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Russian gas supplies to Ukraine will be cut off from Monday if the country fails to agree terms to settle its debts to Gazprom of $1.5 billion (£773million). The supply threat concerns additional Russian gas taken by Ukraine to make up for a shortfall of gas supplies from Central Asia. Gazprom said that the cut would represent a quarter of the country's present demand for gas.
The showdown over Ukraine's gas bill is the latest chapter in the struggle over energy supplies between the Eastern European state and its former political masters in the Kremlin. In January 2006, several European countries suffered gas shortages after Gazprom cut off Ukraine in a dispute over the introduction of market-based prices in Ukraine.
The deadline is set one day ahead of the arrival in Moscow of Viktor Yushchenko, the Ukrainian President, underlining the frosty relations between the countries. The Kremlin is unhappy about the ambition of its former satellite to join Nato and the European Union.
In Brussels, Andris Piebalgs, the European Union Energy Commissioner, said that Gazprom had given assurances that supplies to the EU would not be interrupted.
Transit pipelines through Ukraine account for 80 per cent of Gazprom's exports to the EU.
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If America sites a missile defence base in Poland (next door to Russia), why should Russia not site a missile base next door to Poland? if I were Russia, with large gas reserves in Siberia, I would get nervous about any foreign missile base in the vicinity of my gas fields. Further, if you do not pay your gas bill, the gas gets cut ff. That much should be obvious to everyone. If Ukraine does not pay it's gas bill, the supply will be cut off. The reasons behind that are purely economic. Since the UK began the production of hydrocarbons from UKCS North Sea, how much of the UK's 'new wealth' was spent on it's military/ air force/ navy?
Gerry, Kassel, Germany
Russia's military expenses are accounting steadily for 3-4% (according to various estimates) of GDP, in absolute terms this figure has skyrocketed 4-6 times compared to the beginning of this decade. According to the Stockholm International Peace Research Institute (SIPRI), Russia, which spent $34.7 bln on its defense in 2006, is in seventh place in the world. The United States is the first on the list with $529 bln or 46% of global military expenses. The figures speak for themselves.
Finamrus, N.Novgorod,
The reasons behind this are political ones. While Viktor Yanukovich was prime minister, Russia muted about Gazprom debts. In fact, always when an Orange coalition governs Ukraine, Russia bullies the former colon⦠ops, Soviet Socialist Republic, without mercy.
Edward Luccas ( http://www.timesonline.co.uk/tol/comment/columnists/guest_contributors/article3308261.ece ) is right.
M., Sao paulo, Brazil
How much of Russia's 'new wealth' is being spent on re-arming it's military?
Do we face a new cold war?
coc, truro,