REUTERS
Ukraine's losses may total about US$3 billion, or about 3% of GDP, every year because of termination of Russian gas transit shipments.
Russia is technically capable of not using Ukraine's gas transit services next year even if the Nord Stream 2 gas pipeline is unready; it will handle minimum gas shipments to European consumers under existing contracts.
"In my view, which is also shared by our European partners, there is a high probability that we will see a complete halt to transit, as was the case in January 2009," CEO of NJS Naftogaz of Ukraine Andriy Kobolyev said at an investment conference organized by Concorde Capital in Kyiv.
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According to him, discontinuing gas transit supplies could result in a full-scale crisis in Ukraine and a shortfall in income in the amount of about US$3 billion a year, or about 3% of GDP.
To solve this problem, Kobolyev called for building up gas reserves to maintain pressure in the Ukrainian gas transportation system at the level of about 20 billion cubic meters at the beginning of the heating season.
UNIAN memo. The current transit contract of Ukraine with the Russian Gazprom was concluded in 2009 for a period of 10 years. After it expires as of 2020, the Russian monopolist intends to minimize the transit of its gas through the territory of Ukraine. Trilateral talks involving Ukraine, the European Union and the Russian Federation on gas transit issues after 2019 are scheduled for May this year.