Ukraine proposes new gas supply scheme to EU
Illustrative photo (Getty Images)
Ukraine has proposed to Slovakia and Azerbaijan a new scheme of gas supplies through its territory to the European Union. The topic has been discussed in some bilateral meetings, according to the RBC-Ukraine article “Transit rejection: Ukraine proposes new gas supply scheme to Europe”.
The option of storing gas in Ukrainian underground storage facilities with subsequent deliveries to Slovakia or other countries is currently being discussed. Such supplies would not be considered transit, but re-export of gas.
The essence of the alternative is that the owner of the gas pumps it into storage in the UGS facilities and then can use it at its own discretion. Such offers were made to both Azerbaijan and Slovakia a few months ago.
For example, if Azerbaijan pumps gas, then, depending on market conditions and the gas needs of the EU countries, it will be able to sell it on the stock exchange or under contracts.
If Slovakia agrees to the proposal, it will be able to buy gas at the border of Ukraine and Russia or at the point where it enters Russia from Azerbaijan, pump it into Ukrainian underground storage facilities, and then use it or sell it to third countries if necessary.
But so far, this proposal has only been the subject of consultations between the parties. "It can’t be called negotiations. The topic comes up at some bilateral meetings, but nothing specific or detailed is being discussed,” said a source familiar with the matter.
According to Bloomberg, the EU is discussing two options for maintaining gas transit through Ukraine from 2025 after the end of the contract with Gazprom. The schemes also propose to involve Azerbaijan. However, the agreement is far from being concluded.
Earlier, Slovak Prime Minister Robert Fico said that he expected Ukraine to cooperate in importing oil and gas to Slovakia. “Our obligation is to ensure the continuation of transit through Slovakia, whether it is oil or gas through Ukraine,” he said.
