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    Amber Light Flashing for Poland-Russia Gas Deal

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Summary

The Warsaw Voice reports that the European Commission has threatened Poland with proceedings in front of the European Court of Justice and a red...

by: M_Davies

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Poland, Natural Gas & LNG News, News By Country

Amber Light Flashing for Poland-Russia Gas Deal

The Warsaw Voice reports that the European Commission has threatened Poland with proceedings in front of the European Court of Justice and a red light for the Polish-Russian gas deal, if Poland does not present it with the operator agreement on the Polish stretch of the Yamal-Europe gas pipeline.

Poland and Russia signed a new natural gas deal on Friday, appearing to have phrased their agreement in a way that will only formally observe European Union rules on third-party access to the pipeline.

The European Union EU rejected a previous one had forced Warsaw to renegotiate after saying an earlier proposed agreement did not allow third parties to access the Yamal-Europe pipeline that brings Russian gas to Poland and on Western Europe and therefore broke the bloc's energy rules.

The contract was rewritten to make Gaz-System, the Polish Treasury’s gas transmission company, as the operator of the stretch of the Yamal-Europe gas pipeline that lies in Poland.

Poland says under the new contract the Yamal pipeline operator EuroPolGas would inform its Polish counterpart Gaz-System of free capacity in the pipe, which Gaz-System, now be responsible for ensuring the free flow of gas and for ensuring third-party access to the pipeline, would then make available in open tenders -- addressing the EU concerns over access.

In the opinion of the Polish government, the amendments to the deal are enough to bring it into line with EU regulations.

The European Commission says that it was still waiting to see the final agreement between the operators. It has stated that , without seeing the contract, it was unable to affirm the legality of the entire Russian-Polish gas agreement, according to daily Dziennik Gazeta Prawna.

EU Spokesman Michele Cercone had stated that when the EU sees the document, it will give its opinion within 48 hours.

However, the Polish government appears not to want to hand over the contract. They state that it is a matter of contract between two companies and that state-owned Gaz-System has the right to keep its trade secrets to itself.

As such, Polish officials say there are no legal premises for the EC to review the contract.

"The deal is fully in line with both European and Polish law and the Commission has not asked us in any formal way to see it," said Gaz-System head Jan Chadam in announcing the deal.

The Warsaw Voice reports however, that the EC insists on seeing gas operator agreement and has threatened legal action to that effect.

Stay tuned for the next chapter...........

Read Here for how Gazprom cheerleader, The Voice of Russia, spins on how this deal 'boosts Europe's energy security'