CEO of National Joint-Stock Company Naftogaz of Ukraine Andriy Kobolyev says Ukraine will receive about US$2 billion from the transit of Russian gas via its gas transmission system (GTS) in 2020.
"I think the figure will be about US$2 billion this year," he said on air of Ukrainian journalist Yanina Sokolova's YouTube channel.
Read alsoUkraine anti-trust watchdog allows transfer of six CHPPs to Naftogaz's managementKobolyev added that thanks to the new contract concluded with Russia's Gazprom, the latter is obliged to pay a fixed amount based on the "pump or pay" principle.
Gas transit: background
- On December 30, 2019, 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 billion bcm of gas via Ukraine in the first year and 40 bcm annually in the next four years. The parties may extend the contract for another ten years.
- According to Naftogaz's estimates, Ukraine is expected to receive about US$7.2 billion from the transit of Russian gas over the five years.
- On September 2, 2020, LLC Gas Transmission System Operator of Ukraine (GTSOU) said transit shipments of natural gas through the country's gas transmission system in January-August 2020 shrank by 42% year-over-year, to 34.8 bcm.