• Natural Gas News

    Ukraine Threatens to Quit Energy Group Over Russian Dispute

    old

Summary

Ukraine may quit the European Energy Community in reaction to its lack of support for the country in ongoing natural gas disputes with Russia, President Viktor Yanukovych said.

by: AL

Posted in:

Natural Gas & LNG News, News By Country, Russia, Ukraine

Ukraine Threatens to Quit Energy Group Over Russian Dispute

Ukraine might quit the European Energy Community because of a lack of support for in the ongoing gas dispute with Russia, President Viktor Yanukovich has said.

Yanukovich also commented recently that he was unhappy that the community had given a green light to Russian gas pipeline projects bypassing Ukraine on the way to Europe.

"The interests of Ukraine have been violated," Yanukovich said in remarks broadcast over state television and reported by Platts. "So, the question is 'Why do we need to be in the community?'"

"I will say this: we have considerably sharpened our position on this matter today," Yanukovich said. "We, as a member of the community, are extremely dissatisfied with the way the community treats Ukraine."

Ukraine became a member of the European Energy Community in January 2011 in the hope it would help increase investments in the country's energy infrastructure, in particular natural gas pipelines.

The European Energy Community was established in July 2006 by EU countries along with Albania, Bosnia and Herzegovina, Croatia, Macedonia, Montenegro, Serbia and Kosovo.

Yanukovich also said his country will be reducing its dependence on imported energy supplies every year.

The president was speaking in the TV project Dialogue with the Country, timed to coincide with the third anniversary of his inauguration.

"I believe that year after year, Ukraine will have ever more opportunities to manage its economy and become less dependent on foreign partners in energy supplies," Yanukovich said.

He also noted that Ukraine's GDP is growing and gas consumption is falling. "This suggests that the structure of energy consumption is changing. We began to consume more electricity and less gas," the president said.

Yanukovich also said that, to increase its energy independence, Ukraine had signed a number of contracts for gas mining in both traditional and non-traditional ways.

"We already have a partner that is ready to start the production of shale gas. Investors want to work with us," the president said.

See also: Ukraine Signs Landmark Shale Deal, Ukraine Sees Independence in Shale Gas