Economy

Ukraine may raise gas transit rate if imported gas price increases, says Naftogaz head

Ukraine may raise gas transit rate if imported gas price increases, says Naftogaz head

The National Joint-Stock Company Naftogaz Ukrainy may raise the price for transiting Russian gas through Ukraine and storing it in Ukrainian gas storage facilities, if Gazprom decides to drastically raise the gas price for Ukraine, Naftogaz Ukrainy CEO Oleh Dubyna has said.

"The transit rate is an instrument of bargaining today… If the price of gas is $400 per 1,000 cubic meters, we may bring up the issue of raising the price of the price of transit to $3.98 per 1,000 cubic meters per 100 kilometers as it is in the Slovak Republic, or to $4 as it is in the Czech Republic," he said in an interview with the Komersant Ukraina Newspaper published on Thursday.

The Naftogaz Ukrainy CEO also reminded that the price of pumping gas into the underground storage facilities in Ukraine is much lower than that in Europe. In Germany, for example, it costs $39 per 1,000 cubic meters, Dubyna said.

"That is why I am telling Gazprom that we can raise prices too, but why? All the prices we raise will return to us multiplied," the Naftogaz Ukrainy head said.

IMPORTANT