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Russian PM vows to increase gas prices for Belarus if joint venture not set up
Kyoto, 17 December: The long-delayed joint gas transportation venture between Russia's gas giant Gazprom and the Belarusian state gas pipeline monopoly Beltranshaz may be created before the year-end, Russia's Prime Minister Mikhail Kasyanov told reporters Wednesday [17 December], at the end of his official visit to Japan. Kasyanov stressed that the joint venture creation is possible on certain conditions, favourable to both sides. If the joint venture is not created before the end of the year, then starting 1 January Belarus will not be able to receive Russian gas at Russian domestic prices any more, Kasyanov said. Currently Belarus pays Gazprom 912 [Russian] roubles [about 31 dollars] for 1,000 cubic metres of gas, the same tariff as Gazprom charges clients in Russian regions bordering Belarus, Kasyanov noted. If the joint venture is not created this year, the gas will be supplied to Belarus at the same price as to Ukraine, at 50 dollars per 1,000 cubic metres, he added. Besides this, it is important that tariffs on gas transit through Belarus be revised, Kasyanov said, noting that for Russia gas transit via Belarus, which stands at 15bn cubic metres annually, is not crucial. Meanwhile, Russia's gas transit through Ukraine to European countries is planned to amount to 110bn cubic metres next year, according to a protocol signed between the two countries earlier this year. Originally scheduled for this summer, the creation of the joint venture has been continuously delayed as both sides, the Belarusian government and Gazprom, wanted to have a controlling stake in the joint venture. Last week, however, Gazprom said in letter to the Belarusian government that it is ready to create the company on a parity basis, as proposed by the Belarusian government, if the decision is made before the end of the year.
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