Moscow, 5 June: Cooperation in the gas sector between Russia and Belarus is now developing on a level playing field, a source at Gazprom told ITAR-TASS. Russia "for a year and a half paid a generous amount in advance towards the future integration with Belarus, but when the time came to set up a joint venture (Beltranshaz) the Belarusians offered terms that were not very fraternal at all", the source said. Gazprom thinks that the Belarusian valuation of Beltranshaz at 5bn dollars "was a deliberately unacceptable amount" designed to prevent the sale of Transhaz. "How can they ask Gazprom for concessionary gas prices?" the source asked. "No joint venture - no gas at Russian prices." Gazprom increased output by 20bn cubic metres in 2003, of which it sold 10bn to Belarus. It supplies gas to 29 countries but only in the case of Belarus have people suffered because of a partner's failure to obey the civilized rules of the game, the company said, referring to Belarus's unsanctioned siphoning of transit gas on 18 February which led to hardship in Poland, Lithuania and Kaliningrad. "We expect this situation not to be repeated, and Belarus should understand that it cannot carry on living at others' expense," the company said. Gazprom added that it was ready to supply gas to Belarus at market prices no lower than those it charges Ukraine. ["Serious progress towards establishing a joint gas transportation system that includes Beltranshaz was made during the talks," ITAR-TASS reported at 1830 gmt, quoting a Russian government source. In the same report, Gazprom said it was "entirely satisfied" with the outcome.]