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Expert: Ukraine’s GTS in the future is not worth a dollar

In the “Naftogaz” believe that foreign companies in the CTA may affect the construction of the “Nord stream-2” and save the transit of gas through territory of Ukraine. According to the expert in the field of energy Ivan Kapitonov, the real buyers in Kyiv.

Эксперт: ГТС Украины в перспективе не стоит и доллара
© 2016 AFP/ Yuriy Dyachyshyn
The involvement of European or American companies to manage the Ukrainian gas transportation system (GTS) may affect the construction of the “Nord stream-2”, thereby retaining the Kyiv income from gas transit, said the head of “Naftogaz of Ukraine” Andrey Kobelev in an interview to the magazine “Focus”.

The Ukrainian government in 2014 as part of the reform of the gas market took the initiative of creating a consortium to manage the Ukrainian gas transport system with the involvement of gas operators from the USA or the EU, with the participation of the Russian side in the project were forbidden. However the head of Ministry of Ukraine Volodymyr demchyshyn previously complained that there are “long queues” from foreign investors looking to acquire a stake in a consortium to manage the Ukrainian gas transportation system.

Russian energy Minister Alexander Novak on Friday, April 1, announced that the contract price of Russian gas for Ukraine in the second quarter of 2016 will be less than $ 180 per thousand cubic meters. Whereas earlier on Friday, Ukrainian Minister of energy and coal industry Volodymyr demchyshyn said that the price of Russian gas for Ukraine from April 1, is 185 dollars per thousand cubic meters, while in Europe, “Naftogaz” can buy it for 170 dollars per thousand cubic meters.

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Kiev has long been willing to sell the national gas transport system, however buyers on it yet or not, noted on radio Sputnik associate Professor of international Commerce Higher school of corporate management, Ranepa, senior researcher of the energy policy Institute of economy, RAS Ivan Kapitonov.

“The desire to sell gas transmission system – it else is new?, and it lasts a year and a half, if not two. And now we see the continuation of this story. However, this story probably would have ended, if there were real buyers. It is quite clear that at the current ratio of supply and demand, while Russia is building an additional pipeline projects that are supported by the leading countries in the EU, the Ukrainian GTS in the future is not worth a dollar. If only after the 20th year she drank for scrap and rent, then it will cost, of course, more expensive. So buyers take their time,” said Ivan Kapitonov.

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However, in his opinion, one way or another, have to negotiate with Gazprom concerning the price of Russian gas.

“In parallel, we see another round of stories about the cost of gas for Ukraine. Of course, before Ukraine and asked for a discount and traded them in different ways. And now Ukraine, in fact, ready to sacrifice their population in favour of to refuse sufficient gas purchases for consumption. As re-routes gas from the EU is not able to cover the needs of Ukraine. The routes they chose for myself, in General, are not as effective bandwidth. And the Europeans need gas too. But if they sell something, they tear it from myself. After all “Gazprom” above contractual volumes are not selling. Therefore, Ukraine will eventually have to go on cooperation between Naftogaz and Gazprom”, – said the expert.

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