Reuters
|date = 17 January 2009
|url = https://www.reuters.com/article/companyNewsAndPR/idUSLG68736920090117?sp=true
|access-date = 17 January 2009
|archive-date = 22 November 2020
|archive-url = https://web.archive.org/web/20201122072834/https://www.reuters.com/article/companyNewsAndPR/idUSLG68736920090117?sp=true
|url-status = live
}} The conference did not achieve any solution to the crisis, and the negotiations continued bilaterally between Prime Ministers Putin and Tymoshenko. Early on 18 January 2009, after five hours of talks, Putin and Tymoshenko reached a deal to restore gas supplies to Europe and Ukraine.
{{cite news
| title = Russia, Ukraine PMs agree to restore gas supplies: reports
| work=Reuters
| date =17 January 2009
| url = https://www.reuters.com/article/worldNews/idUSTRE5062Q520090117
| access-date = 17 January 2009}}
| title = 'Gas to flow' after Moscow deal
| work = BBC News
| date = 18 January 2009
| url = http://news.bbc.co.uk/2/hi/europe/7834796.stm
| access-date = 18 January 2009
| archive-date = 17 January 2009
| archive-url = https://web.archive.org/web/20090117202237/http://news.bbc.co.uk/2/hi/europe/7834796.stm
| url-status = live
}} Both parties agreed that Ukraine would start paying European prices for its natural gas, less a 20% discount for 2009, and that Ukraine would pay the full European market price starting in 2010. In return for the discounts for 2009, Ukraine agreed to keep its transit fee for Russian gas unchanged in 2009. The two sides also agreed not to use intermediaries.{{cite news
| title = EU wary as Russia and Ukraine reach gas deal
| work = Reuters
| date = 18 January 2009
| url = https://www.reuters.com/article/newsOne/idUSTRE5062Q520090118?pageNumber=1&virtualBrandChannel=0
| access-date = 18 January 2009
| archive-date = 22 November 2020
| archive-url = https://web.archive.org/web/20201122181314/https://www.reuters.com/article/newsOne/idUSTRE5062Q520090118?pageNumber=1&virtualBrandChannel=0
| url-status = live
}} On 19 January 2009, Gazprom CEO Alexei Miller and the head of Naftohaz Oleh Dubyna signed an agreement on natural gas supply to Ukraine for the period of 2009–2019.
{{Cite news
|title=Ukraine, Russia Agree On Gas Supplies To Ukraine For 2009–2019
|agency=Ukrainian News Agency
|date=19 January 2009
|url=http://www.ukranews.com/eng/article/174732.html
|archive-url=https://archive.today/20130105053149/http://www.ukranews.com/eng/article/174732.html
|url-status=dead
|archive-date=5 January 2013
|access-date=19 January 2009
}}
|title = Russia and Ukraine sign 10-year gas supply deal
|author1 = Oleg Shchedrov
|author2 = Ron Popeski
|work = Reuters
|date = 19 January 2009
|url = https://www.reuters.com/article/worldNews/idUSTRE5062Q520090119?pageNumber=1&virtualBrandChannel=0&sp=true
|access-date = 19 January 2009
|archive-date = 22 November 2020
|archive-url = https://web.archive.org/web/20201122075536/https://www.reuters.com/article/worldNews/idUSTRE5062Q520090119?pageNumber=1&virtualBrandChannel=0&sp=true
|url-status = live
| title = Russia and Ukraine sign gas deal
| work = BBC News
| date = 19 January 2009
| url = http://news.bbc.co.uk/2/hi/europe/7836736.stm
| access-date = 19 January 2009
| archive-date = 22 January 2009
| archive-url = https://web.archive.org/web/20090122082738/http://news.bbc.co.uk/2/hi/europe/7836736.stm
| url-status = live
}} Gas supplies restarted on 20 January 2009, and were fully restored on 21 January.{{cite news
| title = Russian gas reaches Europe again
| work = Reuters
| date = 21 January 2009
| url = http://uk.reuters.com/article/topNews/idUKTRE5091KI20090121?sp=true
| access-date = 24 February 2009
| archive-date = 3 October 2018
| archive-url = https://web.archive.org/web/20181003114514/https://uk.reuters.com/article/uk-russia-ukraine-gas/russian-gas-reaches-europe-again-idUKTRE5091KI20090121?sp=true
| url-status = dead
}}
According to the EU Commission and Presidency, the Russia–Ukraine gas disputes caused irreparable and irreversible damage to customers' confidence in Russia and Ukraine, causing Russia and Ukraine to no longer be regarded as reliable partners. According to reports, due to the gas crisis Gazprom lost more than $1.1 billion in revenue for the unsupplied gas. Ukraine also incurred losses as a result of the temporary closure of its steel and chemical industries due to the lack of gas. Ukraine also lost $100 million of potential revenue in transit fees from natural gas.{{cite news
| title = Russia–Ukraine 'Gas War' Damages Both Economies
| url = http://www.worldpress.org/Europe/3307.cfm
| author = Andrei Nesterov
| publisher = Worldpress.org
| date = 20 February 2009
| access-date = 24 February 2009
| archive-date = 23 February 2009
| archive-url = https://web.archive.org/web/20090223180409/http://www.worldpress.org/Europe/3307.cfm
| url-status = live
}}
There were also accusations of illegal diversion of natural gas by Ukraine; however, these accusations were not confirmed.{{Cite news
|title = Ukraine did not steal gas – Piebalgs
|agency = Ukrainian Independent Information Agency
|date = 21 January 2009
|url = http://unian.net/eng/news/news-296245.html
|access-date = 23 February 2009
|archive-date = 2 March 2009
|archive-url = https://web.archive.org/web/20090302025306/http://unian.net/eng/news/news-296245.html
|url-status = live
}} The issue of technical gas used to fuel compressor stations and to maintain gas pressure in the pipeline network remained unclear.{{cite news
|title = Ukraine accused of stealing gas
|work = BBC News
|date = 2 January 2009
|url = http://news.bbc.co.uk/2/hi/europe/7808465.stm
|access-date = 2 January 2009
|archive-date = 2 January 2009
|archive-url = https://web.archive.org/web/20090102174625/http://news.bbc.co.uk/2/hi/europe/7808465.stm
|url-status = live
{{cite news
| title = Rada commission confirms Ukraine was not stealing Russia gas
| newspaper=Kyiv Post
| date =6 February 2009
| url= http://www.kyivpost.com/nation/35035
| access-date =23 February 2009}}
Some sources asserted that the responsibility for providing the technical gas falls to Ukraine,{{Cite news
|title = Russia, Ukraine Envoys in Brussels For Gas Talks With EU
|publisher = RFE/RL
|date = 8 January 2009
|url = http://www.globalsecurity.org/military/library/news/2009/01/mil-090108-rferl01.htm
|access-date = 10 January 2009
|archive-date = 13 January 2009
|archive-url = https://web.archive.org/web/20090113214355/http://www.globalsecurity.org/military/library/news/2009/01/mil-090108-rferl01.htm
|url-status = live
}} while others say that this is the responsibility of Gazprom.
{{Cite news
| title = Russia accuses Ukraine of siphoning gas to Balkans
|work=International Herald Tribune | date =2 January 2009
| url= http://www.iht.com/articles/ap/2009/01/02/europe/EU-Russia-Ukraine-Gas.php
| access-date =10 January 2009}}
There were several theories as to alleged political motives behind the gas disputes, including Russia exerting pressure on Ukrainian politicians or attempting to subvert EU and NATO expansions to include Ukraine.
{{cite news
| title = Russia–Ukraine feud goes beyond gas pipes
| newspaper=The International Herald Tribune
| date =14 January 2009
| url= http://iht.com/articles/2009/01/14/europe/gazprom.2-407519.php?page=2
| access-date = 14 January 2009}}
|title = Comment: Gazprom is not a market player, it's a political weapon
|author = Roger Boyes
|newspaper = The Times
|date = 7 January 2009
|url = http://www.timesonline.co.uk/tol/news/world/europe/article5458245.ece
|access-date = 8 January 2009
|location = London
|archive-date = 17 May 2020
|archive-url = https://web.archive.org/web/20200517224625/https://www.thetimes.co.uk/
|url-status = dead
{{Cite news
|title = Comment: Aftermath of the Energy Crisis – Russia Still Dominant in the Market!
|author = Hasan Selim Ozertem
|publisher = Journal of Turkish Weekly
|date = 13 February 2009
|url = http://www.turkishweekly.net/columnist/3099/aftermath-of-the-energy-crisis-russia-still-dominant-in-the-market-.html
|access-date = 13 February 2009
|url-status = dead
|archive-url = https://web.archive.org/web/20110615004011/http://www.turkishweekly.net/columnist/3099/aftermath-of-the-energy-crisis-russia-still-dominant-in-the-market-.html
|archive-date = 15 June 2011}}
Others suggested that Ukraine's actions were being orchestrated by the United States. Both sides tried to win sympathy for their arguments fighting a PR war.{{cite news
|title = What is Russia's end-game in gas row?
|author = Christian Lowe
|work = Reuters
|date = 7 January 2009
|url = https://www.reuters.com/article/topNews/idUSTRE5062VY20090107?pageNumber=1&virtualBrandChannel=0&sp=true
|access-date = 7 January 2009
|archive-date = 22 November 2020
|archive-url = https://web.archive.org/web/20201122133407/https://www.reuters.com/article/topNews/idUSTRE5062VY20090107?pageNumber=1&virtualBrandChannel=0&sp=true
|url-status = live
|title = No clear winner in Europe's gas game
|work = BBC News
|date = 15 January 2009
|url = http://news.bbc.co.uk/2/hi/programmes/from_our_own_correspondent/7828827.stm
|access-date = 15 January 2009
|archive-date = 19 January 2009
|archive-url = https://web.archive.org/web/20090119000652/http://news.bbc.co.uk/2/hi/programmes/from_our_own_correspondent/7828827.stm
|url-status = live
}}
In August 2009, it was agreed that loans worth $1.7 billion would be given to Ukraine to help it provide stable supplies of Russian gas to Europe by the International Monetary Fund, the World Bank, and the European Bank for Reconstruction and Development, in return for reforms in Ukraine's gas sector.{{cite news
|date=1 August 2009
|url=http://news.bbc.co.uk/2/hi/europe/8179461.stm
|title=EU reaches gas deal with Ukraine
|work=BBC News
|access-date=1 August 2009
|archive-date=25 March 2014
|archive-url=https://web.archive.org/web/20140325165819/http://news.bbc.co.uk/2/hi/europe/8179461.stm
|url-status=live
}}
On 28 December 2009, the Slovakian government announced that Russia warned it would stop oil supplies to Slovakia, Hungary, and the Czech Republic over a transit price dispute with Ukraine.
{{cite news
|date = 28 December 2009
|url = http://www.france24.com/en/20091228-russia-warns-oil-supply-cut-off-through-ukraine-says-slovakia-petrol-europe
|title = Russia warns of oil supply cut-off through Ukraine, says Slovakia
|work = France 24
|access-date = 29 December 2009
|url-status = dead
|archive-url = https://web.archive.org/web/20100101074415/http://www.france24.com/en/20091228-russia-warns-oil-supply-cut-off-through-ukraine-says-slovakia-petrol-europe
|archive-date = 1 January 2010}}
However, the next day, Ukraine's Naftohaz issued a statement confirming that Russia agreed to a 30% increase in the transit fees through Ukraine. The alleged rise in the tariff would be from $7.8 to $9.50 (or €6.6) per tonne of oil going through Ukraine in 2010. Additionally, unlike previous payments, new payments would be made in Euros as this was one of Ukraine's demands. Russia and Ukraine also agreed on the volume of oil to be transported through Ukraine. The overall amount of oil to be transported to Slovakia, Czech Republic, and Hungary through Ukraine in 2010 will be 15 million tonnes—a decrease from 17.1 million tonnes in 2008.
{{cite news
|date = 28 December 2009
|url = http://www.france24.com/en/20091229-russia-ukraine-agreement-oil-transit-naftogaz-raise-tariffs-30-percent
|title = Russia agrees to higher oil transit fees with Ukraine's Naftogaz
|work = France 24
|access-date = 29 December 2009
|url-status = dead
|archive-url = https://web.archive.org/web/20100123093311/http://www.france24.com/en/20091229-russia-ukraine-agreement-oil-transit-naftogaz-raise-tariffs-30-percent
|archive-date = 23 January 2010}}
2010 natural gas agreement
{{Main|Kharkiv Pact}}
=Prologue=
After meeting her Russian counterpart Putin, Ukrainian Prime Minister Tymoshenko declared on 3 September 2009, "Both sides, Russia and Ukraine, have agreed that at Christmas, there won't be [any halt in gas supplies], as usually happens when there are crises in the gas sector. Everything will be quite calm on the basis of the current agreements".{{cite news
|date=2 September 2009
|url=http://www.unian.net/eng/news/news-334088.html
|title=Putin and Tymoshenko 'removed gas problems'
|agency=Ukrainian Independent Information Agency
|access-date=2 September 2009
|archive-date=5 September 2009
|archive-url=https://web.archive.org/web/20090905195956/http://www.unian.net/eng/news/news-334088.html
|url-status=live
}} Tymoshenko also said that the Ukrainian and Russian premiers had agreed that sanctions would not be imposed on Ukraine for the country buying less gas than expected and that the price of Russian gas transit across Ukraine may grow 65% till 70% in 2010.
{{cite news
|date=3 September 2009
|url=http://www.interfax.com.ua/eng/main/19488/
|title=Russian gas transit fee may grow 65–70% in 2010, says Ukrainian premier
|agency=Interfax-Ukraine
|access-date=3 September 2009
|url-status=dead
|archive-url=https://web.archive.org/web/20120229125831/http://www.interfax.com.ua/eng/main/19488/
|archive-date=29 February 2012
}}
A week before Gazprom had said it expected gas transit fees via Ukraine to rise by up to 59% in 2010.
{{cite news
| title = Ukraine says has good winter gas stocks for Europe
| work=Reuters
| date =7 September 2009
| url= http://in.reuters.com/article/oilRpt/idINL762912420090907?sp=true
| archive-url= https://archive.today/20130201155638/http://in.reuters.com/article/oilRpt/idINL762912420090907?sp=true
| url-status= dead
| archive-date= 1 February 2013
| access-date = 7 September 2009}}
On 8 October 2009 Tymoshenko announced that Ukrainian 2010 natural gas imports will be significantly less than in previous years "because we have less need for natural gas". Because of its economic recession the industries require far less gas. In response to Tymoshenko Gazprom Chief Executive Alexey Miller stated that Ukraine should stick to the January (2009) contract for 2010.
On 16 November 2009 Commissioner for Energy at the European Commission Andris Piebalgs stated that Russia and the European Union do not expect another gas conflict with Ukraine. According to him there were no gas price negotiations or questions other than that of gas payments.[http://www.kyivpost.com/news/nation/detail/52863/ Andris Piebalgs: Russia, EU don't expect another gas conflict with Ukraine] {{Webarchive|url=https://web.archive.org/web/20091117084311/http://www.kyivpost.com/news/nation/detail/52863/ |date=17 November 2009 }}, Kyiv Post (16 November 2009)
On 20 November 2009, the gas deal of 18 January 2009, was altered after a meeting between Tymoshenko and Putin in Yalta; meaning Ukraine would not be fined for buying less gas then the old contract stipulated, this was done in view of the 2008–2009 Ukrainian financial crisis.[http://news.bbc.co.uk/2/hi/europe/8369705.stm Russia agrees to ease Ukraine gas supply terms] {{Webarchive|url=https://web.archive.org/web/20091121091703/http://news.bbc.co.uk/2/hi/europe/8369705.stm |date=21 November 2009 }}, BBC News (20 November 2009) On 24 November 2009 Gazprom and Naftohaz signed these supplements to the contract of 19 January 2009 on the purchase and sale of natural gas; according to the supplements, the annual contracted amount of gas to be supplied to Ukraine in 2010 has been set at {{convert|33.75|e9m3|abbr=off}}, instead of the {{convert|52|e9m3|abbr=off}} contracted earlier. The documents signed by the sides also stipulated that there will be no fines related to the amount of gas consumed by Naftohaz in 2009.[http://www.interfax.com.ua/eng/main/25980/ "Gazprom will cut gas supplies to Ukraine in 2010, won't fine for under-consumption in 2009"] {{Webarchive|url=https://web.archive.org/web/20091126215655/http://www.interfax.com.ua/eng/main/25980/ |date=26 November 2009 }}, Interfax-Ukraine (24 November 2009) Over the first ten months of 2009 Naftohaz has purchased {{convert|18.85|e9m3|abbr=off}} of gas with the contracted volume being {{convert|31.7|e9m3|abbr=off}}.[http://www.kyivpost.com/news/nation/detail/53568/ "Naftogaz has to buy 27 bcm of gas in 2010 to avoid paying fine to Gazprom"] {{Webarchive|url=https://web.archive.org/web/20110217051119/http://www.kyivpost.com/news/nation/detail/53568/ |date=17 February 2011 }}, Kyiv Post (25 November 2009)
On 15 December 2009, Russian Energy Minister Sergei Shmatko stated he expects no problems with Ukraine over gas supplies at New Year.[http://www.kyivpost.com/news/nation/detail/55154/ Russia energy minister sees no New Year gas war with Kyiv] {{Webarchive|url=https://web.archive.org/web/20091217110008/http://www.kyivpost.com/news/nation/detail/55154/ |date=17 December 2009 }}, Kyiv Post (15 December 2009)
=Agreement=
Ukrainian Prime Minister Mykola Azarov and Energy Minister Yuriy Boyko were in Moscow late March 2010 to negotiate lower gas prices; neither clearly explained what Ukraine was prepared to offer in return.[http://www.kyivpost.com/news/business/bus_general/detail/63041/ Big plant on sale block for small price] {{Webarchive|url=https://web.archive.org/web/20100403073724/http://www.kyivpost.com/news/business/bus_general/detail/63041/ |date=3 April 2010 }}, Kyiv Post (2 April 2010) Following these talks Russian Prime Minister Vladimir Putin stated that Russia was prepared to discuss the revision of the price for natural gas it sells to Ukraine.[http://www.kyivpost.com/news/nation/detail/62584/ Azarov: Ukraine to continue working to amend gas agreements with Russia] {{Webarchive|url=https://web.archive.org/web/20220506080922/https://www.kyivpost.com/news/nation/detail/62584/ |date=6 May 2022 }}, Kyiv Post (26 March 2009)
File:Dmitry Medvedev in Kharkov - 21 April 2010-9.jpeg summit on 21 April 2010 by Dimitry Medvedev and Viktor Yanukovych]]
On 21 April 2010, Russian President Dmitry Medvedev and Ukrainian President Viktor Yanukovych signed an agreement[http://www.cnn.com/2010/WORLD/europe/04/21/russia.ukraine/index.html?hpt=T2 "Russia, Ukraine agree on naval-base-for-gas deal"] {{Webarchive|url=https://web.archive.org/web/20140425153935/http://www.cnn.com/2010/WORLD/europe/04/21/russia.ukraine/index.html?hpt=T2 |date=25 April 2014 }}, CNN (21 April 2010) in which Russia agreed to a 30 percent drop in the price of natural gas sold to Ukraine. Russia agreed to this in exchange for permission to extend Russia's lease of a major naval base in the Ukrainian Black Sea port of Sevastopol for an additional 25 years with an additional five-year renewal option (to 2042–47).[http://www.themoscowtimes.com/business/article/deal-struck-on-gas-black-sea-fleet/404501.html "Deal Struck on Gas, Black Sea Fleet"] {{Webarchive|url=https://web.archive.org/web/20100423073455/http://www.themoscowtimes.com/business/article/deal-struck-on-gas-black-sea-fleet/404501.html |date=23 April 2010 }}, The Moscow Times (21 April 2010) As of June 2010 Ukraine pays Gazprom around $234/mcm (thousand cubic meter).[https://www.reuters.com/article/idUSLDE65H0DE20100618 UPDATE 2-Russia threatens to cut Belarus gas supplies Monday] {{Webarchive|url=https://web.archive.org/web/20201122173303/https://www.reuters.com/article/idUSLDE65H0DE20100618 |date=22 November 2020 }}, Reuters (18 June 2010)
This agreement was subject to approval by both the Russian and Ukrainian parliaments. They did ratify the agreement on 27 April 2010. The Ukrainian parliament ratified it after several eggs were thrown towards the speaker, Volodymyr Lytvyn, by deputies and other incidents.[http://www.kyivpost.com/news/politics/detail/65103/ Ukrainian parliament ratifies agreement extending Russian Black Sea Fleet's presence in Crimea] {{Webarchive|url=https://web.archive.org/web/20101123022916/http://www.kyivpost.com/news/politics/detail/65103/ |date=23 November 2010 }}, Kyiv Post (27 April 2010)[http://www.kyivpost.com/news/politics/detail/65113/ "Oppositional deputies throw eggs in Lytvyn"] {{Webarchive|url=https://web.archive.org/web/20110605192433/http://www.kyivpost.com/news/politics/detail/65113/ |date=5 June 2011 }}, Kyiv Post (27 April 2010)[http://www.kyivpost.com/news/nation/detail/65109/ "Police clash with protesters in front of Ukrainian parliament"] {{Webarchive|url=https://web.archive.org/web/20110605192439/http://www.kyivpost.com/news/nation/detail/65109/ |date=5 June 2011 }}, Kyiv Post (27 April 2010) Opposition members in Ukraine and Russia expressed doubts the agreement would be fulfilled by the Ukrainian side.[http://www.kyivpost.com/news/nation/detail/65128 "Update: Ukraine, Russia ratify Black Sea naval lease"] {{Webarchive|url=https://web.archive.org/web/20120411091421/http://www.kyivpost.com/news/nation/detail/65128 |date=11 April 2012 }}, Kyiv Post (27 April 2010)[http://www.kyivpost.com/news/nation/detail/65154/ "Agreement on Black Sea Fleet may be denounced, says Yatseniuk"] {{Webarchive|url=https://web.archive.org/web/20100429135134/http://www.kyivpost.com/news/nation/detail/65154/ |date=29 April 2010 }}, Kyiv Post (27 April 2010)
Yanukovych has defended the agreement as a tool to help stabilise the state budget.[http://www.kyivpost.com/news/nation/detail/66624/ "Yanukovych snipes at opponent, defends fleet move"] {{Webarchive|url=https://web.archive.org/web/20110606044816/http://www.kyivpost.com/news/nation/detail/66624/ |date=6 June 2011 }}, Kyiv Post (13 May 2009) Opposition members in Ukraine described the agreement as a sell out of national interests.
Dispute of 2013–2014
=Annexation of Crimea=
{{Further|Annexation of Crimea by the Russian Federation}}
In February 2014, Ukraine's state-owned oil and gas company Naftogaz sued Chornomornaftogaz for delayed debt payments of ₴11.614 billion (almost €1 billion) in the Economic Court of the Autonomous Republic of Crimea.{{cite news
|url = http://economics.unian.net/energetics/897959-naftogaz-trebuet-chtobyi-chernomorneftegaz-vernul-116-mlrd-griven.html
|script-title = ru:"Нафтогаз" требует, чтобы "Черноморнефтегаз" вернул 11,6 млрд гривень
|trans-title = Naftogaz requires that Chornomornaftogaz returned 11.6 billion UAH
|agency = Ukrainian Independent Information Agency
|language = ru
|date = 2014-03-18
|access-date = 2014-03-23
|archive-date = 28 May 2014
|archive-url = https://web.archive.org/web/20140528085254/http://economics.unian.net/energetics/897959-naftogaz-trebuet-chtobyi-chernomorneftegaz-vernul-116-mlrd-griven.html
|url-status = live
}}
In March 2014, Republic of Crimea authorities announced that they would nationalize the company.{{cite news
| url = http://www.kyivpost.com/content/ukraine/crimean-authorities-not-ruling-out-future-privatization-of-chornomornaftogaz-339347.html
| title = Crimean authorities not ruling out future privatization of Chornomornaftogaz
| newspaper = Kyiv Post
| agency = Interfax-Ukraine
| date = 2014-03-14
| access-date = 2014-03-16
| archive-date = 30 April 2014
| archive-url = https://web.archive.org/web/20140430030613/http://www.kyivpost.com/content/ukraine/crimean-authorities-not-ruling-out-future-privatization-of-chornomornaftogaz-339347.html
| url-status = live
}} Republic of Crimea deputy prime minister Rustam Temirgaliev said that Russia's Gazprom would be its new owner.
{{cite news | url = http://espreso.tv/new/2014/03/14/naftohaz_pokynuv_svoyu_dochku___chornomornaftohaz___napryzvolyasche | script-title = uk:"Нафтогаз" покинув свою "дочку" — "Чорноморнафтогаз" — напризволяще |trans-title="Naftogaz" left his "daughter" — "Chornomornaftogas" — to fend for themselves | language = uk | publisher = Espreso TV | date = 2014-03-14 | access-date = 2014-03-16 | url-status = dead | archive-url = https://archive.today/20140316095414/http://espreso.tv/new/2014/03/14/naftohaz_pokynuv_svoyu_dochku___chornomornaftohaz___napryzvolyasche | archive-date = 16 March 2014}} A group of Gazprom representatives, including its head of business development, has been working at the Chornomornaftogaz head office since mid-March 2014.{{cite news | url = http://en.interfax.com.ua/news/economic/196641.html | title = Crimea to hand over Chornomornaftogaz to Russia's Gazprom – deputy CEO | agency = Interfax-Ukraine | date = 2014-03-18 | access-date = 2014-03-22 | archive-date = 21 March 2014 | archive-url = https://web.archive.org/web/20140321194331/http://en.interfax.com.ua/news/economic/196641.html | url-status = live }} On 1 April, Russia's energy minister Alexander Novak said that Gazprom would finance an undersea gas pipeline to Crimea.
On 11 April 2014 the U.S. Treasury's Office of Foreign Assets Control (OFAC) announced that it had added Chornomornaftagaz to the Specially Designated Nationals and Blocked Persons List as part of the third round of U.S. sanctions.{{cite press release | url = http://www.treasury.gov/press-center/press-releases/Pages/jl2355.aspx | title = Treasury Designates Seven Individuals And One Entity Contributing to the Situation in Ukraine | publisher = United States Department of the Treasury | date = 2014-04-11 | access-date = 2014-04-12 | archive-date = 17 April 2014 | archive-url = https://web.archive.org/web/20140417102253/http://www.treasury.gov/press-center/press-releases/Pages/jl2355.aspx | url-status = live }} Reuters quoted an anonymous U.S. official who explained that the United States wanted to make it impossible for Gazprom to "have dealings with Chornomorneftegaz", and if that were to happen, Gazprom itself could face sanctions.{{cite news|last=Mohammed|first=Arshad|title=U.S. sanctions Crimea gas company, in move aimed at Gazprom|url=https://www.reuters.com/article/ukraine-crisis-usa-idUSL2N0N31IN20140411|work=Reuters|date=11 April 2014|access-date=5 July 2021|archive-date=14 January 2016|archive-url=https://web.archive.org/web/20160114014529/http://www.reuters.com/article/ukraine-crisis-usa-idUSL2N0N31IN20140411|url-status=live}}
The European Union followed suit on 13 May 2014, the first time its sanctions list has included a company (in addition to Chornomorneftegaz, a Crimean oil supplier called Feodosia was also included).{{cite news|last=Norman|first=Laurence|title=EU Modestly Expands Sanctions on Russia|url=https://online.wsj.com/news/articles/SB10001424052702303851804579557371640346660|newspaper=The Wall Street Journal|date=12 May 2014|access-date=14 March 2017|archive-date=10 October 2014|archive-url=https://web.archive.org/web/20141010075036/http://online.wsj.com/news/articles/SB10001424052702303851804579557371640346660|url-status=live}}{{cite news|title=EU punishes Russia, adds more names to sanctions list|url=http://www.euractiv.com/sections/global-europe/eu-punishes-russia-adds-more-names-sanctions-list-302078|newspaper=EurActiv|date=13 May 2014|access-date=13 May 2014|archive-date=14 May 2014|archive-url=https://web.archive.org/web/20140514063804/http://www.euractiv.com/sections/global-europe/eu-punishes-russia-adds-more-names-sanctions-list-302078|url-status=live}}
In 2014, Russia had seized Crimea and taken assets belonging to Ukraine, with no compensation paid. In 2023, A court in The Hague ordered Russia to pay US$5 billion in compensation to Naftogaz.{{cite web |title=Ukraine's Naftogaz declares victory over Russia in $5B court battle |url=https://www.politico.eu/article/ukraines-naftogaz-declares-victory-over-russia-in-5-billion-court-battle%EF%BF%BC/ |date=13 April 2023}}
=June 2014 gas supplies to Ukraine cut off=
In an attempt at energy independence, Naftogaz signed a pipeline access deal with Slovakia's Eustream on 28 April 2014. Eustream and its Ukrainian counterpart Ukrtransgaz, owned by Naftogaz, agreed to allow Ukraine to use a never used (but aging, at 20 years old) pipeline on Slovakia's eastern border with Uzhhorod in western Ukraine. The deal would provide Ukraine with 3 billion cubic meters of natural gas beginning in autumn of 2014 with the aim of increasing that amount to 10 billion cubic meters in 2015.
On 1 April 2014 Gazprom cancelled Ukraine's natural gas discount as agreed in the 17 December 2013 Ukrainian–Russian action plan because its debt to the company had risen to $1.7 billion since 2013.{{cite news | url=https://www.bloomberg.com/news/2014-04-01/gazprom-raises-gas-export-price-as-ukraine-looks-for-cash.html | work=Bloomberg | first=Elena | last=Mazneva | title=Gazprom Raises Gas Export Price as Ukraine Looks for Cash | date=1 April 2014 | access-date=11 March 2017 | archive-date=31 October 2014 | archive-url=https://web.archive.org/web/20141031184539/http://www.bloomberg.com/news/2014-04-01/gazprom-raises-gas-export-price-as-ukraine-looks-for-cash.html | url-status=live }} Later that month the price "automatically" jumped to $485 per 1,000 cubic meters because the Russian government annulled an export-duty exemption for Gazprom in place since the 2010 Kharkiv Pact (this agreement was denounced by Russia on 31 March 2014[http://en.itar-tass.com/russia/725964 State Duma approves denunciation of Russian-Ukrainian agreements on Black Sea Fleet] {{Webarchive|url=https://web.archive.org/web/20141017094622/http://en.itar-tass.com/russia/725964 |date=17 October 2014 }}, Information Telegraph Agency of Russia (31 March 2014)).{{cite news | url=https://www.bloomberg.com/news/2014-04-03/russia-to-charge-ukraine-more-than-germany-as-gas-discounts-end.html | work=Bloomberg | first=Elena | last=Mazneva | title=Russia to Charge Ukraine More Than Germany as Gas Discounts End | date=3 April 2014 | access-date=11 March 2017 | archive-date=31 October 2014 | archive-url=https://web.archive.org/web/20141031184422/http://www.bloomberg.com/news/2014-04-03/russia-to-charge-ukraine-more-than-germany-as-gas-discounts-end.html | url-status=live }} On 30 May 2014 Ukraine paid $786 million to Gazprom.[https://www.nytimes.com/2014/05/31/world/europe/russia-and-ukraine-in-talks-over-gas-supplies.html?_r=0 Russia and Ukraine Keep Talks Alive in Gas Feud] {{Webarchive|url=https://web.archive.org/web/20181003114302/https://www.nytimes.com/2014/05/31/world/europe/russia-and-ukraine-in-talks-over-gas-supplies.html?_r=0 |date=3 October 2018 }}, The New York Times (30 MAY 2014) On 16 June 2014 Gazprom stated that Ukraine's debt to the company was $4.5 billion.
After intermediary (that had started in May 2014) trilateral talks between EU Energy Commissioner Günther Oettinger, Ukraine and Russia failed on 15 June 2014 the latter halted (after a deadline of 10 a.m. Moscow time passed without it receiving payment) its natural gas supplies to Ukraine the next day.[https://www.bbc.com/news/world-europe-27862849 Ukraine crisis: Russia halts gas supplies to Kiev] {{Webarchive|url=https://web.archive.org/web/20210301182415/https://www.bbc.com/news/world-europe-27862849 |date=1 March 2021 }}, BBC News (16 June 2014) Unilaterally Gazprom decided that Ukraine had to pay upfront for its natural gas. The company assured that its supplies to other European countries would continue.[https://www.bbc.com/news/world-europe-27871910 Ukraine crisis: Russia halts gas supplies to Kiev] {{Webarchive|url=https://web.archive.org/web/20170319144957/http://www.bbc.com/news/world-europe-27871910 |date=19 March 2017 }}, BBC News (16 June 2014) Ukraine vowed to "provide reliable supply of gas to consumers in Ukraine and we will provide reliable transit to the European Union”.[https://www.bloomberg.com/news/2014-06-16/ukraine-faces-russian-gas-cutoff-as-payment-talks-fail.html Russia Cuts Gas to Ukraine While Maintaining Flow to EU ] {{Webarchive|url=https://web.archive.org/web/20141217232229/http://www.bloomberg.com/news/2014-06-16/ukraine-faces-russian-gas-cutoff-as-payment-talks-fail.html |date=17 December 2014 }}, Bloomberg News (16 June 2014) At the time about 15 percent of European Union's demand depended on Russian natural gas piped through Ukraine.
After trilateral months of talks between the European Union, Ukraine and Russia a deal was reached on 30 October 2014 in which Ukraine agreed to pay (in advance) $378 per 1,000 cubic metres to the end of 2014, and $365 in the first quarter (ending on 31 March) of 2015. Of its debts to Gazprom Ukraine agreed to pay of $1.45bn immediately, and $1.65bn by the end of 2014. It was agreed that the European Union will be acting as guarantor for Ukraine's gas purchases from Russia and would help to meet outstanding debts (using funds from existing accords with the European Union and IMF). The total package was worth $4.6bn.[https://www.bbc.com/news/business-29842505 Russia–Ukraine gas deal secures EU winter supply] {{Webarchive|url=https://web.archive.org/web/20201112023925/https://www.bbc.com/news/business-29842505 |date=12 November 2020 }}, BBC News (31 October 2014)
[http://www.kyivpost.com/content/business/ukraine-secures-winter-gas-supplies-from-gazprom-370213.html Ukraine secures winter gas supplies from Gazprom] {{Webarchive|url=https://web.archive.org/web/20151222103342/http://www.kyivpost.com/content/business/ukraine-secures-winter-gas-supplies-from-gazprom-370213.html |date=22 December 2015 }}, Kyiv Post (31 October 2014) According to European Union officials the deal secured that there would be no natural gas supply disruptions in other European countries.
November 2015 gas supplies stop
On 25 November 2015 Gazprom halted its exports of Russian natural gas to Ukraine.[https://www.bbc.com/news/world-europe-34920207 Ukraine closes airspace to all Russian planes] {{Webarchive|url=https://web.archive.org/web/20180723200705/https://www.bbc.com/news/world-europe-34920207 |date=23 July 2018 }}, BBC News (25 November 2015) According to the Ukrainian government they had stopped buying from Gazprom because Ukraine could buy natural gas cheaper from other suppliers. According to Gazprom it had halted deliveries because Ukraine had not paid them for the next delivery. Since then, Ukraine has been able to fulfil its gas supply needs solely from European Union states. In 2018 the Arbitration Institute of the Stockholm Chamber of Commerce ordered that Ukraine's Naftogaz should import 5 billion cubic meters of gas annually from Russia, as required under its 2009 contract with Russia's Gazprom.{{cite news |url=https://www.bloomberg.com/news/articles/2018-01-10/russian-gas-return-to-ukraine-to-cost-eu-traders-1-billion |title=Russian Gas Return to Ukraine to Cost EU Traders $1 Billion |last=Mazneva |first=Elena |publisher=Bloomberg |date=10 January 2018 |access-date=15 August 2018 |archive-date=15 August 2018 |archive-url=https://web.archive.org/web/20180815204036/https://www.bloomberg.com/news/articles/2018-01-10/russian-gas-return-to-ukraine-to-cost-eu-traders-1-billion |url-status=live }} However, take-or-pay claims by Gazprom for 2009–2014 untaken gas volumes were rejected. On 28 February 2018, the Arbitration Institute of the Stockholm Chamber of Commerce ordered that Gazprom pay Naftogaz for failing to ship certain amounts of gas through Ukraine gas transmission system. The net result of all claims was that Gazprom was ordered to pay Naftogaz $2.56 bln.{{Cite web|url=http://www.naftogaz.com/www/3/nakweben.nsf/0/E62D5C9B21795281C225834B00537D4E?OpenDocument&Expand=2&|title=Stockholm arbitration|website=naftogaz.com|access-date=2019-12-23|archive-date=7 November 2019|archive-url=https://web.archive.org/web/20191107002735/http://www.naftogaz.com/www/3/nakweben.nsf/0/E62D5C9B21795281C225834B00537D4E?OpenDocument&Expand=2&|url-status=live}} Gazprom disputed this award and fought it off in several European courts where Naftogaz was trying to enforce the award. In the end, a settlement of principle was reached in Berlin on 20 December 2019{{Cite web |url=https://tumbleweed.partners/trilateral-agreement-on-russian-gas-transit-through-ukraine-for-2020-and-beyond/ |title=TRILATERAL AGREEMENT ON RUSSIAN GAS TRANSIT THROUGH UKRAINE FOR 2020 AND BEYOND |last=Grossmann |first=Michael |date=22 December 2019 |access-date=23 December 2019 |archive-date=23 December 2019 |archive-url=https://web.archive.org/web/20191223180859/https://tumbleweed.partners/trilateral-agreement-on-russian-gas-transit-through-ukraine-for-2020-and-beyond/ |url-status=live }} as part of wider trilateral talks between Gazprom, Ukraine and the European Commission on Russian gas transit through Ukraine. In September 2022, the two parties continued disagreeing about the arbitration process.{{cite web |title=Russia's Gazprom rejects Ukraine's Naftogaz claims in arbitration |url=https://www.reuters.com/business/energy/russias-gazprom-rejects-ukraines-naftogaz-claims-arbitration-2022-09-27/ |website=Reuters |archive-url= https://web.archive.org/web/20220928025703/https://www.reuters.com/business/energy/russias-gazprom-rejects-ukraines-naftogaz-claims-arbitration-2022-09-27/ |archive-date=28 September 2022 |language=en |date=27 September 2022 |url-status=live}}{{cite web |title=Ukraine's Naftogaz to proceed with arbitration against Gazprom -CEO |url=https://www.reuters.com/business/energy/ukraines-naftogaz-proceed-with-arbitration-against-gazprom-ceo-2022-09-28/ |website=Reuters |archive-url= https://web.archive.org/web/20220928181736/https://www.reuters.com/business/energy/ukraines-naftogaz-proceed-with-arbitration-against-gazprom-ceo-2022-09-28/ |archive-date=28 September 2022 |language=en |date=28 September 2022 |url-status=live}}
Transit of Russian gas through Ukraine continued, in January 2022 Ukraine charged Gazprom $2.66 to move 1,000 cubic meters per 100 kilometers.{{cite web |title=Can Ukraine do without Russian gas transit fees? |website=Deutsche Welle |url=https://www.dw.com/en/can-ukraine-do-without-russian-gas-transit-fees/a-60552279 |date=28 January 2022}}
= Termination of gas transit =
On 1 January 2025, Ukraine terminated all Russian gas transit through its territory, after the contract between Gazprom and Naftohaz signed in 2019 expired. This comes a month after President Zelenskyy said that Ukraine would not allow Russia to use gas transits to earn "additional billions [...] on our blood, on the lives of our citizens".{{Cite web |date=2025-01-01 |title=Ukraine halts transit of Russian gas to Europe after a prewar deal expired |url=https://apnews.com/article/russia-ukraine-war-gas-transit-supplies-gazprom-7775fea34a7be9723b991d835a7ebd6f |access-date=2025-01-03 |website=AP News |language=en}} It is estimated that Russia will lose around €5bn a year as a result.{{Cite web |date=2025-01-03 |title=Ukraine ends Russian gas pipeline to Europe – but how much will it cost Moscow? |url=https://www.independent.co.uk/news/world/europe/russian-gas-pipeline-ukraine-putin-zelensky-gazprom-b2673142.html |access-date=2025-01-03 |website=The Independent |language=en}}
Austria, Slovakia, Moldova, and Transnistria had been relying on gas transiting through Ukraine. Austria's energy minister, Leonore Gewessler, commented that Austria was prepared and had found alternative suppliers.{{Cite web |last=Cooban |first=Alex Stambaugh, Anna |date=2025-01-01 |title=Ukraine ends supply of Russian gas to Europe {{!}} CNN Business |url=https://edition.cnn.com/2025/01/01/business/ukraine-russia-gas-eu-halted-hnk-intl/index.html |access-date=2025-01-01 |website=CNN |language=en}} Moldova's government commented that it has enough gas until Spring, after which it will buy electricity from Europe.{{Cite web |date=2025-01-01 |title=Moldova faces energy crisis as flow of Russian gas ends |url=https://www.bbc.co.uk/news/articles/cy8ymx50kz8o |access-date=2025-01-01 |website=BBC News |language=en-GB}}
Slovakias prime minister Robert Fico demanded the gas transfers through Ukraine should continue. In early January he stated that Slovakia had enough gas for its own needs, but complained about the loss of some €500 million in transfer fees. He demanded to be compensated for the lost renvenue, otherwise his country would stop the delivery of electricity to Ukraine and reduce the support for Ukrainian refugees in Slovakia.{{Cite web |date=2025-01-03 |title=Slowakischer Premier ist empört über Aus für Gastransit durch die Ukraine |url=https://www.derstandard.at/story/3000000251366/slowakischer-premier-ist-empoert-ueber-aus-fuer-gastransit-durch-die-ukraine?ref=niewidget |access-date=2025-01-03 |website=derstandard.at |language=de}}{{Cite web |date=2025-01-01 |title=Cutting off Russian gas to EU will have 'drastic' impact, Slovak PM warns |url=https://www.politico.eu/article/robert-fico-vladimir-putin-cutting-off-russia-gas-to-the-eu/ |access-date=2025-01-02 |website=POLITICO |language=en-GB}}
Public reaction in Ukraine
{{Main|Remember about the Gas – Do not buy Russian goods!}}
{{See also|Do not buy Russian goods!}}
Political pressure from Russia to Ukraine led to the emergence of a public campaign to boycott Russian goods in Ukraine during the gas conflict of 2005–2006. Active actions in the campaign also continued in early 2009—during the gas war of 2008–2009.
See also
{{History of Ukraine}}
{{Portal|Russia|Ukraine|Energy}}
- Black Sea Fleet dispute
- Druzhba pipeline
- Energy policy of Russia
- Energy superpower
- Energy Triangle
- Nabucco Pipeline
- Natural gas in Russia
- Natural gas in Ukraine
- Nord Stream 1
- Peak gas
- Russia in the European energy sector
- Russia–Belarus energy dispute
- Urengoy–Pomary–Uzhhorod pipeline
- Yamal–Europe pipeline
References
{{Reflist}}
External links
{{Wikinews|Russia cuts off gas supplies to Ukraine}}
- [https://web.archive.org/web/20090129105155/http://res.ethz.ch/analysis/rad/ The Russian-Ukrainian Gas Conflict: Russian Analytical Digest No. 53, 20 January 2009]
- [https://web.archive.org/web/20090210154154/http://isria.info/4/interview_11january2009_Mongrenier_EN.htm Relations of France with Russia and NATO, and the gas crisis between Russia and Ukraine], ISRIA, 14 January 2009
- [https://web.archive.org/web/20090305120706/http://gazpromukrainefacts.com/ Gazprom Ukraine Facts] (Gazprom's website)
- [http://news.bbc.co.uk/1/shared/spl/hi/pop_ups/05/europe_enl_1135960498/html/1.stm Map of major natural gas pipelines in central and eastern Europe], BBC (based on INOGATE detailed European map)
- [http://www.kyivpost.com/news/nation/detail/96310/ Timeline of events in Ukraine's gas dealings July 2004 – February 2011] by Kyiv Post
{{Political scandals in Ukraine}}
{{Energy in Russia}}
{{Vladimir Putin}}
{{DEFAULTSORT:Russia-Ukraine gas disputes}}
Category:Price disputes involving Gazprom
Category:Russia–Ukraine relations
Category:Natural gas in Russia
Category:Natural gas in Ukraine
Category:Natural resource conflicts
Category:Political scandals in Ukraine
Category:Political scandals in Russia