Ukraine is willing to keep transiting gas. Just not Russian gas

Prime Minister Denys Shmyhal said on Monday that Ukraine is willing to work out an agreement that would allow gas to be transited through its territory to western Europe. However, he ruled out any extension of the existing agreement with Russia.

The current Russian-Ukrainian agreement expires in about two weeks. Under it, approximately 42 million m3 of Russian gas per day is still flowing to Europe via the Sudzha interconnection point on the Ukrainian border.

S&P Global reports that if no new agreements on gas transit are reached, Russian gas flows to Europe along this route—including to Slovakia—will stop.

A hard stop to Russian transit

However, Ukrainian Prime Minister Shmyhal said this was impossible. “Ukraine is grateful to all our partners in Europe for understanding that Russia uses its energy exports to finance an unprovoked war against our country,” he said.

On Monday, he also stressed that, following 33 months of war with Russia, the Russian-Ukrainian gas transit agreement would not be extended when it expires. However, on his official Telegram account, he set out what Ukraine considers an acceptable alternative.

“If the European Commission officially approaches Ukraine about transiting any gas—other than Russian gas—we will of course discuss it,” Shmyhal wrote.

Ukraine is therefore willing to discuss the transit of gas from any source other than Russia.

What are the options?

Ukrainian officials have proposed using existing gas pipelines to transport gas supplied from a country other than Russia.

This is in line with plans by some EU countries in eastern Europe, which are considering securing supplies from Azerbaijan that could be transited through Ukraine. However, no agreement has yet been reached, Reuters reports.

Moldova is also negotiating supplies from Gazprom and, with the transit agreement set to expire, is considering securing Russian gas supplies via Turkey, Bulgaria and Romania.

The Slovak case

Slovakia and other countries that receive Russian gas transited through pipelines in Ukraine are holding talks in an effort to prevent supplies from being halted when the agreement expires.

Last week, Fico said his aim was to ensure that supplies from the east continue, avoiding higher transit fees charged by other suppliers. Slovakia has a long-term contract with Russian energy giant Gazprom.

Before the two prime ministers met, Fico said that maintaining gas transit was not just a bilateral matter for Ukraine and its neighbours, but an issue for the entire EU.

Shmyhal, however, is counting on the fact that much has already been done with EU countries in recent years “to ensure reliable gas supplies and prevent any kind of energy from being used as a weapon”.

Slovak Economy Minister Denisa Saková said earlier in Brussels that European countries and companies have a combined demand for around 15 billion cubic metres of Russian gas via Ukraine next year and are negotiating to secure new supplies.

Slovakia hopes an agreement could cover gas supplies for two to three years. The EU has set a target of ending its use of Russian fossil fuels by 2027.