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    Ukraine Seeking to Access CIS Pipelines Through Trade Agreement

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Summary

Ukrainian Prime Minister Mykola Azarov has said that he intends to enter into negotiations with CIS countries to gain access to those countries' pipelines following the enforcement of a Free Trade Agreement (FTA).

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

Ukraine Seeking to Access CIS Pipelines Through Trade Agreement

Ukrainian Prime Minister Mykola Azarov has said that he intends to enter into negotiations with CIS countries to gain access to those countries' pipelines following the enforcement of a Free Trade Agreement (FTA).

The FTA, which will open up a free trade zone between the member countries of the CIS, is expected to come into force this September. So far only three countries have ratified the agreement: Ukraine, Russia and Belarus. Ukrainian President Viktor Yanukovych ratified the agreement earlier this month. 

Today, Prime Minister Azarov said that an agreement on the use of other countries' pipeline networks was of particular importance to Ukraine in the FTA.

"The FTA agreement with the CIS is extremely important," ForUm mews agency reports him as saying. It was Ukraine, who initiated it... In particular, we are interested in the access to pipeline transportation within the CIS countries. As soon as the treaty enters into force, our negotiators will address these issues."

Once the treaty comes into effect, all member states will enter into a six-month negotiation period during which issues of interest may be raised and discussed. Access to pipelines and energy diversification remains an important issue to the Ukrainian government as it remains deadlocked in discussions with primary Russian gas supplier Gazprom over gas prices to Ukraine. As a result of this deadlock, Ukraine is increasingly seeking to diversify its supply to ensure its energy security.