CEO of National Joint-Stock Company Naftogaz of Ukraine Andriy Kobolyev says Ukraine will be able to raise the issue of transferring points of gas transmission to European buyers from the country's western to eastern border during talks on a new gas transit contract after 2024, provided that Russia's Nord Stream 2 project fails to be implemented.
He made the comment at the All-Ukrainian Forum, tilted "Ukraine 30. Utility Bills," as reported by an UNIAN correspondent on February 15.
Read alsoNord Stream 2 "100% anti-Ukrainian", Vice PM says"I believe we've made significant progress in the fight against Nord Stream 2. If this project is not implemented, it will be possible to return to discussions with the Russian side on the transfer of these points after the completion of the current [gas] transit contract, which will happen in 2024," he said.
However, Kobolyev noted that he was skeptical about the possibility of transferring such points.
"I'm somewhat skeptical about the possibility of moving gas supply points to Ukraine's eastern border because of the tough position of Russia's gas monopoly Gazprom, which is doing utmost to prevent this," he added.
Background
- Earlier, Ukrainian Acting Energy Minister Yuriy Vitrenko stressed the need to put pressure on Gazprom and the Russian leadership to lift restrictions on gas exports to Ukraine from Central Asia and Russian suppliers that are independent of Gazprom, as well as to move gas transmission points from Ukraine's western to eastern border.
- Today, Vitrenko says, such initiatives are blocked by Russia's leadership. If the initiatives are implemented, demand for the Ukrainian gas transmission system (GTS) will increase, while gas prices will slump.
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Nord Stream 2: Background
- The Nord Stream 2 project envisages the construction and operation of two gas pipeline branches with a total throughput capacity of 55 billion cubic meters of natural gas per year from the coast of Russia through the Baltic Sea to Germany. It should connect Russia's Ust-Lug and Germany's Greifswald. This new pipeline bypassing Ukraine is to be built next to the existing Nord Stream 1 pipeline.
- The construction of the pipeline was expected to be completed before the end of 2019.
- The pipeline will be 1,220 km long. The project is being implemented by Russia's Gazprom in alliance with European companies – ENGIE, OMV, Royal Dutch Shell, Uniper, and Wintershall. Ukraine stands against the construction of Nord Stream 2 as it will most likely lose its status of a gas transit country, while its potential revenue losses are estimated at US$3 billion annually. The project is also highly criticized by the U.S., Poland, and the Baltic States.
- On November 4, 2020, the media reported that U.S. Congress wanted to expand sanctions against Nord Stream 2 and TurkStream.
- On December 6, 2020, United States Charge d'Affaires to Germany Robin Quinville called on the EU and Germany to declare a moratorium on the construction of the Nord Stream 2 gas pipeline.
- On December 9, 2020, the U.S. House of Representatives approved the 2021 National Defense Authorization Act (NDAA) with expanded restrictions against the Russian Nord Stream 2 gas pipeline.
- On December 11, 2020, the construction of the Nord Stream 2 gas pipeline resumed.
- On December 29, 2020, it became known that the House of Representatives overcame Trump's veto on the U.S. defense budget with sanctions on Nord Stream 2.
- The United States is urging European allies and private companies to halt works on Nord Stream 2, and is preparing broader sanctions against the Russian project in the coming weeks.
- The U.S. Senate approved the U.S. defense budget for fiscal year 2021, which provides for new sanctions against Russia's Nord Stream 2.
- On January 7, 2021, a fund was established in Germany to support the completion of the Nord Stream 2 project.
- On January 13, 2021, the U.S. Department of State notified European companies involved in the construction of Nord Stream 2 of the risk of imposing new sanctions.
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