16:23 11.09.2024

EU ready to stop transit of Russian gas through Ukrainian GTS after current agreement expires in Dec – European Commissioner Simson

3 min read

European Commissioner for Energy Kadri Simson has said the European Union is ready to completely stop the transit of Russian gas through the Ukrainian gas transport system (GTS) after the current agreements expires in December this year.

"I have been very clear also when I was speaking with my counterparts in Ukraine that we have been preparing ourselves for this situation that transit agreement between Ukraine and Russia will expire by the end of this December. We have found alternative supply routes and member states or their companies who are still receiving gas from Russia, they actually have received extra two years compared with other companies whom Russia decided to cut off supply already back in 2022," she told a press conference in Brussels on Wednesday.

Simson said that Ukraine's gas infrastructure is part of EU infrastructure as some of European gas is stored in Ukraine storage sites "which are providing us extra capacity."

"Ukraine is also a gas producer so we have to take care that their infrastructure still has a value. But my message is very clear. There is no need to find some kind of new means to prolong trade with Gazprom. Alternative supplies are available and this regional gas coordination group, we have been engaging with these member states impacted to show them that alternative routes will deliver necessary volumes," the European Commissioner said.

Simson cited President of Ukraine Volodymyr Zelenskyy having said at the end of August that "Ukraine doesn't have any interest to prolong the transit contract with Russia, saying that European companies do have the right to use Ukrainian infrastructure."

The European Commissioner also said that her "biggest mission is to encourage companies who are still receiving Russian pipeline gas due to the fact that they had contracts signed before the war started, to opt for more predictable alternatives."

Simson also named figures showing that the share of Russian gas in EU imports fell from 45% in 2021 to 18% by June 2024, while imports from reliable partners such as Norway and the United States increased. In addition, the EU reduced gas demand by 138 billion cubic meters between August 2022 and May 2024.

The EU reached its 90% winter gas storage target on August 19, 2024, well ahead of the November 1 deadline, and energy prices are more stable and remain well below the peak levels of the 2022 energy crisis, she said.

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