Russia's gas monopoly Gazprom has warned that a review of a deal made by Ukraine with Russia on gas prices could spark a new energy crisis in Europe.
Yulia Tymoshenko, head of a new pro-Western coalition about to take government in Ukraine, called today for a "further deep revision and review" of a January deal that raised the price Kiev pays for gas and ended a brief disruption in Russian supplies to Ukraine and on to Europe.
"Yulia Tymoshenko's statement on revision of a gas deal with Russia is a new alarm bell ringing for Europe," Gazprom spokesman Sergei Kupriyanov told reporters. "Any carrying out of the threat sounded today in Ukraine is a road to a new gas crisis."
Russia, Ukraine's main supplier, delivers up to 80 percent of its gas to Europe through pipelines across Ukraine.
Earlier today, a senior Gazprom manager accused Ukraine of taking gas to which it was not entitled from these pipelines, potentially risking shortages in western Europe. Gazprom supplies a quarter of Europe's needs.
"Ukraine still takes too much gas out of the pipeline system or pumps it in high quantities into their reserve storage tanks, without having the contractual basis to do so," Deputy Chief Executive Alexander Medvedev said in an interview to be published tomorrow by Germany's Manager magazine.
"The result of these actions: We will not be able to deliver as much gas as would be needed," he said. Kupriyanov described Ukraine as the "weak link" in the system of Russian gas exports to Europe.
"The problem of Ukrainian transit is a common problem of Russia and Europe," he said.
Tensions over gas were among issues that prompted US Vice President Dick Cheney to say Moscow was playing power politics with its energy resources and warn in May against any attempt to turn oil and gas into tools of intimidation or blackmail.
Tymoshenko is to be reinstated as Ukraine's prime minister eight months after being sacked as she is the leader of the bloc which had the best showing of three liberal forces in a March parliamentary election.
The coalition includes the pro-presidential Our Ukraine party, Tymoshenko's bloc and the smaller Socialists.
Under the deal, her bloc is also to control the fuel and energy sector, but the cabinet make-up has yet to be determined.
Ukraine pays now $95 per 1,000 cubic meters of natural gas compared with $50 previously. Tymoshenko has repeatedly said the prices should be lower.
Gazprom says it wants to raise prices again later this year and plans another round of talks for July.
The Kremlin-controlled company has previously expressed concern that Ukraine's stocks of gas in underground storage are lower than planned, saying this could affect supplies to Europe when demand climbs in winter.
Gazprom announced earlier today that its exports to western and central Europe rose by 2.7 percent in the first five months of 2006 from the same period of 2005.
The world's largest gas company, which supplies a quarter of Europe's gas, exported 70.75 billion cubic metres to western and central Europe, compared with 68.89 bcm in January-May 2005.