Kyiv Opposes Gas Export Custom Duties

Russia’s proposal to reduce Ukrainian natural gas exports to third countries is “discriminatory” against the Ukrainian state, Vadym Kopylov, Naftohaz Ukrayiny chairman of the board, told journalists in Kyiv on September 20, when asked about Ukrainian-Russian talks to restructure Ukraine’s natural gas debts, reports Interfax Ukraine.

Vadym Kopylov also said that Moscow wants Ukraine to levy a customs duty on gas exports (a special duty considerably raising gas export costs, making this product practically noncompetitive — Ed.] and that this is unacceptable to Ukraine, at least in the way it is proposed by Russia.

He confirmed that restructuring Ukraine’s gas debts is no longer a problem in terms of reaching an agreement in principle. Both sides are negotiating guarantees of gas transit supplies to Ukraine, particularly from Tajikistan and Turkmenistan via Russia, and the possibility Ukrainian natural gas exports. These issues are to be included in the package of bilateral agreements regulating cooperation in the gas sector.

When asked about Ukraine’s natural gas debts to Russia (earlier estimated at $1.342 billion), Mr. Kopylov replied that the amount will be ascertained on October 15 and a final decision is expected to be made by November 1.