Old Saint Basil's Cathedral in MoscowJohnson's Russia List title and scenes of Saint Petersburg
Excerpts from the JRL E-Mail Community :: Founded and Edited by David Johnson
#9 - JRL 2009-5 - JRL Home
January 7, 2009
A telephone conversation was held between Dmitry Medvedev and Ukrainian President Viktor Yushchenko.

During the conversation, the President of Russia highlighted the following to the President of Ukraine:

1. The issue of supplying gas to European consumers and gas relations between Russia and Ukraine is not political. For Russia, this is a matter of fulfilment of economic commitments. Unfortunately, this problem has become a pawn in the disagreements within Ukraines leadership and its inability to make suitable decisions in the current situation.

2. Russia did not walk away from negotiations with Ukraine, and is ready to resume them at any time. Russias President called on Viktor Yushchenko to give his government and Ukraines energy authorities the necessary instructions to resolve this issue.

3. In order to resume gas deliveries to Ukrainian consumers, a contract must be signed between OJSC Gazprom and Ukraines NJSC Naftogaz. The price of gas must be the market price, corresponding to the prices for gas in Europe, and should be determined by a price formula. There should not be any kind of discount or reduction.

4. The Ukrainian President was asked to note that European consumers did not receive gas supplies transferred over Ukrainian territory, on account of unlawful appropriation of the gas by the Ukrainian side. This situation does not correspond to the agreements currently in place between Russia, Ukraine, and European consumers, as well as other international agreements.

5. The President of Russia noted that the problem of debts has not been remedied. Outstanding debts must be repaid in full by the Ukrainian side, as soon as possible.

6. In order to resume gas deliveries, it is necessary to create a control mechanism that will include representatives from the two gas companies, representatives from energy authorities in Ukraine and Russia, European Union observers, and representatives from international legal firms, to protect the interests of OJSC Gazprom and Ukraines NJSC Naftogaz.

The President of Russia called upon Viktor Yushchenko to act swiftly in order to reach the necessary agreements and quickly resume the transfer of Russian gas to European consumers.

The conversation was initiated by the Ukrainian side.