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The authorities in Kiev have halted the transit of Gazprom's gas. AFP
Russian Gas No Longer Flows Through Ukraine

Russian Gas No Longer Flows Through Ukraine

The pipeline leading to Europe through the war-torn former republic has ceased operations with the onset of the new year, impacting primarily the eastern European countries.

M. P.

Miércoles, 1 de enero 2025, 14:20

Kiev and Moscow have confirmed the cessation of Russian gas supply to Ukraine via Europe. The two countries signed a temporary contract in 2019, which has not been renewed due to the war, leading to the pipeline's closure at midnight. This measure is particularly concerning for Eastern Europe, specifically Moldova and Slovakia. The EU, however, appears calm, having issued a statement on Tuesday assuring that the Twenty-Seven have been preparing for over a year to mitigate the effects of the supply halt, which is largely symbolic: only about 5% of their total consumption came through Ukraine.

"We have halted the transit of Russian gas. It is a historic event. Russia is losing markets and will suffer financial losses," stated Ukrainian Energy Minister Herman Halushchenko, confirming that as of eight in the morning (5.00 GMT), there is no longer any supply. Gazprom, the Russian company, has confirmed this closure. Some estimates suggest the company will lose around $5 billion annually by ceasing operations of this pipeline, compared to about $800 million in losses on the Ukrainian side.

Until now, both countries had respected the pipeline despite the war's brutality, although the irrevocable decision not to renew the contract was made from this New Year's Eve. While Kiev celebrates the closure as a triumph akin to a military victory over Moscow, it has not received significant attention in Russian media.

'Izvestia' has published a report explaining that the energy company could increase supply volumes through its Balkan networks to supply Moldova, Romania, Hungary, Slovakia, and Austria with an amount of gas nearly half of what flowed through Ukraine. Beyond the gas, Moscow's media prefer to focus on geopolitical interpretations of the war in the neighbouring country with a triumphant tone. Thus, 'Pravda' offers its particular analysis of the conflict for 2025, comparing Ukraine to "that suitcase without a handle that is uncomfortable to carry and a pity to discard." The upcoming inauguration of Donald Trump as President of the United States on January 20, it argues, "will leave Europeans responsible for a task for which they are not financially, militarily, or politically prepared."

For now, Slovakia and Moldova seem to be the main sufferers of the gas cut through Ukraine. About a third of the volume Russia has sold to Europe, even under international sanctions, has been transported through the Ukrainian channel, whose closure affects the eastern region.

Energy Emergency

Moldova, for instance, has declared an energy emergency due to the potential loss of supply affecting heating and electricity production, especially in the separatist state of Transnistria. Moldovan authorities have condemned the Kremlin's attitude, accusing it of exercising "oppressive tactics" over their country. The confrontation is not only material but also economic. In the background of this issue, Russia claims that Moldova owes $700 million in gas bills, while Chisinau argues it only amounts to $8 million based on independent audits.

Meanwhile, Slovak Prime Minister Robert Fico has stated that the gas shutdown will have a "drastic impact" not only on his country but on the entire European Union. "Halting gas transit through Ukraine will have a drastic impact on all of us in the EU, but not on the Russian Federation," he explained on his Facebook profile in a New Year's speech.

Fico travelled to Moscow at the end of December and met with President Vladimir Putin. They discussed the issues of gas and peace, which are firmly linked according to Slovak authorities. The Prime Minister even offered his country as a venue for hypothetical talks to end the war in 2025. Despite the energy setback, Fico has indicated that Slovakia will continue to maintain "a policy oriented towards all four corners of the world, as well as an active foreign policy based on respect for international law and non-interference in the internal affairs of others."

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