In response to the Russian invasion of Ukraine, Europe is trying to end the withdrawal of natural gas from Russia, but some European countries are still importing Russian gas through a pipeline running through Ukraine. The current agreement on the transit of Russian gas through Ukraine to Europe expires at the end of this year. However, according to Bloomberg sources, representatives of some European governments and businesses are negotiating with their Ukrainian counterparts on how to maintain the transit of Russian gas through Ukraine to Europe next year.
According to the sources, talks are being held, among other things, about the possibility that European companies will import gas purchased in Azerbaijan through a pipeline leading from Russia through Ukraine. EIn this way, Europe would avoid buying Russian gas at a time when it is trying to limit Moscow’s ability to finance the war in Ukraine.
According to Bloomberg, Ukraine should be in favor of this option because it needs revenue from gas transit fees. “Ukraine has a huge infrastructure for gas transit and storage, which should be used,” said Oleksiy Chernyshov, head of Ukraine’s state gas company Naftogaz. “Ukraine is destined to use this infrastructure because it brings a number of benefits,” he added.
Chernyshov ruled out any transit plan that would involve cooperation with Russia’s state gas company Gazprom. He added that the transportation of gas coming from Azerbaijan “could have some future”.
Sources of the Bloomberg agency point out, however, thate negotiations on the transit of gas originating from Azerbaijan are only at an early stage and that it is not certain whether an agreement will be reached. A number of details still need to be worked out, and developments on the battlefield may also become an important factor.
One of the key countries that could benefit from a possible agreement is Slovakia. Prime Minister Robert Fico said in May after a visit to Azerbaijan that it would depend on the outcome of negotiations between the parties involved regarding the economic and price conditions of the transit. According to him, Slovakia could import part of gas from Azerbaijan for its own use and send part to other countries.
Russia now supplies around 15 billion cubic meters of gas annually to Europe via the Ukraine pipeline, mainly to Slovakia and Austria. The European Commission (EC) believes that the European Union can deal with the termination of the transit of Russian gas through Ukraine. However, some EU member states are more skeptical and fear a repeat of the energy crisis, writes Bloomberg.
