Cold weather could heighten gas dispute impact

CONSUMERS have yet to feel the impact from the row over gas supplies between Ukraine and Russia, but this could change if the cold weather continues, according to EU officials.

At least three countries, Romania, Poland and Hungary have been affected by the dispute experiencing a drop in supplies over the past few days that has forced them to dip into their reserves.

However, following the previous dispute two years ago, most countries have built up their reserves with at least two weeks supply set aside.

The EU has insisted that the row is a commercial one between Russia (who supplies the gas) and Ukraine, through which 80% of Russia’s gas is piped.

EU energy spokesperson, Ferran Tarradellas said: “This is a commercial dispute that must be sorted out by the parties. We have analysed the inflows and there are a number of irregularities of supplies to different member states with some experiencing a variation in volume.”

EU consumers had not been affected, but the situation was changing all the time. “We are moving into a week that is colder than previous, which is why we are monitoring the situation all the time,” Tarradellas added.

An EU fact-finding mission including the Czech presidency and the European Commission was in Kiev for meetings with government officials yesterday. They hope to meet representatives of Gazprom, the Russian state- controlled gas company.

More than 60% of Ireland’s electricity is generated from gas and over 90% of gas is imported from Britain. Most of this is from Britain’s own gas fields, but these are diminishing and Britain is beginning to import supplies, mainly from Norway.

Russia insists that Ukraine owes them $1.6 billion (€1.17bn) plus $400m for late payment for gas supplies. They have also failed to agree on a new price for gas for the coming year and Russia has accused Ukraine of stealing gas bound for the EU.

A similar dispute in 2006 was interpreted as Russia objecting to Ukraine’s pro-Western policies following the Orange Revolution. Gas supplies to some countries dropped by 30% before the row was settled.