Progress in resolving gas row

2009-01-09 07:29

Prague - Hopes for a quick resumption of Russian gas supplies to Europe were rising on Friday after Russia agreed on the terms for the deployment of monitors in Ukraine.

The Czech EU presidency announced late on Thursday an agreement had been reached with Russian Prime Minister Vladimir Putin over the gas monitiors, in a surprising turnaround hours after EU-sponsored talks in Brussels broke down over that issue.

Czech Prime Minister Mirek Topolanek and Putin agreed during a telephone conversation "on the conditions of deployment of the monitoring commission at all locations that are relevant for the flow of gas", the presidency statement said.

"This deployment should lead to the Russian supplies of gas to EU member states being restored," it said, adding that details of the mission would be finalised on Friday when EU monitors travel to Ukraine.

Topolanek had consulted German Chancellor Angela Merkel on the negotiations, the EU presidency said.

Earlier on Thursday, Putin said Moscow backed a proposal launched by Merkel to send EU experts to monitor flows of Russian gas through Ukraine, saying he thought "it should be done as quickly as possible".

Despite the announcement of the deal, there was no immediate confirmation from either Moscow or Kiev and it remained unclear when Russia would resume energy supplies, which it cut off completely on Monday after accusing Ukraine of stealing gas meant for other European countries.

Surprising

The supply cuts to much of eastern Europe means thousands of people have been left without gas at a time when many are facing temperatures below freezing point.

The announcement of the deal with Putin was all the more surprising given the acrimonious remarks by both sides following the breakdown of talks in Brussels.

Czech Industry Minister Martin Riman told reporters in the Belgian capital earlier that Russian energy monopoly Gazprom had rejected a proposal for independent monitors to check the flow of Russian gas through Ukraine.

"We are disappointed by Russia's position because we believe that the Russian side has no reason to refuse this proposal and not to allow the resumption of supplies into Ukraine and European countries," he said.

EU Energy Commissioner Andris Piebalgs also said Moscow had refused to sign a deal to restore supplies to around a dozen EU nations at least in part because it wanted its own observers stationed in Ukraine.

But the head of Gazprom pointed the finger at Kiev, saying it "ruined the signing of such a document" on the sending of a group of independent observers to monitor gas flows.

"We had the opportunity today to resume gas supplies (to Europe via Ukraine) but this has not happened today," Alexei Miller said, according to Russian news agencies.

'Of course this is creating problems for us'

Russia is the world's biggest natural gas producer and provides about one-quarter of the gas used in the European Union, or about 40% of the gas the bloc imports. About 80% of those imports pass though Ukraine.

Ukraine agreed to the monitors on Thursday and 10 to 12, drawn from the European gas industry and the European Commission, were due on the ground as early as Friday.

The monitors are to be tasked with checking how much gas is being piped from Russia to Ukraine, which is the main transit route for Russian gas to Europe.

Russia, which cut supplies for Ukraine's domestic market on January 1 due to a payments dispute, accused Ukraine of stealing gas intended for Europe, and completely cut shipments on Monday.

While he conceded the crisis had hurt Russia's image as a reliable gas supplier, Putin has insisted Moscow is not to blame and lashed out at Western media who he accused of taking Kiev's side.

"Of course this is creating problems for us. But, forgive me for saying so, but I have not seen an objective evaluation of the situation.

"Foreign media, Western media are painting a completely unobjective picture of 'Russia Shuts Gas to Europe'," he said earlier on Thursday at his residence outside Moscow.

With EU countries suffering gas cuts, the bloc's leaders are growing increasingly impatient to see Moscow and Kiev resume the flow of gas critical for heating homes, schools and factories in bitter winter weather.

- AFP