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    Ukraine Will Not Bargain with Russia for Gas

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Summary

Ukraine will not bargain with Russia for its entry into the Customs Union trade bloc in order to acquire a reduction in gas supply prices, Ukrainian Minster for Energy Yuriy Boiko has said.

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

Ukraine Will Not Bargain with Russia for Gas

Ukraine will not bargain with Russia for its entry into the Customs Union trade bloc in order to acquire a reduction in gas supply prices, Ukrainian Minster for Energy Yuriy Boiko has said.

The minister said yesterday to the Ukrainian Cabinet of Ministers that Ukraine would decide on its accessions based on the country's policies and regulations rather than on the basis of gas prices.

"We are not bargaining," rbc.ua reports the minister as saying. "Everything in our country is defined in the law on the principles of foreign and domestic policy that sets out our foreign priorities."

Earlier this week, Ukrainian Prime Minister Mykola Azarov said that Russia had promised Ukraine a massively discounted rate of gas of $160 per 1,000 cubic metres should the country join the Customs Union.

"Russia is putting forth conditions to us: join the Customs Union, and tomorrow you will get gas for 160 dollars," EuroTribune.eu reports the PM as saying.

Currently Ukraine is paying far above that price for gas supplies with price per 1,000 cubic metres reaching $425 dollars this summer. Ukraine has been contesting this cost for several years, motivating the country to actively begin to seek other avenues of supply outside of Russia.