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EU call to Russia over relations



By Upstream staff 

The European Union's energy chief has said the bloc would press Russia at a summit later this month about its energy diplomacy with neighbours Belarus and Georgia.

Russian gas giant Gazprom wants Georgia to pay $230 per 1000 cubic metres of gas in 2007 instead of the $110 it pays now. It says if no new contract is signed, supplies will be cut.

Energy Commissioner Andris Piebalgs said that could affect supplies to the EU, although he said any effect on European consumers would be small.

"There will be, I believe, small... amounts (of gas) that will reach (the) EU already now from the Caspian Sea," Piebalgs told reporters, explaining why those talks were important to the EU.

"If there will be difficulties in negotiations with Georgia, then definitely the supply route from Caspian will be influenced. It will not make a huge difference for our consumers, but it makes a difference for the EU."

Furthermore, Russia has said it may raise gas prices for Belarus fourfold unless Moscow gets some control of gas pipelines.

"Part of the transit to the EU passes through Belarus, so it's really important that we know what... things are going on," Piebalgs said.

The EU and Russia are due to meet in Helsinki later this month. Piebalgs said the EU would bring up those issues then.


Thursday, 09 November, 2006, 19:32 GMT  | last updated: Thursday, 09 November, 2006, 19:41 GMT

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