Ukraine starts transmitting Russian gas to EU under new deal

Ukraine has signed agreements with all neighboring operators to ensure transit.

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Gas TSO of Ukraine LLC, operator of the gas transmission system, has signed agreements with all neighboring operators, namely in Poland, Hungary, Romania, Moldova, Slovakia, and Russia.

"Now all the necessary technical and legal grounds have been created for the successful launch of the independent Gas TSO of Ukraine and for continued gas transit via the Ukrainian GTS from the Russian Federation to European countries from January 1, 2020," Gas TSO of Ukraine said in a statement.

The latest interconnection deal was signed with Slovakia's Eustream. The two operators agreed to cooperate by European rules from January 1, 2020, at the gas metering stations of Budince and Uzhgorod-Velke Kapusany.

Read alsoUkraine, Russia sign five-year gas transit deal

It is also noted that the interconnection deal with Gazprom was included in the package of agreements required for the extension of gas transit via Ukraine until 2025. Accordingly, Naftogaz signed with Gazprom a settlement agreement and a 5-year transit arrangement.

The press service recalled that previously, Gas TSO of Ukraine was unable to start working with Gazprom and other neighboring operators according to standard European rules as such possibility had been blocked by a long-term transit contract between Naftogaz and Gazprom, which expired on January 1, 2020.

As of the morning of January 1, Gas TSO of Ukraine reported that the first cubic meters of gas had already been transmitted to the EU under a new transit contract.

"From now on, it's according to European rules at interconnection points. The GTS is operating normally," the report says.

As UNIAN reported earlier, on December 30, Ukraine and Russia signed a new gas transit contract for a period of five years, obliging Russia's Gazprom to pump a minimum of 65 bcm of gas via Ukraine in the first year and 40 bcm in the next four years.

Also on December 30, Ukraine and Gazprom signed a settlement agreement on a $7.4 billion fine, which the Antimonopoly Committee of Ukraine earlier imposed on the Russian energy giant.

On December 31, Naftogaz CEO Andriy Kobolyev said Ukraine over the next five years would make at least $7.2 billion on Russian gas transit.

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