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Gas prices: Gazprom demands on Belarus are latest in a series
AFP
MOSCOW
Petroleumworld.com 12 27 06The current clash between Russian gas giant Gazprom and Belarus is only the latest such incident this year as Moscow, owner of the world's biggest natural gas reserves, bids to increase the profits it can extract from its neighbours.
Following is a list of the main gas price disputes this year:
UKRAINE: After months of negotiations broke down, Gazprom in January 2006 suspended gas sales to pro-Western Ukraine. The dispute triggered a partial break in gas deliveries to the European Union, provoking concern across the bloc over gas-dependency. Kiev finally accepted a steep price hike, giving Moscow a de facto say in gas exports transiting via Ukraine. In the hope of obtaining a better price in 2007, Kiev later in the year ceded Gazprom a large share of its internal distribution market -- delivery to the industrial sector.
GEORGIA: Russia and Georgia clashed a first time over gas sales in January 2006 and a second time later in the year. Gazprom handed the Georgian authorities a January 1 2007 ultimatum, threatening to cut deliveries failing a deal. Tbilisi finally agreed to pay prices doubled to 235 dollars per 1,000 cubic metres.
AZERBAIJAN: Talks that began early in December between Russia and Azerbaijan, which despite its oil wealth is also dependent on Russian gas, remain blocked. Moscow has demanded the former Soviet state pay 235 dollars against a current 110 dollars per 1,000 cubic metres. While Moscow up until now has refrained from issuing an ultimatum, Baku accuses Russia of using Gazprom to pressure its neighbours and is threatening to suspend the transit of its oil exports via Russian territory.
MOLDOVA: Buckling under Russian pressure, Moldova agreed to a first price rise in January, to a second in July and to a third this week, at 170 dollars.
ARMENIA: Gazprom in the first half of the year doubled the price of gas delivered to Armenia but left it at the "friendly" rate of 110 dollars per 1,000 cubic metres, far below the rates imposed on countries such as Ukraine and Georgia that do not see eye-to-eye with Russia.
AFP 26 1952 GMT 12 06
Copyright© 2001 AFP All Rights Reserved.
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