17:50 08.05.2018

Naftogaz annuls tender for accompanying unbundling over impossibility of re-registering gas transit contract

2 min read
Naftogaz annuls tender for accompanying unbundling over impossibility of re-registering gas transit contract

National joint-stock company Naftogaz Ukrainy has annulled a tender to select services to manage the unbundling project, including accompanying the unbundling of gas storage and gas transportation activities, with the expected cost of up to UAH 168 million.

According to a report of the company in the ProZorro e-procurement system, this is linked to the award of the Arbitration Institute of the Stockholm Chamber of Commerce, which did not allow the possibility of transferring the gas transit contract with Gazprom to another operator.

"The ownership unbundling model for transportation of natural gas approved by government resolution No. 496 dated July 1, 2016 and the implementation of the independent system operator model are impossible until the contract expires," the company said.

As reported, the Cabinet of Ministers on November 9, 2016 decided to create the PJSC Trunk Gas Pipelines of Ukraine within the unbundling process in NJSC Naftogaz Ukrainy. In middle of June 2017, the Cabinet of Ministers approved a list and a plan for the transfer of material assets of the gas transportation system from Ukrtransgaz to Trunk Gas Pipelines.

Under the government's decision, the property currently used by Ukrtransgaz for gas transportation must be transferred to Trunk Gas Pipelines within 30 days from the entry into force of the final decision of the Arbitration Institute of the Stockholm Chamber of Commerce in the dispute between Naftogaz Ukrainy and Russia's Gazprom on the gas transit contract.

At the same time, in the opinion of Naftogaz CEO Andriy Kobolev, it is necessary to change the model of unbundling Naftogaz previously adopted by the Cabinet of Ministers. According to him, taking into account the decision of the Stockholm Arbitration Tribunal, according to which Naftogaz will receive money from transit of 110 billion cubic meters of Russian gas through the Ukrainian GTS in the next two years, regardless of the actual volumes of transportation, the previously adopted model of unbundling should be adjusted.

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