Moscow Suffers Setback In Pipeline Plan To Bypass Ukraine

Published: 4 September 2001 y., Tuesday
The deal is likely to make Warsaw more resistant to Moscow's strategy and could spur Russia's attempts to mend fences with Kyiv. A deal reached on 29 August by Poland and Norway could spell the end of Russia's long campaign to pressure Ukraine over its pipelines that transport Russian gas. The British "Financial Times" reported that Norway's agreement to sell 74 billion cubic meters of gas to Poland over a 16-year period will reduce Warsaw's dependence on Russia for fuel supplies. The deliveries by Norway's Statoil to the Polish Oil and Gas Company, known as PGNiG, would start in 2008 and rise quickly to 5 billion cubic meters annually through 2024. Although the amount seems relatively small, Poland consumed only about 11 billion cubic meters of gas last year. Over 60 percent of that was imported from Russia. The deal is important because of the three-way tensions that have been building among Russia, Poland, and Ukraine over Kyiv's use of Russian gas and Moscow's attempts to solve the problem. Some 90 percent of Russia's gas exports to Europe run through the former Soviet pipelines in Ukraine. But Russia has frequently charged Ukraine with illicitly tapping the gas. Ukraine also owes an estimated $1.3 billion for past Russian supplies. In July of last year, Russia announced it would try to build a bypass line through Poland and Slovakia to reduce its reliance on Ukraine and eventually double energy exports to the European Union. The agreement with Norway, which has been debated for months, may help Poland in at least two ways. It limits Moscow's power to pressure Warsaw over its stand on the bypass by ending its role as monopoly supplier. It may also satisfy an EU directive on diversifying energy sources, which may aid Poland's drive to join the EU. On the downside, Poland will pay more for Norwegian gas, which will require a new pipeline to be built across the Baltic Sea. Poland's neighbor Germany may also be displeased, since Germany's Ruhrgas is a shareholder in Russia's Gazprom and a partner in studying the bypass plan.
Šaltinis: caspian.ru
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Ukraine Election To Go To Second Round

Exit polls show that Prime Minister Viktor Yanukovich and challenger Viktor Yushchenko finished on top in Ukraine's presidential election today and will face each other in a run-off next month more »

Moldova's qualification for Europe's all star team

Moldova was one of the first countries mentioned by EU leaders as a candidate for closer cooperation more »

Russia and Lithuania to negotiate military transit

Consultations of experts concerning an agreement on military transit to Russia's Kaliningrad Region through Lithuania will start in Moscow on November 2004 more »

The Final Stretch of election campaign

Putin enters Ukrainian election row by attending army parade more »

Moldovan President Off for Visit to Azerbaijan

Moldovan President Vladimir Voronin has left for a two-day official visit to Baku more »

Putin's Kiev visit 'timed to influence Ukraine poll'

Vladimir Putin began a state visit to Kiev yesterday with a television interview in which he held out the possibility of favourable treatment to Ukrainians more »

Chechen Web site reopens out of Finland

A Web site used by a Chechen warlord to claim responsibility for last month's school siege in Russia has come back online based out of Finland more »

EU Negotiates Partnership With Russia

In preparation for the summit on Nov. 11, the Russian foreign minister, Sergei Lavrov, yesterday met Dutch Foreign Minister Ben Bot, EU Commissioner Chris Patten and Javier Solana, the EU’s foreign policy representative more »

The Visit

Azerbaijian President Ilham Aliyev met with visiting Chinese Foreign Minister Li Zhaoxing on Saturday in Baku more »

The Results of Lithuanian Elections

A pro-Russian populist political party stumbled in Lithuanian parliamentary elections Sunday more »